Malaysian SC announces relief measures for capital market licensed entities

The Securities Commission Malaysia (SC) announced today the addition of further relief measures which will immediately benefit 231 licensed entities, 30 registered audit firms and 9663 licensed individuals.

The measures aim to lessen the cost burden of capital market participants and add to the wider relief effort announced by the government, the Economic Stimulus Package 2020, which was announced.

Malaysian SC announces relief measures for capital market licensed entities

Datuk Syed Zaid Albar, SC Chairman commented:

Datuk Syed Zaid Albar

The unprecedented scale of challenges we are facing today demands measured responses that offer relief in the short term and support for longer term recovery.

The SC is constantly monitoring the situation and weighing all available options. We would like to assure all market participants that the capital markets will continue to function to support the Malaysian economy.

The additional relief measures include:

  • Waiving annual licensing fees for 2020 on the core regulated activity of all Capital Markets Services Licence (CMSL) entities with Profit Before Tax of RM5 million or less during Financial Year 2019. Entities that have already paid their fee will be offered credit for next year’s fees.
  • Waiving annual licensing fees for 2020 for individual CMSL holders and Capital Markets Services Representative’s Licence (CMSRL) holders. CMSRL holders who paid the fees already will be offered a credit for next year’s fees.
  • Reducing the minimum Continuing Professional Education (CPE) requirements from 20 CPE points to 10 CPE points effective 1 July 2020 for 12 months for all CMSRL holders and Employees of Registered Persons (ERPs).
  • Reducing the minimum training requirements from five to three days effective 1 July 2020 for 12 months for Trading Representatives and Marketing Representatives.
  • One-off training subsidy for registered firms of Audit Oversight Board (AOB) with less than 10 audit partners, up to RM30,000 per firm for Approved Training Programmes conducted by the Malaysian Institute of Certified Public Accountants (MICPA).

The government announced earlier that the SC and Bursa Malaysia have agreed to waive all listing related fees for one year through the ESP 2020. The companies that can take advantage of this measures are such that have market capital of less than RM500 million seeking listing on the Main Market, as well as for companies seeking to list on the LEAP and ACE Markets.

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