Fsdp Quarterly Newsletter Q4 2023 Vf · Page 7

 
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The CMA’s Board Approves the Amendments to the 
Capital Market Institutions Regulations 
The Capital Market Authority's (“CMA's") Board approved 
Amendments to Capital Market Institutions Regulations 
(“Amendments to the Regulations") and the Glossary of 
Defined Terms Used in the Regulations and Rules of 
Capital Market Authority, which comprise developing the 
provisions 
regulating 
capital 
market 
institutions 
bankruptcy, which shall be effective as of the date of 
publications. This is in order to enhance protection of 
clients funds and assets and confidence of participants in 
the capital market, thus promoting stability in the capital 
market and supporting its growth and prosperity. 
According to CMA, Regulations have outlined provisions 
governing capital market institutions in the event of 
bankruptcy through two paths. The first pertains to 
institutions holding clients' funds or assets or overseeing 
investment funds. These institutions are required to 
secure approval from CMA and a written confirmation 
from CMA-registered auditor affirming absence of any 
shortfalls clients’ funds and assets held by the capital 
market institution, before initiating any bankruptcy 
procedures or legal depository proceedings with the 
appropriate court. 
Convicting (8) Investors of Violating the Capital Market 
Law and Implementing Regulations thereof and 
obligating them with payment SAR (302) Million 
The Capital Market Authority (CMA) announced that the 
Appeal Committee for Resolution of Securities Disputes 
(ACRSD) convicted eight investors of violating the Capital 
Market Law and its implementing regulations, fined them 
9.6mn Saudi Riyals, and obligated them to pay 292.8mn 
Saudi Riyals due to the illicit gains achieved in their 
investment portfolios, in addition to three other 
portfolios belonging to minor children of one of the 
convicted individuals. 
The Capital Market Authority and Wilayah Signed a 
Cooperation Agreement to Maintain Investors’ Funds 
The Capital Market Authority (“CMA") and the General 
Commission for the Guardianship of Trust Funds for 
Minors and their Counterparts (“Wilayah") signed today a 
cooperation and coordination agreement today regarding 
the funds and securities in the capital market that fall 
under the jurisdiction of Wilayah authority as per Law of 
the General Commission for the Guardianship of Trust 
Funds for Minors and their Counterparts. 
The Capital Market Authority Announces Start of
Receiving ATS Applications 
The Capital Market Authority (CMA) has initiated the
acceptance authorization application for conducting 
Securities Exchange activities as an Alternative Trading
System (ATS) in the Kingdom (for Sukuk and Debt 
Instruments), commencing October 9, 2023, and
concluding on March 31, 2024 which marks the final day 
for receiving applications. The license to carry out the 
Securities Exchange activities as an ATS in the Kingdom 
for Sukuk and Debt Instruments at the current stage will 
contribute to enhancing the secondary market of debt 
instruments, according to CMA, as well as providing an 
investor base and products in the Saudi capital market.
This shall positively reflect on supporting debt 
instruments and expanding investor bases therein, 
offering a wider range of products available in the Saudi 
capital market, and offering efficient technical solutions 
to enable linkage and trade. The CMA encourages all 
those interested in carrying out Securities Exchange 
acti