Baku, Azerbaijan, Aug.18
By - Trend:
Dealer activities in Azerbaijan must comply with capital adequacy requirements, as it is provided in the new rules of the dealer activities on the securities market approved by the Chairman of the State Committee for Securities of Azerbaijan Rufat Aslanli.
The text of the document is published on the website of the country's Ministry of Justice, in the registry of legal acts.
According to the rules, in the period of the dealership its overall capital must be at least 100,000 AZN. Requirements to its total capital will be determined depending on the amount of trading books.
The trading dealer book is considered significant if the average daily transaction volume of 15 million AZN in the last 250 days is exceed, or if operations in the amount of at least 20 million AZN are implemented within four days.
The requirement to the total capital is equal to the total volume of capital requirements based on credit, market, operational, conversion risks, calculation and counterparty risks.
The overall capital of the dealer is formed from the first and second levels which can be used for the management of credit, market and operational risks of the company. Tier II capital can not exceed Tier I capital.
In this case, Tier I capital consists of paid ordinary shares, perpetual preferred shares, other funds received from the issuance of shares, paid shares (for LLC), capital reserves, retained earnings.
Some 14 companies have license for dealer activities in Azerbaijan today.
The official exchange rate for August 18 is 0,7842 AZN / USD.
