Karachi: Securities brokers in Pakistan with financial year-ends of June 30 or December 31 are now required to adhere to new submission deadlines for their Liquid Capital (LC) Statements, as stipulated under the Securities Brokers (Licensing and Operations) Regulations, 2016 (SBLOR). This mandate aims to enhance transparency and accountability in the financial reporting practices of securities brokers.

According to the new regulations, securities brokers whose financial year concludes on June 30 must submit their half-yearly LC statements, reviewed by statutory auditors, by December 31, 2024. These submissions are due no later than March 17, 2025. Meanwhile, brokers with a December 31 year-end must include their LC calculations in their annual audited financial statements, which are due to be submitted to the Pakistan Stock Exchange (PSX) by April 30, 2025.

According to information available from the Pakistan Stock Exchange (PSX), these requirements are part of a broader effort to ensure that brokers maintain adequate liquid capital to meet their obligations and safeguard investors’ interests. The designated market category for these brokers remains a critical consideration in maintaining market stability and confidence.

It is important to note that these requirements do not apply to securities brokers fully converted to the Trading Only category. This exemption acknowledges the different operational frameworks and capital requirements for brokers in this category.

These regulatory measures underscore the importance of maintaining robust financial practices within the securities trading sector, ensuring that all brokers operate with sufficient capital reserves to manage risks effectively. The implementation of these requirements is expected to contribute positively to the integrity and reliability of the financial markets in Pakistan.