MONDAY, 16 JANUARY 2012
The SEC further relaxes stock broker credit extension – additional credit available will increase by Rs. 5 billion resulting in total credit available in the market to Rs. 8.7 billion
At the Commission meeting held on 16th January 2012, the Securities and Exchange Commission of Sri Lanka (SEC) decided to permit Stock Broking Firms to leverage 3 times adjusted Net Capital with immediate effect. “Adjusted Net Capital” is the Net Capital computed as per the Colombo Stock Exchange (CSE) Member Regulations less 50% of Fixed Assets. In line with other regional markets, 50% was deducted to take into account the concerns of realizing illiquid assets into cash.
Last edited by StockGuru on Mon Jan 16, 2012 7:42 pm; edited 1 time in total