ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has given license to 19 companies under the recently promulgated Underwriter Rules, 2015.
These rules require all entities desirous of undertaking underwriting services to be registered as with the SECP. As per new rules only regulated entities like commercial banks, development finance institutions, non-banking finance companies and brokerage houses can be registered as underwriters.
Underwriting through the financial institutions and brokerage houses would help in enhancing the quality of underwriting as these institution have the capabilities to show due diligence in their job.
The regulation of underwriting activities through new rules would enhance investors’ confidence and help in development of the capital markets in Pakistan.
