CMA: Financial Institutions Are Obliged to Protect Clients’ Assets and Uphold Integrity

​The Capital Market Authority (CMA) confirms its commitment to implement general standards and obligations for authorized persons (financial institutions authorized by CMA to work in securities business) to ensure their financial prudence and integrity in addition to their commitment to protect clients’ assets and safely mange the risks of their investments.

In this context, 11 principles were stated in Article (5) of the Authorised  Persons Regulations. Those principles include: Integrity and skill by conducting their business with integrity as well as skill, care and diligence. In addition, it included cooperation with the regulators and communication with clients. 

Corporate governance standards were applied on authorized persons as part of CMA’s efforts to ensure transparency in the authorized persons’ securities business since early 2012.