Based on the Capital Market Authority’s responsibilities to develop and improve methods of systems and entities trading in Securities, and develop the procedures that would reduce the risks related to Securities transactions, and to regulate and monitor the works and activities of parties subject to its control and supervision by issuing the implementing regulations and rules governing the capital market in the Kingdom in order to enhance the protection of investors and to maintain a fair and stable market in which authorised persons remain financially sound in accordance with the adequate capital requirements, and based on the Capital Market Law issued by Royal Decree No. M/30 Dated 2/6/1424H, the CMA`s Board of Commissioners issued its resolution number (1-40-2012) and dated 17/2/1434H, 30/12/2012G to adopt the Prudential Rules (the "Rules") which sets the requirements for the authorised persons’ financial prudence.

A consultation with the concerned and interested parties and specialists in relevant bodies was conducted while preparing the Rules.

The Rules can be viewed on CMA’s website on the following link:
http://cma.org.sa/En/Pages/Implementing_Regulations.aspx