All Securities Dealers/Brokers and Transfer Agents

May 19, 1986CBP MEMORANDUMTO : All Securities Dealers/Brokers and Transfer AgentsThe purpose of this Memorandum is to clarify that stocks transactions, whether arbitrage or investment, may be undertaken by securities dealers/brokers without prior Central Bank approval. Registration of the transaction is required only when the purchase/sale of Philippine shares of stock involves a non-resident, whether the transaction is effected in the domestic or foreign market, and only after the transaction is done. However, it will be the responsibility of the securities dealers/brokers to register said transaction with the Central Bank. The purpose of this requirement is to monitor the foreign exchange inflow/outflow arising from subject transactions. digestRegistration Requirements1. Whenever a Philippine share of stock has been sold to a non-resident, the local securities dealer/broker shall file with the Central Bank, within 3 business days from transaction date, an application for registration and an authority to effect physical transfer outward of the corresponding certificate of stock when the certificate is to be delivered to the non-resident buyer abroad.1.a. the application shall be in the prescribed form,...