August 14, 2015
BSP CIRCULAR NO. 885-15
| SUBJECT | : | Segregation of Customer Funds and Securities Received by Banks in the Performance of Their Securities Brokering Functions |
The Monetary Board, in its Resolution No. 1176 dated 23 July 2015, approved the following guidelines governing the Segregation of customer funds and securities received by banks that are duly registered by the Securities and Exchange Commission (SEC) to act as securities brokers.
SECTION 1. Part IX of the Manual of Regulations for Banks (MORB) is hereby amended to read as follows:
"xxx xxx xxx
"C. SECURITIES BROKERING ACTIVITIES OF BANKS
"Section X907. Segregation of customer funds and securities received by banks in the performance of their securities brokering functions. —
"Subsec. X907.1. Statement of Policy. — Pursuant to the BSP's policy of promoting the development of domestic capital markets by upholding investor protection and transparency in securities transactions, following are the guidelines relating to the segregation, handling and reporting of customer funds and securities received by banks in the performance of their securities brokering functions.
The limited coverage of the guidelines shall not relieve the bank acting...
