Intellectual Property Rights from Publicly Financed Research and
R 385
Securities Services Act, 2004 (Act No. 36 of 2004)Chapter III : ExchangesLicensing of exchange9. General requirements applicable to applicant for exchange licence |
| 1) | Subject to subsection (2), an applicant for an exchange licence must- |
| a) | have the financial resources, and the management and human resources with appropriate experience, necessary for the operation of an exchange in terms of this Act; |
| b) | have made arrangements for the proper supervision of all transactions effected through the exchange so as to ensure compliance with the exchange rules; |
| c) | have the infrastructure necessary for the sustained operation of an exchange in terms of this Act; |
| d) | maintain security and back-up procedures to ensure the integrity of the records of transactions effected through the exchange; |
| e) | have insurance, a guarantee or compensation fund or other warranty in place to enable it to provide compensation, subject to the exchange rules, to clients; and |
| f) | make provision, to the satisfaction of the registrar, for the clearing and settlement of transactions effected through the exchange and for the management of trade and settlement risk. |
| 2) | The registrar may, with reference to the nature of an exchange, determine to what extent an applicant must comply with the requirements referred to in subsection (1). |
| 3) | The registrar may prescribe any of the requirements referred to in subsection (1) in greater detail. |
