SC introduces lodge and launch framework

PETALING JAYA: The Securities Commission (SC) has introduced the "Guidelines on Unlisted Capital Market Products" under the lodge and launch framework yesterday, as part of its initiative to promote process efficiency, shorten time-to-market and provide certainty of product offering.
The framework intends to shorten time-to-market by enabling wholesale products to be launched once the required information is lodged with the SC via its online submission system, compared with current 14 to 21-day approval time frame.
"The introduction of this framework is in line with the SC's new regulatory philosophy which advocates proportionality of regulation and recognises the maturity of the Malaysian capital market and the sophistication of investors within the wholesale market," it said in a statement yesterday.
The guidelines for the lodge and launch framework, which will replace the existing guidelines on various wholesale products, also covers the wholesale funds, structured products, bonds, sukuk and asset-backed securities.
"With this liberalisation, the SC will increase its focus on conduct regulation and product surveillance to ensure that all who are involved in the wholesale market discharge their due diligence and disclosure obligations as well as uphold the principle of fair treatment of investors," it added.