MEMBERSHIP
The unique features of this Exchange is its members or brokerage firms or its shareholders. The exchange is owned by four brokerage firms which are established as a company under the Companies Act and licensed under the Financial Institutions Act (FIA) . The following are the member firms:
- BNB Securities Ltd.
- BOB Securities Ltd.
- RICB Securities Ltd.
- Drook Securities
There are some basic disciplines of a controlled membership. Firstly members have to pass a general fitness test to be acceptable to the RSEB and to the Royal Monetary Authority (RMA). The RMA acts as the final regulatory authority (Securities Commission) of the Government and issue license to deal in securities.
The members have to trade within the rules of the exchange and of the regulatory authority. Generally, a member has to demonstrate that he has the required amount of capital to support the expected level of trading and that his capital be monitored by the exchange.
However, our brokerage firms are the subsidiary of the financial institutions where they are provided with the required financial backings in times of needs.
The RSEB has trained over 20 officials of the four financial institutions as brokers and traders to enter the trading floor.
