Securities Commission enters into agreement with PFTS stock exchange on settlement of consequences of violation of legislation

The National Securities and Stock Market Commission (NSSMC) has concluded an agreement with JSC PFTS Stock Exchange on the settlement of the consequences of committing a violation of relevant legislation.

This is stated in the message of the Commission, the Ukrainian News agency reports.

This is the first such precedent in the capital markets, and it became possible with the entry into force of the Law of Ukraine No. 3585-Х on the improvement of state regulation and supervision of the capital markets and organized commodity markets.

The agreement stipulates that the Commission ceases prosecution of JSC PFTS Stock Exchange for violation of relevant legislation, and the Stock Exchange recognizes the fact of committing such an offense and undertakes to fulfill a number of requirements:

- to bring its prudential indicators in line with regulatory values ​​by 28.02.2025 inclusive;

- to voluntarily pay a financial sanction in the amount of UAH 50,000 within 10 calendar days from the moment the resolution is issued.

It is important that in the case of non-remediation or impossibility of remediation of the violation, the PFTS Stock Exchange must submit an application for cancellation of the license for the organization of trading in financial instruments.

For a long time JSC PFTS Stock Exchange did not make any decisions to bring its activities into compliance with the norms of the current legislation.

In addition, its indicators of capital liquidity had a clear tendency of deterioration.

In March, the Commission drew up an act on offenses on the capital markets in relation to PFTS.

As the Ukrainian News agency earlier reported, the PFTS Index has been the official index of Ukraine in S&P Emerging Markets since 1997.

PFTS is a corresponding member of the World Federation of Exchanges and a member of the International Stock Exchange Association.