Term of Separation of Issuers from Professional Participants of Securities Market in Azerbaijan Publicized
Azerbaijan, Baku / Trend corr I. Khalilova / Several Azerbaijani banks will go ahead with operating as professional participants of the securities market by 2009, the Chairman of the State Securities Committee at the Administration of Azerbaijani President, Gunduz Mammadov, reported. After a period of validity of their licenses as broker and dealer activities expires, new licenses will be issued to subsidiary organizations of the banks.
In accordance with legislation, banks who are issuers of securities cannot simultaneously act as professional participants of the stock market.
"The entire world uses the following practice: banks and professional participants of the securities market are separate. That can create some problems for investors, but I believe we have done the right thing in connection to this," Mammadov said.
According to the chairman, there are five or six banks in the Azerbaijani market who act as professional participants.
Mammadov considers the groundless claims from Russian investors regarding the problems in separating issuers from professional participants, which were voiced during the 4th Bonds Congress of the CIS and Baltic Countries held in Baku on 28-29 June.