Colombo Share Exchange (CSE) is the only authorized Share market in Sri Lanka and the head office of this institute is located in the west tower, world trade center building, Colombo.
There are branch networks all around the country to provide investment services for the people who live far away from Colombo. The main objective of the Colombo Stock Exchange is to organize and do the entire operation of Share market in Sri Lanka.
There are so many rules, and regulations fall to this market and Colombo Share Exchange monitor by the Securities and Exchange Commission of Sri Lanka (SEC).
This institute was established in the year 1987 under act No 36. Later this amended by Act No. 26 of 1991, Act No. 18 of 2003 and Act no. 47 of 2009.
There are 33 registered market Intermediaries under the category of margin provider and 37 registered market intermediaries under the category of Investment Manager under Securities and Exchange Commission of Sri Lanka.
Vision and Mission of Securities and Exchange Commission of Sri Lanka
VISION
“To become the benchmark regulator in South Asia for effective, efficient and proactive capital market regulation”
MISSION
“To promote, develop and maintain a capital market that is fair, efficient, orderly and transparent”
Objectives of SEC in Sri Lanka:
The main objectives of the Securities and Exchange Commission of Sri Lanka are.
- The creation and maintenance of a market in which securities can be issued and traded in an orderly and fair manner;
- the protection of the interest of investors;
- the operation of a Compensation Fund to protect investors from financial loss arising as a result of any licensed stockbroker or licensed stock dealer being found incapable of meeting his contractual obligations; and
- The regulation of the securities market and to ensure that professional standards are maintained in such a market.
More Informations about Securities and Exchange Commission (SEC)
There is a government act pass on this institute, and this is Government institute which protects ordinary shareholders who were trading at Colombo stock exchange (CSE).
Colombo Stock Exchange mainly represents the private sector and the Securities and Exchange Commission (SEC) is a government institute which operates under the finance ministry.
SEC is one of the very high institutes, and it got the power to lose unit trust also. SEC links Sri Lanka Government and security business, so it gives advice and feedback of security business to the Sri Lankan government.
There are ten members of SEC and 6 of them appointed by the finance minister, and most of them are higher government officers.
SEC has got regulatory power from the Sri Lanka government to monitor, give liaisons, and to listen complain and grievance of investors.
SEC published an annual report which contains a lot of useful information regarding Security market of Sri Lanka.
Having some knowledge about the Securities and Exchange Commission is vital for investors and investor got protection from the Sri Lanka government for their shares and securities under this institute.(Source: http://www.sec.gov.lk/)
Most of the brokers companies and individual companies who listed on the Colombo stock exchange is also governed by this institute too.
Conclustion
In this article, you get to know about this institute and how this government institute is protected individual shareholders of Colombo stock exchange. If you want to get more information about the Security and Exchange Commission you can see following contact information for that.
Contact of Securities and Exchange Commission of Sri Lanka
Address : Level 28 and 29, East Tower, World Trade Centre, Echelon Square, Colombo 01, Sri Lanka.
Telephon : +94 11 2331013 – 6, +94 11 2439144 – 8
Fax : +94 11 2439149
Email : mail@sec.gov.lk