Securities and Exchange Commission (SEC) order to Asia Wealth Securities Company Limited Suspension of all types of business operations. and transferring customer assets to other operators due to inability to maintain capital reserves as required by law
The SEC stated that Asia Wealth Securities Co, Ltd was unable to maintain Net Capital (NC) as required by law. with capital reserves below 0 for more than 5 consecutive business days starting from November 14, 2022, according to SEC Notice No. Sor Sor Sor 64/2563 on the calculation and reporting of the capital calculation of the business operator and the requirements in case of incapacity to maintain capital
Asia Wealth Securities Company Limited must act as set out in the announcement as follows:
1. Suspend all types of business operations until they are able to maintain capital reserves and receive approval from the SEC to operate as usual. Unless there are exceptions as stated in the announcement, for example, it is a hedging transaction for the Company’s general investment risk. and implementation of proposed obligations. Including taking action as necessary and appropriate. To prevent the customer’s asset value from being damaged, such as clearing future positions in accordance with the customer’s order. or exchange maturing instruments with the issuer of such instruments, etc.
2. Clear future positions held for yourself Unless it is for hedging purposes.
3. Transfer of customer assets in the cash account to other securities business operators. for the custody of customer assets and the transfer of the customer’s property and derivatives position to another derivatives business operator in accordance with the customer’s request. To be completed within 10 working days from 21 November 2022
4. Notify the customer in writing of the related steps above without delay. If an expense arises from the operation under (3), the Company will be responsible for such expense.
The SEC attaches great importance to monitoring the financial status and liquidity of business operators. Ensure that the business operator has complied with the specified rules.
