THE Securities and Exchange Commission (SEC) has proposed some principles that will allow capital market operators and investors to digitize all of their processes.
According to SEC management on Monday (CMOs), the requirements are contained in the Minimum Operating Standards for Information Technology for Capital Market Operators.
The rules, it stated, will set a benchmark for market operating efficiency by ensuring security, confidentiality, integrity, and dependability of information systems through appropriate use of information technology (IT).
It went on to say that, as financial services and related sectors become more reliant on technology, laws were needed to specify the market’s minimal operational standards.
”This will help operators harness the huge benefits derivable from the adoption of technology and also manage the attendant cyber-security threats and other risks that accompany the use of technology.
”It will also positively impact on the effectiveness and efficiency of the Commission to monitor and regulate all capital market operators in the market,” SEC said.
The Commission said the provisions of the document would apply to all categories of CMOs unless in sections where reference was otherwise made to specific categories of operators.
