Securities Exchange

Requirements for a Securities Exchange

1. Application form
2. Memorandum and Articles of Association
3. Certificate of Incorporation
4. Structure of the Company
   • Please provide the full particulars of the shareholders, ie founding documents of the companies involved and their shareholding if shareholders are companies.
   • Shareholders agreement
   • Any approvals which may be required from other authorities
5. Applicant’s Prospective members in terms of sec 10 of si.100/2010
   1. The board should consist of not fewer than seven and not more than nine members. They should fulfill the items mentioned below and should indicate the item the board member is representing, Sec10 of si.100/2010. It should not be left to the Commission to figure out what the individual is representing.
      1. Licenced securities dealer
      2. Person with experience in baking, fund management, transfer secretary or insurance
      3. Experience in company secretarial work, ICSAZ or Legal Practitioner
      4. Full time director or CEO of exchange
      5. Registered public accountant
      6. Represent investing public
      7. Represent the government
   2. To enable the Commission to assess the eligibility of the candidates, the following information should be submitted for each candidate;
      1. Birth certificates-they assist in ascertaining the identity of the individual, particularly where there is a name change.
      2. National Identity card- identification of individual
      3. 2 passport size colour photos- for identification purposes
      4. Detailed CV- to show experience
      5. Police clearance certificate- for fit and proper reasons, sec 7(1)(d) and (e) of Act
      6. Academic and professional certificates-these include “O” and “A” level certificates, diploma/ degree certificates and transcripts or equivalents.
      7. Reference letters are important especially as proof, where the period of experience is mandatory.
      8. Proof of networth in terms of Paragraph 10 subparagraph (3a) of rules, as read in conjunction with section 7(1)(b) and (c) of the Act, to ascertain his solvency.
   3. Board Committees The Composition of the following committees should be submitted:
      1. Listings
      2. Audit (Part II (c) of SI 100 of 2010
      3. Business development/marketing
      4. Membership/registration
6. Management
   • CEO
   • Compliance person
   • Other key staff Information mentioned in 5.ii, item (a) to (f) should be submitted for the above mentioned staff
7. Details of authorized or paid up share capital
8. Insurance cover
9. Clearance certificate from ZIMRA
10. Fees $10 000. Renewal fee is $5000
11. Proof of paid in capital for the Guarantee fund
12. Details of financial assets/capital adequacy (one million)
13. Projected Financial statements
14. Systems Manual
15. Operational and Accounting Manuals
16. Strategy, Business and Marketing Plan
17. Conduct of Business Rules
18. Complaints handling procedure
19. Listings rules
20. Schedule of proposed fees
21. Copy of agreements of systems provider and exchange
22. Other materials which maybe relevant to your application.