SEC Backs Fixed Income Exchange
Byline: RYAN G. BORJA
The Securities and Exchange Commission (SEC) expressed support to the Bankers Association of the Philippines? (BAP) plan to set up a Philippine fixed-income instruments exchange, aimed at organizing and making more efficient the existing loose structure of bond trading and other form of indebtedness in the secondary market.
SEC chairperson Lilia R. Bautista told reporters recently the agency welcome recent developments that the plan to establish our local bond market "is gaining ground," despite the difficulty of putting one.
She added this would give investors more options where to put in their money and investible income. "We support that and would like them to fast-track its development..."
BAP recently secured the support of the United States Agency for International Development (USAID) for the establishment of a Fixed Income Exchange, a crucial move towards the development of the country's capital market.
The USAID support will be in the form of technical assistance under, the memorandum of understanding of which was signed last April 15 between BAP and USAID.
Once operational, the exchange would be able to handle the electronic trading between institutions and the public of government securities, corporate issues, bank issues, assetbacked securities and other fixed income fund. …