Some draft rules for the regulations are being considered by the board of the Superintendency of Securities Market, before being put to public consultation.
According to an article in Capital.com.pa, the Superintendent Alejandro Abood, without giving particular details, said that "the new agreement will regulate permitted leverage margins and determine the reports that the Forex trader, which in this case are brokerage firms, must submit to the Superintendency of securities (VPS).
The transition of the Comisión Nacional de Valores (National Securities Commission) to the new entity has been affected by administrative and legal difficulties which are causing confusion.
The process is suffering from legal and administrative complications in the absence of a regulation in the new law regulating the securities market, which has led to administrators not making decisions nor responding to consultations, among other problems.
The amended regulations have now been published in the Official Gazette.
The new law regulating the securities market in Panama takes effect from 2 September, establishing how participants in the stock market must operate, and what regulations they must comply with.
The next step will be to turn the Comisión de Valores into a superintendency, which must be done within two months, as required by law.
The National Securities Commission of Panama has decided to return the management and control of the brokerage firm to its shareholders, as this will facilitate the institution’s return to operations efficiently and safely.
In its resolution, the commission describes the reorganization of Thales Securities as ‘satisfactory’.
In May 2011, the Panamanian National Securities Commission ordered the reorganization of the leading securities house in Panama, to ensure "the best defense of the interests of investors," referring to the powers conferred by Article 229 of the Decree Law No. 1 of July 8, 1999, which states that the Commission may order the reorganization of a registered institution without pre-ordering the intervention when deemed necessary to better defend the interests of investors, and the solvency and continuity of the registered institution.
In just five months more than $600 million worth of shares have been issued.
The economic boom being experienced by Panama can be seen in all the country's economic activities, and the stock market is no exception.
Between January and May, $602 million worth of securities have been issued, representing an increase of 285% compared to the same period in 2010. In addition, another $400 million worth are in the approval process.
The National Securities Commission has ordered the reorganization of the leading brokerage house in Panama, to ensure "the best defense of the interests of investors."
(UPDATE: On August 8th, 2011, the Panamanian Securities Commission resolved that the "reorganization process for Thales Securities was successfully completed and returned the administration and control of the company back to its shareholders and directors”.)
Plus Capital Market Inc. has begun operations in the Panamanian market after being approved by the country's National Securities Commission.
The National Securities Commission approved the company's request on 12 March with License Number 77-2010.
"Plus Capital Market Inc. is a Securities Broker dedicated to providing innovative services tailored to investors' requirements and needs with strict adherance to legal regulations and ethical standards," reports Pa-digital.com.
The country's National Securities Commission warns that there are more than 100 unregulated companies registered in the stock market.
The list of unregulated companies is published on the website of Panama's National Securities Commission (CNV), which advises that negotiations with these companies are carried out at the risk of the clients.
"Any companies selling securities should be registered with us, if not they are committing a crime.
A new regulation, numbered 2-2010, changes the securities issue registry, making the securities registration process faster.
2-2010 makes it faster to register recurring issuers from recognized jurisdictions. Conaval, the national securities commission, must still thoroughly review the informative prospectus to ensure investors can understand the risks of each security.
On March 23, 7 months after starting operations, the company will issue $12 million in corporate debt.
Juan Olmedo Domingo, company president, explained they have already placed some of the first series of this issue.
“The underwriter is Multisecurities, Multi Trust is the fiduciary, and Multibank the payment agent. The securities will be available in 4 series, maturing at 2, 3, 5 and 10 years from the date of issue”.
It will be the first time a Panamanian electricity company uses the local stock market for obtaining financing.
The issue will be structured in $10 million series, and was officially submitted before the Securities Commision (CNV), on Friday.
“Jorge Vélez, from Interbolsa Panama, commented that this operation is very beneficial for the country, because a large operation like Edemet’s draws both local and foreign investors”, reported Capital.com.pa.
In 2009, the market traded almost $44 billion, 34% more than the volume traded in 2008.
At present, there are 52 stock brokers operating in the country. Most of the new entrants in 2009 were foreign-owned operations.
Juan Martans, President of the National Securities Commission (CNV), explained to Prensa.com that "international transactions account for the largest share of traded volume.
In 2009 the Panamanian securities market registered half the volume of issued securities of 2008.
Juan Martans, securities commissioner, considers that the year was 'very good', keeping in mind that they expected a very tough 2009, due to the international financial crisis.
"The number of foreign operators in the market increased in 2009, including stock brokers and investment advisers.
So far this year, Panama's Securities Commission (CNV) has authorized the operation of 6 brokerage houses from Venezuela.
Alejandro Abood, from the CNV, explained there are currently 12 operation requests being considered, 7 of them of Venezuelan origin.
"In 2009, the defining trend for Panama's economy is the massive influx of Venezuelan capital, and the securities market is profiting from this movement", reports Prensa.com.
The congress will analyze creating new controls and improving existing ones to prevent money laundering.
Experts from Argentina, Mexico, Venezuela, Guatemala, U.S., Dominican Republic, Colombia and Panama will be present at the activity, to be held from August 26 to 28.
Julio César Aguirre, president of the organizing committee, remarked: "The felony of money laundering and financing terrorism is complex, hard to prevent, not easy to investigate, and even harder to penalize. Therefore, constant training and actualization is necessary and obligated", reported Yahoo Noticias.