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Global Financial Regulatory Framework Regulating International Capital Market Masters in Accountancy (MACC508)

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Presentation on theme: "Global Financial Regulatory Framework Regulating International Capital Market Masters in Accountancy (MACC508)"— Presentation transcript:

1 Global Financial Regulatory Framework Regulating International Capital Market Masters in Accountancy (MACC508)

2 Regulating International Capital markets The Organisational Structure of the IOSC

3 Organisational Structure Composed of: Presidents Committee IOSCO Board Growth & Emerging Markets Committee Regional Committee Affiliate Members Consultative Committee

4 1. Presidents Committee The Presidents Committee is composed of all the Presidents (Chairs) of ordinary and associate members and meets once a year during the Annual Conference. It is chaired by the President of the ordinary member hosting the Annual Conference. Affiliate members may attend the Presidents Committee meeting to hear detailed reports on the work and key developments of IOSCO.

5 2. IOSC Board The IOSCO Board is the governing and standard-setting body of the International Organization of Securities Commissions (IOSCO) and is comprised of 33 securities regulators. Mr. Greg Medcraft, chairman of the Australian Securities and Investments Commission, is the chair of the IOSCO Board. The members of the IOSCO Board are the securities regulatory authorities of Australia, Belgium, Brazil, China, Egypt, France, Germany, Greece, Hong Kong, India, Italy, Japan, Kenya, Korea, Malaysia, Mexico, the Netherlands, Ontario, Pakistan, Peru, Quebec, Saudi Arabia, Singapore, South Africa, Spain, Sweden, Switzerland, Thailand, Trinidad and Tobago, Turkey, United Kingdom and the United States.

6 2. IOSC Board The policy work of IOSCO is conducted by the following nine committees under the aegis of the Board: Committee 1 Issuer Accounting, Auditing and Disclosure; Committee 2 Regulation of Secondary Markets; Committee 3 Regulation of Market Intermediaries; Committee 4 Enforcement and the Exchange of Information and the Multilateral Memorandum of Understanding Screening Group; Committee 5 Investment Management; Committee 6 Credit Rating Agencies; Committee 7 Commodities Derivatives Markets; and Committee 8 Retail Investors

7 3. Growth & Emerging Markets Committee The Growth and Emerging Markets Committee is the largest Committee within IOSCO, representing 75% of the IOSCO's ordinary membership. Mr. Ranjit Ajit Singh, Chairman, Securities Commission, Malaysia, and Vice Chair of the IOSCO Board, is the Chair of the GEM. The Committee seeks to promote the development and greater efficiency of emerging securities and futures markets by establishing principles and minimum standards, providing training programs and technical assistance for members and facilitating the exchange of information and transfer of technology and expertise.

8 3. Growth & Emerging Markets Committee The GEM comprises eighty-eight members who include the world's fastest growing economies and 10 of the G-20 members. Emerging economies are expected to represent a growing portion of IOSCO membership as new members continue to join.

9 3. Growth & Emerging Markets Committee IOSCO is the only international standard setter that has a Committee solely responsible for emerging market issues. This inclusiveness increases IOSCO's effectiveness and positions it to play a bigger part in shaping the global regulatory framework: IOSCO has been allocated an extra seat at the Financial Stability Board Plenary for the Chairman of the GEM. The GEM also has a seat on the IFRS Foundation Monitoring Board.

10 4. Regional Committees Africa/Middle East Regional Committee Asia-Pacific Regional Committee European Regional Committee Inter America Regional Committee

11 5. Affiliate Members Consultative Committee All affiliate members of IOSCO form part of the Affiliate Members Consultative Committee (AMCC), which is currently chaired by Jose Carlos Doherty, the Chief Executive Officer of the Brazilian Financial and Capital Markets Association (ANBIMA). The AMCC is comprised of 64 IOSCO affiliate members, representing securities and derivatives markets and other market infrastructures, self-regulatory organizations (SROs), investor protection funds and compensation funds, as well as other bodies with appropriate interest in securities regulation. There are currently 33 jurisdictions represented in the AMCC which also includes eight regional or international associations.

12 5. Affiliate Members Consultative Committee The AMCC objectives are to share experiences and enhance cooperation among its members. In its capacity as a consultative committee, it provides input into the IOSCO policy and standard-setting work. The AMCC also has its own streams of work, including the Ahead of the Curve Working Group and the Regulatory Staff Training Working Group, which organizes every year the AMCC Training Seminar on Implementing IOSCO Principles. The AMCC establishes Task Forces to investigate topics with specific relevance for AMCC members and/or the broader IOSCO community (e.g., Cybersecurity, Investment Management Data, and Emerging Risks).

13 Key Regulatory Standards The IOSCO Objectives and Principles of Securities Regulation sets out 38 Principles of securities regulation, which are based upon three Objectives of securities regulation. These are: protecting investors; ensuring that markets are fair, efficient and transparent; reducing systemic risk.

14 Key Regulatory Standards The Methodology for Assessing Implementation of the IOSCO Objectives and Principles of Securities Regulation is designed to provide IOSCO's interpretation of the International Organization of Securities Commission's Objectives and Principles of Securities Regulation ("Principles") and give guidance on the conduct of a self-assessment or third-party assessment of the level of Principles implementation.Methodology for Assessing Implementation of the IOSCO Objectives and Principles of Securities RegulationObjectives and Principles of Securities Regulation

15 End End of Slides on the study of IOSC


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