The Securities Commission (SC) is reviewing the proposal submitted by the Association of Stockbroking Companies (ASCM) on 8 May following concerns raised by foreign brokers. The SC is also in the process of seeking and receiving feedback from market participants including institutional investors and the Capital Market Advisory Council (CMAC). Initial feedback from various stakeholders indicates that more time is required for a careful assessment of the issues.

While the request to set minimum rates was market-driven, the SC is acting as a moderator to consider the wide-ranging and sometimes divergent and conflicting interests. In arriving at the final decision by 30 June, the SC will give priority to the well-being of the capital market as a whole; taking into account the various interests of different parties.

As a matter of background, the ASCM announced on 11 April a structure for minimum commission rates, which was scheduled for implementation on 12 May. Following that announcement however, foreign brokers raised concerns about the inter-broker minimum rates. This led to further deliberation on the entire rates structure, and the ASCM reverted with a new proposal on 8 May.