Continued growth in the internationalisation of trade, fierce competition and automated trading have helped to make the issues of supervision and compliance more important than ever. That is the shared view of Arnold Vastenhouw, Director Trading Markets and Henny te Beest, General Manager of ASE's Compliance and Enforcement Department.
"Supervision and compliance are important because they ensure the protection of all participants in the market," Mr Vastenhouw says. "Admission to the market must be at the same level for everyone and investors must enjoy the same quality of supervision whether for instance the broker is based in Spain or Germany."
ASE Sticks to the Rules
The Compliance Department ensures that the Exchange's members and its listed companies comply with all the regulations they should, including those of the ASE and of the Dutch Securities Board.
Failure to ensure that those rules are maintained will ultimately cause the market to suffer, Mr te Beest maintains. "If you allow to entry to the market of participants that cannot keep their promises, lack capital or cannot deliver on time, the impact on the market is incredibly negative. Participants will just pick a new market elsewhere."
The Supervision Department ensures the trading information flow by the listed companies to the market. Mr Vastenhouw's Stock Watch Division carefully monitors all developments in the market on a real-time basis.
Greater Powers
ASE has tightened up its powers, by giving the Director Trading Markets the power to fine members for small misdemeanours. It has also entered into an agreement with its members and the Dutch Institute of Registered Accountants (NIVRA) that gives it greater access to auditors' data, and obliges accountants to disclose questionable financial practices and risky short positions taken by ASE members.
Modelcode Insider Trading
The Modelcode, which is an agreement between the ASE and its listed companies preceded and now supplements the Securities Act regulating insider trading in the securities of listed companies.
The Importance of Self Regulation and Compliance
The ASE believes that the more control it exerts over its own regulation, the better it can ensure the quality of the market. "Self regulators work fast and efficiently because they are always closest to where it all happens: the market itself," says Mr Vastenhouw. "Since the participants design and control their own rules they make a commitment to obey those rules and they fulfil that commitment."
For further information on the Amsterdam Exchanges NV, please contact: Thom Hoedemakers, Director of Communications, Amsterdam Exchanges NV, Beursplein 5, 1012 JW Amsterdam, Netherlands, Tel: + 31 20 5234014, Fax: + 31 20 5234950, or enter a text search "Amsterdam Exchanges NV" and "Business Monitor".
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
"Supervision and compliance are important because they ensure the protection of all participants in the market," Mr Vastenhouw says. "Admission to the market must be at the same level for everyone and investors must enjoy the same quality of supervision whether for instance the broker is based in Spain or Germany."
ASE Sticks to the Rules
The Compliance Department ensures that the Exchange's members and its listed companies comply with all the regulations they should, including those of the ASE and of the Dutch Securities Board.
Failure to ensure that those rules are maintained will ultimately cause the market to suffer, Mr te Beest maintains. "If you allow to entry to the market of participants that cannot keep their promises, lack capital or cannot deliver on time, the impact on the market is incredibly negative. Participants will just pick a new market elsewhere."
The Supervision Department ensures the trading information flow by the listed companies to the market. Mr Vastenhouw's Stock Watch Division carefully monitors all developments in the market on a real-time basis.
Greater Powers
ASE has tightened up its powers, by giving the Director Trading Markets the power to fine members for small misdemeanours. It has also entered into an agreement with its members and the Dutch Institute of Registered Accountants (NIVRA) that gives it greater access to auditors' data, and obliges accountants to disclose questionable financial practices and risky short positions taken by ASE members.
Modelcode Insider Trading
The Modelcode, which is an agreement between the ASE and its listed companies preceded and now supplements the Securities Act regulating insider trading in the securities of listed companies.
The Importance of Self Regulation and Compliance
The ASE believes that the more control it exerts over its own regulation, the better it can ensure the quality of the market. "Self regulators work fast and efficiently because they are always closest to where it all happens: the market itself," says Mr Vastenhouw. "Since the participants design and control their own rules they make a commitment to obey those rules and they fulfil that commitment."
For further information on the Amsterdam Exchanges NV, please contact: Thom Hoedemakers, Director of Communications, Amsterdam Exchanges NV, Beursplein 5, 1012 JW Amsterdam, Netherlands, Tel: + 31 20 5234014, Fax: + 31 20 5234950, or enter a text search "Amsterdam Exchanges NV" and "Business Monitor".
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
