CMA approves amended clearing, cash market, derivatives procedures

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The Securities Clearing Center Co. (Muqassa) announced the issuance of the Capital Market Authority's (CMA) board resolution on Aug. 14, 2023, approving the change of the name of "Clearing Procedures" to "Derivatives Clearing Procedures" as well as the enclosure of paragraph number (1.2) to "Derivatives Clearing Procedures" and paragraph number (1.2) to "Cash Market Clearing Procedures."

Amendments to the name and two paragraphs will take effect from their publication date, Muqassa said in a statement today, Oct. 29.

In addition, Muqassa announced the issuance of its board’s resolution dated Feb 26, 2023, for approving amendments to the derivatives clearing and cash market procedures.

The amendments to the procedures aim to regulate the mechanism of trading and clearing single-stock options (SSOs) products, Muqassa explained, adding that the launch of this product will further support the prosperity of the Saudi capital market by creating diversified products complemented by effective hedging tools to manage risks.

The amended procedures will be effective as of Nov. 27, according to the statement.