Overview

Capital markets play a vital role in the economy, providing companies with long term funds to grow and expand their businesses and an exit platform for investors, which helps improve the efficiency and volume of investment and fuel long term inclusive growth of the economy.

The Presidential decree regulating the Egyptian Exchange, stipulated the issuance of Membership rules and the establishment of the Membership division with a clear mandate to regulate and supervise the member firms according to the rules and regulations issued by EGX and FRA board of directors as well as providing technical assistance and financial advice to all member firms.

To achieve its mission and ensure a high level investor protection, the Membership division is continuously reviewing and updating the Membership rules which aim at implementing the principals of corporate governance, reducing the risks associated with the activities in the securities market by calculating and managing those risks.

The member firm shall start operations and carry out activities licensed by FRA in accordance with their financial and technical potentials, the experience of the firm’s executives and employees as well as the automated systems used for data processing.

As part of the EGX ongoing efforts to improve its technological platform and in order to enhance the market efficiency, the membership division launched its electronic system (MS-EGX), which aims to link EGX and its members electronically to ensure that all information and data are properly submitted to EGX, to be used thereafter in the reporting and the early detection and warning of risks associated with members' activities.

The Membership division holds regular meetings with the member firms to raise their awareness regarding the malpractices and violations that have been detected and that may harm the market participants.