Regulation Amendment

UniCredit Bank Czech Republic and Slovakia,a.s.
Summary: 
An amendment to Act No. 256/2004 Coll. was signed, to improved Capital Market Business practices
Mon, 09/05/2016

On May 4, 2016 the President of the Czech Republic signed the Amendment which changes the Act No. 256/2004 Coll. on Capital Market Business.

The amendment includes the following changes:

    • Any transfer of a pledged security must nave the consent of the pledgee
    • Foreign CSD’s can keep central, subsequent and independent security records in the Czech Republic
    • An entity holding central records of securities (not only the Central Securities Depositary), of independent records, could keep records subsequent to security records in foreign countries.
    • Issuers will have the right to issue securities in CSD's that do not provide services in the Czech Republic
    • Investment records must only be kept for 10 years as opposed to 12
    • Issuers of publicly traded securities must report to all depositories of any changes on the respective issue. The information would then be made public, improving investor rights, simplifying distribution and flow of corporate information.
    • The amendment seeks to align the “Market Standards” with other markets practices which would help facilitate foreign investments


Impact on investors:  Adjusted legislation to CSDR standards and improved distribution and access to local corporate action information.