Colombo Stock Exchange revises transaction fees for corporate debt securities

The Colombo Stock Exchange (CSE) announced a revision to the transaction fees applicable to corporate debt securities traded on its Automated Trading System (ATS), following approval from the Fiscal Policy Department of the Finance Ministry.

The approval, conveyed through the Securities and Exchange Commission of Sri Lanka (SEC), allows for a reduction in the SEC cess applicable to corporate debt securities transactions.

The revised CSE fees, CDS fees and SEC cess applicable to corporate debt securities transactions would be 0.01 percent of the transaction value equally divided among the three institutions.

The brokerage fees for corporate debt securities transactions carried out on the ATS of the CSE will remain negotiable.

This marks a transformative step jointly taken by the SEC and CSE to address the discrepancies in the previous fee structure, with the aim of stimulating secondary market trading, enhancing transparency and fostering a more investor-friendly environment. It sets a positive precedent for further investment diversification and improved liquidity in the corporate debt market.

The investors are encouraged to contact their brokers or the CSE for further details on the revised fee structure and its implementation.