The Trinidad and Tobago Securities and Exchange Commission (“the Commission”) has issued a Policy Guideline on Listed Companies’ Handling of Material and Price Sensitive Information and a Statement of Best Disclosure Practices regarding such information.
The Policy Guideline deals with the importance of preventing selective disclosure. Selective disclosure is the release by issuers of price sensitive information to selected persons such as brokers or securities analysts before that information is disclosed to the general public. The practice of selective disclosure undermines the integrity of the securities market and facilitates offences such as insider trading. The Guideline discusses the provisions of the Securities Industry Act, 1995 (“the SIA, 1995) which deal with price sensitive information and offences involving the misuse of such information.
The Statement of Best Disclosure Practices sets out recommended procedures for the dissemination of price sensitive information. The adoption by issuers of the recommended procedures and practices would promote the disclosure of such information on a non-exclusionary basis and would reduce the risk of unintentional contraventions of the SIA, 1995.
The Policy Guideline and the Statement of Best Disclosure Practices may be accessed by visiting the Policies Section of our website.
Copies at $20.00 each, may also be obtained from the Commission’s offices located at 12th Floor, Central Bank Tower, Eric Williams Plaza, Independence Square , Port of Spain.
Monica J. Clement
September 29, 2003