Amendments to the Regulations Applicable to Trading Agents

On June 29, 2023, the Argentine Securities Commission (CNV) issued General Resolution No. 967, modifying certain operational aspects applicable to Trading Agents (AN) to align the applicable regulations to the requirements imposed by the CNV’s General Resolution No. 924. At the same time, the Resolution seeks to reinforce the agency’s objectives of control and supervision of ANs.

General Resolution No. 924 had created a new subcategory of Broker, identified as Agroindustrial (ALyC I AGRO). Accordingly, the new Resolution modifies the regulatory framework applicable to those ALyC I AGRO, which offer settlement and clearing services to those ANs that simultaneously carry out grain, agricultural, and agro-industrial brokerage activities in general, and/or activities ancillary to them.

The purpose of the Resolution is, among others, to improve the regime regarding the segregation of assets of third parties –clients of such ANs– coming from and/or originating on or in connection with the development of the activities, as they are funds coming from the settlement of transactions in the capital market or destined to carry out the activities.

Further, the Resolution:

- Adapts the framework applicable to ANs, incorporating the possibility that they carry out activities aimed at referencing mutual funds to their clients, requiring the prior subscription of the corresponding agreement with at least one comprehensive placement and distribution agent, which also has the status of comprehensive ALyC.

- Adjusts the wording of articles 1 and 20, Chapter I, Title VII of the CNV Regulations, regarding the parties entitled to apply for registration as an AN and the information regime applicable to such category of agent.