Securities Business

On January 1, 2017, the State Ordinance on the Supervision of the Securities Business (AB 2016 no. 53) (SOSSB) was enacted. This ordinance provides the CBA with a solid legal framework to supervise the securities market as well as the parties’ active in the securities business. Prudential supervision of the securities business aims primarily at ensuring the proper functioning and integrity of the financial markets.

License requirements

Securities brokers, asset managers, investment institutions, custodians, and stock exchanges operating in or from Aruba need to obtain a license from the CBA to conduct their activities. Furthermore, the SOSSB prohibits the offerings of securities, as defined in article 1 of the SOSSB, to the public in Aruba or to admit securities to be traded on a stock exchange held in Aruba without a prospectus approved by the CBA.

Ongoing supervision

Mainly via off‐site surveillance and periodic on‐site examinations the CBA conducts ongoing oversight over the securities business. Securities brokers, asset managers, investment institutions, custodians, and stock exchanges must all comply with the stipulations laid down in or pursuant to the SOSSB and all other legislation applicable to the securities businesses, including the State Ordinance on the Prevention and Combating Money Laundering and Terrorist Financing (AB 2011 no. 28) (AML/CFT State Ordinance) as well as the regulatory requirements laid down in the Handbook for the prevention and detection of money laundering and combating the financing of terrorism for financial and trust services providers (AML/CFT Handbook) issued by the CBA.

In case of non‐compliance, the CBA has a wide range of tools available to enforce compliance with the supervisory or AML/CFT laws or regulations, including but not limited to imposing administrative sanctions.