The Philippine Securities and Exchange Commission is seeking public comments on draft amendments that would raise the general minimum unimpaired paid-up capital for broker-dealers to**₱120 million from ₱100 million**. The proposal covers exchange trading participants, non-exchange broker-dealers, first-time registrants and firms acquiring an existing broker-dealer business. The Philippine Stock Exchange circulated the request after the SEC issued its notice on September 30. Comments are due October 14, 2026, making the document a live consultation rather than a rule already in force.
The draft keeps separate treatment for firms dealing only in proprietary shares and not holding securities for clients. Those entities would face a proposed**₱2.5-million capital threshold**, rather than the general ₱120-million floor. Exchange trading participants using the current ₱30-million alternative capitalization route would also need to post at least a ₱20-million surety bond from December 31, 2028, until they meet the revised requirement. The categories matter because the proposal does not apply one identical capital test to every securities intermediary.
Existing covered broker-dealers would receive a transition period if the amendments take effect. The draft says they would need at least ₱100 million byDecember 31, 2029, followed by ₱120 million by December 31, 2030. The SEC cites inflation, investor interests, risk-sensitive intermediary capital and IOSCO Principle 30 as reasons for reviewing the older threshold. It estimates that ₱100 million in 2004 would equal about ₱230.54 million in 2026 prices, framing the change as a response to capital erosion over time.
The proposal still needs to complete the consultation and publication process before becoming effective. The draft says the circular would take effect only after complete publication in the Official Gazette or in at least two newspapers of general circulation.Broker-dealers and investors should treat the ₱120-million figure as proposed, not as an immediate licensing requirement. The October 14 deadline is for comments, not effectivity. Final wording, transition treatment and implementation timing could change after the SEC reviews all public submissions.
Sources:PSE Request for Comments: Proposed Amendments to SEC SRC Rules 28.1 and 33.1;SEC proposes P120-M capital floor for broker-dealers;SEC seeks higher capital requirement for brokers;SEC eyes higher broker capital, tighter debt collector rules. Image rights and credits are documented in the media manifest.
