Services

Financial Market Reform Services

A brief history of the services that Cliff Kennedy has provided in financial market reform consulting is listed below.

Russia

During 2006, FMR services included work on a World Bank project-Improvement of Corporate Governance in Russia, to draft new legislation for the Russian capital markets to prohibit the use of insider trading and market manipulation. The services included consideration of recent EU Directives in the drafting process and the preparation of a comparative analysis report of market abuse laws (insider trading and market manipulation) in the UK, Singapore, France, Germany, Brazil and the US.

During 2003, FMR services included work on a World Bank project to prepare an enforcement manual and to conduct training for the FSA, the securities market regulator for the Russian securities markets. Services also included preparation of recommendations regarding the conduct of investigations, inspections and litigation by the Regulator in their administration and enforcement of the Russian securities laws.

Viet Nam

FMR services included work during 2004-2006 on an ADB project to assist the State Securities Commission of Vietnam in drafting a new comprehensive securities law and related regulations. The services included providing detailed explanatory notes, proposing solutions to resolve conflicts, conducting workshops with the Government and private stakeholders to discuss the draft law and presenting the draft at a conference. The new securities law became effective in January 2007.

Macedonia

During 2005, FMR services in a USAID project assisted the Government of Macedonia in drafting a new comprehensive securities law and a separate Law for the Regulation of Investment Funds. Services included resolving requirements in the drafting process to assess Macedonian approximation to European Union legislation affecting the regulation of capital markets and consideration of IOSCO principles and other international standards. Services also included assisting a Macedonian Securities Legislation Working Group, consisting of government and securities industry representatives, in their effort to secure passage of the proposed legislation by the Parliament.

Pakistan

During 2007, FMR services includes being a legal consultant to support ADB non-bank financial market reforms in Pakistan under the Financial (Non-Bank) Market Governance Program. Services include drafting new legislation, including a Financial Services Commission Act to form a new Financial Services Commission and a comprehensive non-bank financial markets law. Cliff is also performing an assessment of implementation of IOSCO Objectives and Principles previously undertaken as part of the joint IMF-World Bank Financial Sector Assessment Program for Pakistan.

India

During 1996-2001, FMR services included drafting and presenting a comprehensive securities laws, rules and regulations based upon international standards and best practices, and taking into consideration cultural influences and the local circumstances, to improve transparency and efficiency in the securities markets.

Philippines

During 2000, FMR services included providing advice and training to the SEC of the Philippines in the conduct of market surveillance and enforcement investigations and inspections. Inspection and enforcement manuals were developed for the SEC staff.

Ukraine

FMR services included the design and monitoring of surveillance and compliance systems and risk management frameworks for stock exchanges and for a new central depository established in Kiev, Ukraine to clear and settle all trades.

Croatia and Bosnia

During 1998, FMR services included drafting comprehensive securities laws, rules and regulations based upon international standards and best practices, and taking into consideration cultural influences and the local circumstances, to improve transparency and efficiency in the securities markets

Lithuania

During 1998, FMR services include advising the new Securities Commission regarding its administration and enforcement of its securities laws, rules and regulations. Advice was based upon international standards and best practices, and taking into consideration cultural influences and the local circumstances, to improve transparency and efficiency in the securities markets.

Uzbekistan

This 2004-2006 ADB project – Development of the Securities Market, included an analysis of policy and institutional framework and its role in promoting market development, which included identifying obstacles to market development and undertaking a review of Uzbekistan’s most recent IOSCO self-assessment; review of current disclosure requirements for listed issuers (including SOEs), procedures for monitoring compliance and enforcement, the role of the securities regulator, the stock exchange, and other market participants, including listed issuers, for non-compliance.

Mongolia

During February and March 2002, FMR services included an analysis and prepared recommendations in a report to the World Bank on enforcement, corporate governance and securities regulatory conditions in Mongolia During 1993-1995 services included drafting and presenting a new securities law, rules and regulations based upon international standards and best practices, and taking into consideration cultural influences and the local circumstances, to improve transparency and efficiency in the securities markets. Training was provided to the new Securities Commissioners and staff.

During 1993-2003, FMR services were provided by Cliff Kennedy as the Senior Legal Adviser to capital markets projects undertaken by the PricewaterhouseCoopers Consulting firm for government securities market regulatory and enforcement authorities (Securities Commissions) and self regulatory organizations in India, Russia, Ukraine, Philippines, Mongolia, Croatia, Macedonia, Bosnia, Moldova, Armenia, Lithuania, and other countries. Services also provided direction in restructuring existing processes and to counsel stock exchanges in India, Ukraine and the Philippines in adapting international best practices in trading activity, enforcement, compliance, and market surveillance to improve transparency and efficiency in their securities market operations and to attract international and local investors.

During 1993 -1998 FMR services were directed at developing, staffing and trainingCapital Markets Surveillance Units in Russia, Ukraine, Armenia and Moldova. The primary objectives of these units were to act as automated information, analytical and advisory resources to securities authorities and officials with respect to their new enforcement and regulatory responsibilities in the securities markets, and also to develop and train local staff in securities market operations and enforcement and regulatory issues.