Yes, we help Filipinos learn how to trade independently and invest profitably. One of the many things we want to teach you are your legal rights as a stock investor.
We have created some infographic materials for you to lighten up your learning process.
The Philippines Stock Exchange (PSE) has been encouraging shareholder’s involvement and to exercise rights related to every investment transactions.
We have listed a summary of these rights. These are gathered from applicable legal issuance. Remember that the foundation for any liability connected with every investment transaction will still be the exact rule, regulation, and law.
1. Right to Fair and Equal Treatment
Offered opportunities and information access should be given fairly and with equal treatment to every investor.
2. Right to Full, Accurate, and Timely Information
This is essential. It helps the investors make up-to-date decisions in managing their investment.
3. Right to Vote and Exercise Related Rights
Every investor must be given the right to take part in managing the business. This right can be exercise by actively voting on very important decisions like who’s the best fit to be part of the Board of Directors and other major business activities.
4. Right to Have Full Access to Funds in the Account
Investors must have given rights of absolute ownership of his account.
5. Right to Expect the Board, Management, Brokers, and Agents to Perform Their Functions Responsibility
Investors expect that management, the Board, agents, and brokers to be responsible in performing their duties according to the corporation’s culture of honesty and integrity.
6. Right to Rely on the Completeness, Accuracy, and Truthfulness of Accounting and Financial Statements
Investors expect that the accuracy, completeness, relevance, reliability, and correctness of financial statements and accounting issued by independent and certified auditors.
7. Right to Recourse in Case of Disputes Concerning the Account
Investors must be assured that in cases where a problem arises regarding their account, they should receive speedy response coming from agents, managers, and officers of their brokerage firm.
8. Right to Fair Securities Markets Where Trades are Executed at the Best Possible Price
Investors should be assured that company stocks being traded on the stock exchange reflects how the company is being valued by the market.
9. Right to Expect That the Regulatory Bodies are Exercising Supervision Over the Industry
Investors must be adequately protected. Institutions should protect the investors and must, under the law, ensure that the market works in an efficient, transparent, and orderly manner.
10. Right to Know Dividend Policy, to Receive Dividends, and to Enjoy Other Benefits Due to Stockholders
As part-owner, investors are entitled to the company’s profits and benefits.
Thinking of where to invest must be done with due diligence. It should reflect your risk profile and your time horizon based on your financial goals and personal life. Knowing these rights will protect you and your investments. These will also help you make your investment strategy from time to time. So let’s practice these right and be a responsible stock investor in the Philippines.
So here’s the summary of what you’ve just read.
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