Argentine Financial and Securities Market Law (Ley 17.522)

The Argentine Financial and Securities Market Law (Ley 17.522) regulates the financial and securities market in Argentina, including banks, credit unions, investment companies, stock exchanges, and other related entities.

Key Aspects of the Law

Financial Institutions

Banks
Savings banks
Credit unions
Insurance companies
Pension funds
Mutual fund companies

Regulatory Framework

The Securities Commission (Comisión Nacional de Valores - CNV) is the primary regulator for the securities market, while the Central Bank of Argentina (Banco Central de la República Argentina) oversees banking activities.

Licensing Requirements

To operate in the financial sector, entities must obtain a license from the relevant regulatory body. The licensing process involves meeting specific requirements, such as:

Capital adequacy
Solvency
Business conduct standards

Conduct of Business Rules

Financial institutions are subject to rules governing their business practices, including:

Transparency
Disclosure
Fair treatment of clients

Capital Adequacy

Entities must maintain adequate capital levels to ensure their financial stability and ability to absorb losses.

Risk Management

Institutions are required to implement effective risk management systems to identify, assess, and mitigate potential risks.

Compliance with Laws and Regulations

Financial institutions must comply with all applicable laws and regulations, including:

Anti-money laundering (AML)
Anti-bribery corruption (ABC)

Objectives of the Law

The Argentine Financial and Securities Market Law aims to promote a stable and secure financial system, protect investors, and ensure fair competition among financial entities. Its regulations are designed to prevent financial crises, maintain public confidence in the financial sector, and provide a framework for the orderly development of the market.