Argentina: Amendments to the regime of promotion and advice within the framework of public offering of marketable securities

In brief

On 15 May 2024, the National Securities Commission (CNV) issued General Resolution No. 1002/2024 ("Resolution"), modifying the regime applicable to promotion and advice within the framework of the public offering of securities.


Contents

In depth

In particular, the Resolution provides that issuers, clearing houses, trading agents, and any other human or legal person that intervenes or offers services in the public offering of negotiable securities shall refrain from the following:

  1. Intervening in the public offering in any capacity that requires prior authorization, without having said authorization.
  2. Offering, buying, selling, or carrying out any type of transaction on negotiable securities that, due to their characteristics, should have obtained public offering authorization and have not obtained it at the time of the transaction.
  3. Carrying out transactions not expressly authorized by the CNV.
  4. Offering advisory services on negotiable securities without having the corresponding registration.
  5. Disseminating and promoting negotiable securities and/or attracting or linking clients to other entities without the corresponding authorization.

The relevance of the Resolution is that the following will not be considered advice for the purposes of item (iv): (a) opinions of a generic nature on investments or the mere disclosure of information or explanation of the characteristics and risks of a transaction or negotiable security; and (b) the preparation of reports or analyses of a general nature, even if they include a recommendation to buy or sell.

The Resolution became effective on 16 May 2024.

Click here to read the Spanish version.


Jeronimo Argonz, Associate, and Juana Allende, Associate, have contributed to this legal update.


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