Market participants

Issuers

An issuer is a legal entity, including an international organisation, the state (acting through a state body duly authorised for this purpose) or a municipality that issues investment securities.

Investors

Investors are persons who buy securities or derivative financial instruments or make an offer to buy them.

Investment companies

Investment companies are legal entities holding the relevant licence that provide investment services in the securities market as a professional activity. Under the Law of the Republic of Azerbaijan “On the Securities Market”, investment companies may become members of the National Depository Center.

Banks providing investment services

Under paragraph 1.3 of the “Rules for the provision of investment services (operations) by investment companies and banks”, banks, subject to the requirements of the Law of the Republic of Azerbaijan “On Banks”, provide investment services (operations) only with securities or derivative financial instruments admitted to trading in the territory of the Republic of Azerbaijan, as well as with securities and derivative financial instruments issued by the Central Bank of the Republic of Azerbaijan.

Investment funds and their managers

An investment fund is a financial institution established in the form of a joint-stock or unit investment fund that raises funds and invests them in the manner set out in its investment declaration with the aim of generating profit.

An investment fund manager is a legal entity engaged exclusively in the management of investment funds and licensed for this type of activity. The manager manages the investment fund in the interests of its shareholders or unit holders under a management agreement concluded with the joint-stock investment fund or with the unit holders.