SEC cuts fees for corporate document requests by 50%

The Securities and Exchange Commission (SEC) is reducing the fees and charges for requests for corporate documents by 50% starting July 1, allowing for greater access to data and boosting investor protection.

SEC Memorandum Circular No. 6 set lower fees and charges for the requests of physical and digital copies of documents filed by registered entities with the commission.

“The commission is committed to implementing a fair and sustainable pricing mechanism to allow for greater access to corporate data, while avoiding undue financial burden to the corporate sector and the general public,” SEC Chairperson Francisco Ed. Lim said in the circular.

“The commission recognizes that equitable access to essential corporate information is supportive of economic growth and the protection of the interests of investors, creditors, and stakeholders,” he added.

Starting July 1, the SEC will charge PHP 1,000 each for the physical and authenticated copies of company filings, 50% lower than the previous rate of PHP 2,000.

These documents include articles of incorporation (AOI) and by-laws, AOI or amended AOI, bylaws or amended by-laws, general information sheet, increase in capital stock, resolution, secretary’s certificate, board resolution, registration data sheet, and deed of assignment.

Authenticated copies of other documents will cost PHP 50 per page, down from the old rate of PHP 100 per page.

For plain copies of the same documents, the SEC will charge PHP 750, half the previous rate of PHP 1,500.

The rate for other documents is set at PHP 25 per page from PHP 50 per page.

The SEC will also slash the standard rate for digital copies of the same types of documents to PHP 625 for each authenticated copy from PHP 1,250 previously, and to PHP 375 for each plain copy from PHP 750 previously.

“This is good because it will be cheaper for the public to do their audit regarding companies they are dealing with,” COL Financial Group, Inc. First Vice-President April Lynn C. Lee-Tan said in a Viber message.

China Bank Capital Corp. Managing Director Juan Paolo E. Colet said the SEC is becoming “more people-friendly” with the decision to lower the rates on corporate data.

“This is a very sensible move as it makes access to corporate information more cost-efficient for the public,” he said in a Viber message.

“One of the major benefits of this initiative is to lower the financial cost of conducting due diligence on companies,” he added.

SM Investments Corp. economist Robert Dan J. Roces said in a Viber message that the lower rates will help improve transparency and ease of doing business.

“Lower costs for accessing vital company information will benefit micro, small, and medium enterprises, researchers, and investors alike — promoting data-driven decisions and a more inclusive corporate environment,” he said.

DragonFi Securities, Inc. Equity Research Analyst Jarrod Leighton M. Tin said in a Viber message that this will drive down the cost of doing business “but should only have a small effect on the corporation level.”

Meanwhile, the SEC said the standard rates for the use of the SEC Application Program Interface (API) Marketplace will remain in effect. The marketplace allows the direct sending and ingestion of corporate data from one application to another.

The corporate regulator currently offers two packages for SEC API Services priced at P10,000 for 100 API calls and PHP 50,000 for 1,000 API calls. — Revin Mikhael D. Ochave, Reporter