Become a Trading Member
Why Become a Trading Member?
As a BSX Trading Member, you gain direct access to Bermuda’s domestic marketplace supported by BSX’s state-of-the-art trading systems. Trade seamlessly and build stronger relationships with local and international market participants.
Trading on BSX
Deposit, trade, clear and settle securities listed on BSX, all through BSX’s integrated trading, clearing, settlement and depository systems.
Trading System
BSX’s Bermuda Electronic Securities Trading (BEST) system is a state-of-the-art, proprietary trading system for the trading of its listed securities.
Clearing, Settlement and Depository System
BSX’s Bermuda Securities Depository (BSD) is Bermuda’s national clearing, settlement and depository system for dematerialised shares.
Trading Member Types
The BSX has 3 categories of Trading Members:
| Broker | Broker/Dealer | Market Maker |
| A Trading Member which executes transactions on behalf of clients only (i.e. on an agency basis). | A Trading Member which executes transactions on behalf of itself (as principal) and its clients. | A Trading Member which executes transactions on behalf of itself and its clients and provides market making services in selected securities. |
To trade on the BEST trading system and settle through the Bermuda Securities Depositary (BSD), a Trading Member must:
- Authorisation - have regulatory authorisation to trade for its membership type (i.e. broker, broker/dealer or market maker) in Bermuda.
- Capital - meet the minimum net capital requirements set by its regulatory authority for its membership type.
- Suitability - demonstrate it meets the suitability requirements such as appropriate systems, adequate operations, experience and policies and procedures to support its business.
- Settlement Guarantee - have ongoing settlement guarantee arrangements in place in the form of deposit, letter of credit or guarantee for its expected level of trading.
For more information see the Trading Membership Regulations.
Additional information on how the Settlement Guarantee works is included in the BSD Participant Guide.
Contact the BSX team on bsxops@bsx.com for more information.
A Trading Member facilitates trading for its clients.
1. Talk to us - We welcome new members and encourage applicants to contact us in advance so that we can provide support throughout the application process.
2. Submit documents – submit the following documents to bsxops@bsx.com
- Trading Member Application Form
- A Senior Executive Questionnaire for each senior executive
- Identification documents for the legal entity, beneficial owners and directors.
- Settlement Guarantee information
3. Address any feedback – the Operations team will review your application and provide feedback where necessary within 5 business days. The team then submits the application to the Executive Management Committee (EMC) for consideration.
4. Approval – the Executive Management Committee considers the applicant’s eligibility and suitability for membership and makes its decision within 10 business days.
5. System Access and Training – a trading member nominates relevant users to access the BEST and BSD systems. Short online training is provided to ensure they are familiar with the BSX systems prior to admission.
6. Agree admission date – once approved by the EMC, the settlement guarantee is in place and training is complete, a Trading Member is admitted to membership on a mutually agreed date. A new membership is announced to the market and the Trading Member can commence trading activities.
For more information see Trading Membership Regulations and BSD Regulations.
Contact the BSX team on bsxops@bsx.com with any questions on the membership process.
Application Fee: $7,500 (USD/BM$) payable on submission
Annual Fee: $7,500 (USD/BM$) pro-rated for the first year
Annual Fee: is pro-rated for the first year.
A Trading Member who is also a Listing Sponsor, benefits from a combined membership rate.
A Trading Member’s continuing obligations include:
- Submission of an annual Confirmation of Suitability
- Submission of annual audited financial statements
- Co-operation with the Exchange on an ongoing basis such as requests for trade information
- Notification of changes to the trading member entity including name, address or directors
- Notification of significant events affecting suitability (e.g. imposition of disciplinary measures, liquidation)
- Notification of changes to users or to user access.
- Compliance with procedures to lodge and withdraw securities to the BSD for trading.
- Acting in the best interest of its clients
- Supporting a fair, orderly market and the settlement of trades on a timely basis.
For full details see the Trading Membership Regulations and BSD Regulations.
Trading and Settlement System Guides