Exchange Membership

Membership of the Exchange

Every person desirous of becoming a Member of the Exchange shall apply to the Exchange for admission as a Member of the Exchange, in the prescribed form which shall be provided by the Exchange at such fee as Exchange may decide from time to time and the membership shall be subject to compliance with these Rules.

Specific Conditions

No person shall be eligible to become a Member of the Exchange unless he:

  • is not less than 18 years of age;
  • if a partnership or body corporate, is duly incorporated under the Laws of Malawi;
  • complies with the capital adequacy norms as may be prescribed by the Exchange, from time to time;
  • complies with the registration and other provisions as may be prescribed by the Exchange from time to time; and
  • pays such fee, charges, deposits and other monies, as may be specified by the Exchange.

Classes of Membership

The Exchange may classify the membership of the Exchange in different categories for different commodities, securities or instruments or derivatives thereon permitted to be traded on the Exchange and provide for different rights and privileges for trading, clearing and settlement of contracts in any commodity or group of commodities, securities or instruments or derivatives thereon to the members of different categories.

A Trading Member means a member of the Exchange who has the right to trade for himself or for his registered client and requires the service of a Clearing Member for clearing and settlement of his trades.
All such trading members must be affiliated with either the Trading-cum-Clearing member or corporate Trading-cum-Clearing member who has clearing rights on the Exchange.

Limited Trading member means a person or company who is registered by the Exchange as the member of the Exchange conferring a right to trade and who is limited to only trade on his own behalf.

Corporate trading and clearing member means a corporate legal person who is admitted by the Exchange as a trading or clearing member of the Exchange and the Clearing House of the Exchange and who shall be allowed to undertake proprietary trades and trades for clients.
Only corporate trading and clearing members may appoint sub-broker who shall be permitted to act on their behalf as agent

Clearing House Member means a person who is admitted by the Exchange as a clearing member and is permitted to clear and settle deals for trading members of the Exchange.

Sub-broker means a person who is not members of the Exchange but may registered as such and may assist Corporate Trading and Clearing member in buying, selling or dealing with the commodity.
No sub-broker shall be engaged as such before he is registered with the exchange and has executed a specific contract with a specific Corporate Trading and Clearing member.

The following persons are eligible to become members:

  • Individuals
  • Sole Proprietorships
  • Partnership Firms
  • Co-operative societies registered with the registrar of co-operative societies of respective states / Union Territories
  • Companies, Corporations or institutions incorporated under Companies Act
  • Such other persons / entities as may be permitted by the relevant authority of AHCX.

Rights and Priviledges of Members

The membership of the Exchange shall entitle a member of the Exchange to exercise such rights and privileges attached to such membership as he specifically applies for dealing on the Exchange, subject to these Rules and the Regulations as applicable from time to time.

The provisions of these Rules and of the Regulations applying to individuals shall apply mutatis mutandis to firms, banks, other financial institutions and bodies corporate who are registered as a member of the Exchange.

A Member of the Exchange shall not assign, mortgage, pledge, hypothecate, or charge his right of membership or any rights or privileges attached thereto, or novate his obligations as a member and any such attempt shall not be effective as against the Exchange. The Exchange shall expel any Member of the Exchange who acts or attempts to act in violation of the provisions of this sub-rule.

The membership rights of the Exchange are transferable subject to the terms and conditions that may be prescribed by the Exchange in this regard from time to time and also subject to prior approval of the Exchange.

Membership application shall be made to:

The Head of Operation
AHCX
P / Bag 1921
Lilongwe
Or hop@ahcxmalawi.com