The Philippine Securities and Exchange Commission has launched a consultation on proposed rules establishing a framework for registering, listing and trading structured warrants. Licensed broker-dealers and investment houses incorporated or authorized to operate in the Philippines would be eligible to issue the products, subject to registration and exchange listing requirements, investor protection measures and ongoing compliance obligations. Issuers would need at least PHP 400 million in unimpaired paid-up capital. Non-collateralized issues would generally require an investment-grade credit rating or an acceptable guarantee or security arrangement, while physically settled warrants would need to be fully collateralized. Eligible underlyings would include exchange-listed equities, indices, exchange-traded funds, debt securities and baskets, with foreign instruments restricted to exchanges that are members of the World Federation of Exchanges. The rules also set a three-year maximum term unless the Commission allows longer, minimum issue sizes of PHP 20 million or PHP 10 million with a designated market maker, suitability assessments and risk acknowledgments for investors, and detailed disclosure, risk management, market-making and quarterly reporting requirements. Comments are due by May 13, 2026. The final rules would take effect 15 days after their last publication in two newspapers of general circulation in the Philippines.

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