What is meant by “a principles-based regulatory approach”?
The Regulations for J-Nomads and Companies both state that “the Exchange will operate these Regulations within a ‘principles-based framework.’ In other words the Exchange will apply the provisions within the Regulations in a manner appropriate for the operation of the market, and in accordance with the purpose and principle of each provision. Such judgments will be made in a manner that preserves the transparency and integrity of the market. With such a “principles-based regulatory framework,” we hope to maintain (1) a set of concise and easy to understand regulations and (2) a spontaneous market discipline suitable for the needs of participants in an exchange intended for professional investors.
