Innovative framework pairs international market access with domestic capital market incentives while maintaining strong investor protections.
TAGUIG CITY, PHILIPPINES — September 22, 2026— DragonFi Securities Inc. (“DragonFi”) has received approval from the Securities and Exchange Commission (SEC) to enter the SEC Strategic Sandbox (Stratbox) program under SEC Memorandum Circular No. 9, Series of 2024. The approval marks a major industry milestone, making DragonFi the first licensed Philippine broker-dealer authorized under the regulatory sandbox to offer Philippine investors access to pre-approved Global equities and ETFs through an Over-the-Counter Depositary Receipt (OTC DR) model.
The Stratbox initiative, spearheaded by the SEC’s PhiliFintech Innovation Office (PhiliFINNO), provides a controlled environment to test groundbreaking financial solutions while maintaining market integrity, financial stability, and robust investor protection.
A Balanced Model: Supporting Local Capital While Expanding Global Horizons
A defining feature of DragonFi’s framework is that international diversification is directly tied to participation in the Philippine capital markets.
- Domestic Capital Alignment: To drive growth and participation in the local capital market, users’ global investment limits are directly linked to their Philippine investments. Investors with certified domestic holdings can access pre-approved foreign offerings of up to 50% of their value, while users maintaining PERA holdings may invest up to 100% of the equivalent Philippine investment value.
- Counterpart Philippine-Registered Structure: Access to foreign securities is structured via OTC Depositary Receipts, creating a clear Philippine-registered security counterpart that aligns with local legal and regulatory frameworks.
- Institutional-Grade Custody and Asset Protection: Through DragonFi’s arrangements with premier global financial institutions, international securities and cash assets are held within robust, segregated institutional custody frameworks. Local client funds remain strictly segregated and safeguarded with registered, licensed domestic institutions, ensuring comprehensive asset protection at every level of the investment chain.
Jon Carlo Lim, Chief Executive Officer, DragonFi Securities Inc.:
“This is a defining milestone for DragonFi and for Philippine investors. Filipinos should be able to participate in the world’s largest capital markets through a structure that is locally regulated, transparent and built with investor protection at its core.
What makes this framework especially meaningful is that global access does not have to come at the expense of our own capital markets. The model creates a direct incentive for investors to build their Philippine portfolios as they diversify internationally. We believe that is the right model for the country: giving Filipinos access to more opportunities globally while bringing greater participation and liquidity into the Philippine market.
We are grateful to the SEC and PhiliFINNO for creating a framework that allows responsible innovation to move forward, and we look forward to working closely with the Commission throughout the sandbox.”
McJill Bryant T. Fernandez
Commissioner, Securities and Exchange Commission
"We are encouraged to see more market participants test new approaches to providing investors access to global securities through the SEC Strategic Sandbox. As with other sandbox initiatives, we look forward to seeing how the results of this testing can help inform the continued enhancement of our regulatory frameworks. More importantly, while we facilitate access to a broader range of investment opportunities, particularly for our retail investors, we remain committed to ensuring that our local capital markets are equally, if not better, promoted.”
Next Steps & Sandbox Rollout
DragonFi will initiate its phased sandbox testing following the final submission and validation of its amended testing plan and client suitability protocols. Initial testing will commence with a strictly monitored cohort before expanding user access subject to further SEC review and consent.
For more information, please visit www.dragonfi.ph
About DragonFi Securities, Inc.
DragonFi is the country’s fastest-growing investment platform and the largest PERA administrator, redefining investing through world-class financial technology. Built for modern investors, DragonFi delivers a best-in-class trading & wealth management experience powered by cutting-edge tools, seamless execution, and innovative digital solutions.