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Article 18
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Unless a securities firm has obtained approval from the FSC or is concurrently operated by a financial institution and subject to other relevant acts or regulations, its funds not required for business operation shall not be loaned to other persons or used for other purposes; the funds shall be used for the following purposes only:<br/>1. Bank deposits;<br/>2. Purchase of government bonds or financial bonds;<br/>3. Purchase of treasury bills, transferable certificates of deposit, or commercial papers;<br/>4. Purchase of securities in a specific ratio in compliance with FSC provisions; and<br/>5. Other purposes approved by the FSC.<br/>When funds are utilized under subparagraphs 4 and 5 of the preceding paragraph, the total original acquisition cost shall not exceed 30 percent of the securities firm's net worth.
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