|
Article 42
|
When offering and distributing offshore funds, the master agent and sub-distributor(s) shall gain full knowledge of and evaluate the investment knowledge, investment experience, financial condition, and investment risk tolerance level of their investors.
For an investor making a first-time purchase, the master agent and sub-distributor(s) shall require the investor to produce an identification document or a document evidencing registration as a juristic person and to fill out basic information.
The master agent and sub-distributor(s) shall put in place internal control systems including effective procedures for know-your-customer, sales conduct, prevention of short-swing trading, prevention of money laundering, and procedural principles to be complied with under laws and regulations, and submit the systems to the SITCA for review through the master agent.
|