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Article NO. Content


Guidelines for the Commission Agency Services of Securities Firms for Investment in the Money Market of Settlement Money Payable to Clients from Securities Transactions Undertaken on Behalf of Clients  CH

Amended Date: 2015.03.31 
Categories: Market Supervision > Regulation of Securities Firms
Article 13     The securities firm shall review the book-entry account opened by the client for trading of securities on the centralized securities exchange market or GTSM before agreeing to sign the Agreement for Money Market Fund Investment Services of Securities Firms with the client and then providing the Services.
    The template of the Agreement for Money Market Fund Investment Services of Securities Firms in the preceding paragraph shall be established by the CSA and submitted to the Competent Authority for acknowledgement, and shall state the following:
  1. types of funds for utilization requested by the client;
  2. the threshold amount for utilization established by the securities firm;
  3. types of underlying investments;
  4. terms and conditions of the underlying investments;
  5. the securities firm shall perform the fund transfers as agreed without making any investment decisions; any and all risks and profits arising from utilization of funds shall be solely borne and enjoyed by the client; and the securities firm may not agree with the client on the sharing of investment profits and losses;
  6. the agreed order of utilization of underlying investments in the event the client has funding needs;
  7. the application procedures for the client's recovery of funds;
  8. how the client may request information about its funds and underlying investments;
  9. the securities firm shall keep records of the receipt and payment and associated utilization of funds for the Services;
  10. management fee rate charged by the securities firm;
  11. the effective date and term of existence of the agreement, and how the agreement may be amended and terminated;
  12. the client agrees that the securities firm may disclose information about the investment in the money market requested by the client to the TWSE, GTSM, and institutions appointed by the Competent Authority for collection, processing and use as required by law; and
  13. dispute resolution.