Taiwan Stock Exchange - Rules & Regulations Directory

Article NO. Content

Title:

Operating Rules for Custody and Investment of Funds by Securities Firms on Behalf of Customers 

Amended Date: 2015.03.31 
Categories: Securities Exchange Market > Borrowing of Money
Article 3
    For the proposes of theses Rules, reference to a securities firm conducting business relating to custody and investment of funds on behalf of customers means a securities firm engaging in business activities in which the securities firm, pursuant to an agreement with each customer, keeps custody of customer funds arising from securities business in a cash management account and pool the funds held in custody in that account on behalf of the customer for investing in the name of the securities firm on such subject instruments as agreed with the customer.
    For the proposes of theses Rules, the term "cash management account" means a special account opened and maintained by a securities firm for use in conducting business relating to custody and investment of funds on behalf of customers.
    The cash management account under the preceding paragraph shall be kept separate and segregated from the securities firm's own property. Customer funds and subject investments held in the cash management account may not be used for any other purpose, nor may any creditor of the securities firm make any claim for attachment or otherwise exercise any right against the customer funds or subject investments held in the special account to satisfy any liability or obligation incurred by the securities firm with respect to its own property.
    For the purposes of these Rules, the term "a company that is an interested party of a securities firm" shall have the same meaning as under Article 17 of the Regulations Governing Custody and Investment of Funds by Securities Firms on Behalf of Customers.
    For the purposes of these Rules, the term "total amount of invested funds" does not include profit or loss arising from investment of such funds.

Interpretation:

Relevant Laws:

Data Source:Taiwan Stock Exchange - Rules & Regulations Directory
twse-regulation.twse.com.tw