Taiwan Stock Exchange - Rules & Regulations Directory

Article NO. Content

Title:

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 

Amended Date: 2015.03.31 
Categories: Market Supervision > Regulation of Securities Firms
Article 3
    For purposes of these Guidelines, the " Money Market Fund Investment Services of Securities Firms" shall mean services of the securities firm as engaged by the client where the securities firm may, before paying the settlement money of the securities transactions undertaken on behalf of the client that are payable to the client below to the savings account the client opens with a financial institution, first deposit the money, as agreed, in the "Securities Firm Money Market Fund Investment Account" ("Investment Account") and invest such funds in the money market in the securities firm's name:
  1. settlement money payable to the client from securities trading undertaken by the securities firm in the centralized securities exchange market or GTSM on behalf of the client;
  2. money payable to the client from the exercise of a call/put warrant by the securities firm;
  3. money payable to the client from bond transactions or repurchase agreements/reverse repurchase agreements of bonds between the securities firm and the client;
  4. money payable to the client from transactions between the securities firm and the client of financial products as defined in the GreTai Securities Market Regulations Governing Over-the-Counter Trading of Financial Derivatives by Securities Firms;
  5. settlement money payable to the client from the trading of foreign securities by the engaged securities firm and re-consignment thereof; and
  6. others as required by the Competent Authority.
    The securities firm shall allocate and utilize the settlement money payable to the client from securities transactions described above, pursuant to its agreement with the client, and shall not keep these funds.
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