1 Illegally buying securities issued by shareholder of the securities firm or other issuer with major relationship to securities firm against regulation

The securities firm should sign entrustment contracts with securities brokers who accept such entrustment, issue securities broker certificate, define authorized scope of securities broker and supervise working behavior of securities broker.

Article 41 A securities firm engaged in securities business for its own account is limited to trading of legally issued stocks, bonds, warrants, securities investment funds or other securities recognized by the securities regulatory agency under the State Council.

Article 5 By obeying national regulations, securities firms can issue, trade and sell securities financial products.

Article 76 A securities firm shall undertake real time monitoring on trading behaviors of its self operation accounts and portfolio management accounts.

South Africa was the only country in sub Saharan Africa to issue on international bond or equity markets in 1997.

Article 44 If a securities firm is engaged in self run securities business, its risk controlling indicators such as ratio of total securities value and company net capital, ratio of value of one type of securities and net corporate capital, and ratio of quantity of one type of securities and total issuing quantity of this type of securities should comply with prescription of the securities regulatory agency under the State Council.

(4) Deposit banks, designated commercial banks, asset management agencies, security exchanges, securities registration and clearing agencies of a securities firm

After a securities firm acquiring business license for the securities or domestic branch issued or changed by the corporate registration agency, it should apply to the securities regulatory agency under the State Council for issuing or changing license for securities business.

Bank accounts and securities

E. Bank accounts and securities

Article 80 Where a securities firm entices its clients to conduct unnecessary security trading or uses assets of its clients to take unnecessary security trading in its dealing with portfolio management business, it shall be punished according to the provisions prescribed in Article 210 of the Securities Law of the People s Republic of China.

1 Customers purchase of securities, settlement of securities trading or customers withdrawal

The custody, issuance, distribution, clearing, negotiation, brokerage or management of securities

Article 43 The securities firm shall not have the following behavior while being engaged in self run securities business

Article 1 This Regulation is formulated with the purpose of strengthening supervision and administration of securities firms, standardize their behaviors, prevent their risks, protect legal rights and interests of customers, and promote healthy development of the securities industry according to the Company Law of People s Republic of China (hereinafter referred to as the Company Law) and the Securities Law of People s Republic of China (hereinafter referred to as the Securities Law).

Article 37 If a securities firm is engaged in securities brokerage business, it should audit whether capital and securities in customer s account are sufficient or not.

The ECB has already attempted to ease credit conditions by purchasing high quality asset backed securities. It has bought securities backed by cash flows from private sector mortgages, so called covered bonds, and it has floated the idea of buying corporate bonds and multilateral securities issued by the European Investment Bank.

Article 38 If a securities firm is engaged in securities brokerage business, it can entrust staff outside of the securities firm as securities broker, engaging in attracting and providing service for customers as agent.

In 1997, the United States Treasury began to issue inflation linked securities.

(3) Where a securities firm does not report its security self operation accounts or portfolio accounts of its clients to a security exchange for file according to provisions

Insecuritization

E. Bank accounts and securities 30 11

E. Bank accounts and securities 82 21

Article 46 A securities firm engaged in securities assets management business shall not have the following act

Article 48 Securities lending and borrowing referred to in this article means that in the securities trading at the stock exchange or other securities trading places that have been approved by the State Council, securities firms lend capital or securities to customers for them to buy or sell securities based on the corresponding collaterals provided by the customers.

Security

Securities...

D5 (bank accounts and securities) losses

Article 82 Where a securities firm conducts trading between its security self operation accounts and portfolio management accounts, or between different portfolio management accounts, and has no sufficient evidences to prove effective separation of these accounts is realized according to laws, it shall be punished according to the provisions prescribed in Article 220 of the Securities Law of the People s Republic of China.

The securities broker should have securities working qualification.

While the securities regulatory agency under the State Council approving setting up application of securities firm and its branch, it should consider the needs of development as well as fair competition of the securities market.

Article 50 A securities firm that carries out securities lending and borrowing business shall sign a securities lending and borrowing contract with the customer, and shall open a customer securities guarantee account with the securities registration and settlement organs, and a customer funds guarantee account with the designated commercial bank in the name of the securities firm in accordance with the provisions of the securities regulatory agency under the State Council.

The securities business license should be written with business scope of such securities firm or its domestic branch.

Without securities business license, the securities firm and its domestic branch shall not run securities business.

The legal responsibility of his behavior within authorized scope of the securities firm should be taken by the securities firm and the legal responsibility of any behavior outside authorized scope should be taken by securities brokers.

Securities account opened by the securities firm for securities assets management customer should be submitted to stock exchange for filing within 3 trading days.

Article 42 When a securities firm is engaged in self run business, it should use self run securities accounts with its true name.

4 Trade between self run securities account and securities assets management account, or among different securities assets management accounts, and has no sufficient evidence proving that it has legally realized effective separation

Article 28 When the securities firm is entrusted by securities registration settlement agency to open securities account for customers, it should audit name and identity authenticity declared by customers according to management rule of securities account.

The securities regulatory agency under the State Council can enquire the bank accounts of a securities firm and enterprises controlled or actually controlled by the securities firm with approval of a person responsible of the securities regulatory agency under the State Council with a view to make a thorough investigation of business and financial status of the securities firm.

Article 6 The securities regulatory agency under the State Council should perform supervision and administration roles and responsibilities of securities firm within the law.

Bond offering

(5) Securities service agencies provided services for a securities firm.

A domestic brokerage analyst said that the Orient Securities in Hong Kong did not enjoy a good foundation. Only its capital management business is its strength. It has many inherent problems compared with Bank of China International and CITIC Securities, etc.