Interim Measures for Administration of Securities and Futures Investment Consultancy
Interim Measures for Administration of Securities and Futures Investment Consultancy
Interim Measures for Administration of Securities and Futures Investment Consultancy
Zheng Wei Fa [1997] No. 96
December 25,1997
Chapter I General Provisions
Chapter II Securities and Futures Investment Consulting Institution
Chapter III Securities and Futures Investment Consultants
Chapter IV Administration of Securities and Futures Investment Consulting Business
Chapter V Penalty Provisions
Chapter VI Supplementary Provision
Chapter I General Provisions
Article 1 The Measures are formulated to strengthen the administration of securities and futures investment consultancy and safeguard investors' lawful rights and interests as well as social, public interests.
Article 2 The Measures shall be abided by when the securities and futures investment consultancy business is conducted within the boundary of the People's Republic of China.
The securities and futures investment consultancy as termed in the Measures refers to the activities conducted by the institutions and the staff engaged in investment consulting services with regard to the provision for securities and futures investors or clients with direct or indirect paid consulting services including analyses, predictions or suggestions for investment in securities and futures in the following ways:
1. provide securities and futures investment consultancy services upon the acceptance of the entrustment by the investor or client;
2. sponsor lectures, report meetings and analysis meetings regarding securities and futures investment consultancy;
3. publish articles, commentaries and reports concerning securities and futures investment consultancy in newspapers, and provide securities and futures investment consultancy services through radio and TV station and other public media;
4. provide securities and futures investment consultancy services through telecommunications equipment and systems such as telephone, fax and computer network;
5. other methods as affirmed by the China Securities Regulatory Commission (CSRC).
Article 3 The business license granted by the CSRC shall be obtained according to the regulations specified in the Measures before any securities and futures investment consultancy business is to be conducted. Without the permission of the CSRC, no institution or individual is allowed to be engaged in the securities and futures investment consultancy services as specified in Article 2 of the Measures.
The securities institutions, futures brokerage institutions and their staff shall comply with the regulations of the Measures when engaged in the securities and futures investment consultancy business beyond the scope of their business.
Article 4 Relevant laws, regulations, rules and relevant provisions of the CSRC shall be observed with the principle of objectivity, justness, honesty and creditability upheld when dealing in the securities and futures investment consultancy business.
Article 5 The CSRC and its authorized local securities and futures regulatory authorities (hereinafter referred to as 'local regulatory authorities') take charge of the supervision and management of the securities and futures investment consultancy business as well as the implementation of the Measures.
Chapter II Securities and Futures Investment Consulting Institution
Article 6 Institutions applying for securities and futures investment consultancy qualifications shall meet the following conditions:
1. The institutions shall be those engaged in securities or futures investment consultancy businesses, and shall have more than five full-time staff members with qualifications for securities and futures investment consultancy; the institutions engaged in both securities and futures investment consultancy businesses shall have more than ten full-time staff with qualifications for securities and futures investment consultancy; and at least one of their senior managerial personnel shall be of the qualification for securities or futures investment consultancy;
2. The registered capital shall be more than CNY1.00 million;
3. The fixed business venue and the communications and other information transformation facilities suitable for the business shall be furnished;
4. The articles of association shall be formulated;
5. The internal management system shall be complete and sound;
6. Other conditions required by the CSRC shall be met.
Article 7 Securities institutions and futures brokerage institutions shall meet the requirements specified in Article 6 of the Measures before applying for concurrent engagement in securities and futures investment consultancy businesses.
Other consulting institutions engaged in consulting services may apply for concurrent engagement in the securities and futures investment consultancy business if they have met the requirements as specified in Article 6 of the Measures.
Article 8 The examination and approval of the securities and futures investment consultancy qualification applied for by the institution will be conducted according to the following procedures:
1.
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