FAQs for Implementing Regulations

The content of this page shall not prejudice the provisions of the Capital Market Law, the Companies Law, their Implementing Regulations or other relevant laws. The content of this page shall not be considered an alternative to the provisions of the Capital Market Law, the Companies Law, or their Implementing Regulations. In the event of any conflict between the content of this page and the provisions of the Capital Market Law, the Companies Law, or their Implementing Regulations, those Laws and Regulations shall prevail. And as the Implementing Regulations issued by the CMA are subject to constant update, reliance shall be always on the Regulations published on CMA's website.

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What does “contractually based securities” mentioned in Subparagraph (2) of Paragraph (a) of Article 6 of the Rules on the Offer of Securities and Continuing Obligations mean?

Can newly established or emerging companies offer contractually based securities?

Is the issuer required to submit a prospectus to offer contractually based securities?

Is the offeror of contractually based securities required to appoint an authorised person when offering contractually based securities?

Does the Committee for the Resolution of Securities Disputes have jurisdiction over disputes arising from contractually based securities?

Do the disclosure related provisions stipulated in the Rules on the Offer of Securities and Continuing Obligations apply to the issuer of contractually based securities?

Is it possible to establish investment funds targeting community service activities offered in accordance with the provisions of the Investment Funds Regulations?

Do investment funds target community service activities that channel the returns of their investments to community service activities through entities and charities under the supervision of the Ministry of Human Resources and Social Development?

Do investment funds targeting community service activities collect contributions from unitholders and invest these monies?

Can the unitholder redeem its money from the investment fund that targets community service activities?

Can the returns of the investment fund that targets community service activities be directed to more than one beneficiary entity?

Is the inconsistency of the transaction risks with the client's risk tolerance disclosed in the “Know Your Client Form” considered a violation of the provisions of Article 43 of the Capital Market Institutions Regulations?

In the event that there is an attorney-in-fact or authorised signatory to open or operate an investment account for the client, does the capital market institution consider the suitability of the advice or transaction - in accordance with Article 43 of th

What does the term “senior executives and departments managers; directly related to securities business” mean?

Do the provisions of Article 33 of the Capital Market Institutions Regulations apply to the announcements required to be published by the Capital Market Institution under the Capital Market Law and its implementing regulations?

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