| (Cap 571, section 152) [1 April 2003] L.N. 12 of 2003 (L.N. 212 of 2002) Cap 571Q s 1 (Omitted as spent) PART 1 PRELIMINARY (Omitted as spent) Cap 571Q s 2 Interpretation In these Rules, unless the context otherwise requires- "asset management" (资产管理) has the meaning assigned to it by Part 2 of Schedule 5 to the Ordinance; "balance" (结余) includes, where applicable, money ledger balance; "floating loss" (浮动亏损) means unrealized losses calculated by marking to market open positions; "floating profit" (浮动利润) means unrealized profits calculated by marking to market open positions; "foreign intermediary" (外地中介人) means- (a) a person who carries on a business of providing financial or investment services and is regulated in respect of that business in a specified jurisdiction; or (b) a bank that is regulated under the law of a specified jurisdiction;"margin ratio" (保证金比率), in relation to each description of securities collateral, means the percentage of the value of such collateral up to which a client of an intermediary is permitted to borrow (or otherwise secure other forms of financial accommodation) from the intermediary against that particular description of securities collateral; "margin value" (保证金价值), in relation to each description of securities collateral, means the maximum amount of money which a client of an intermediary is permitted to borrow (or otherwise secure other forms of financial accommodation) from the intermediary against that particular description of securities collateral; "margined transaction" (保证金交易) means a relevant contract which requires a client with whom or on whose behalf an intermediary has entered into the relevant contract to- (a) pay a margin to the intermediary; or (b) provide security to the intermediary to meet the client's obligations,other than under an arrangement where financial accommodation is provided to the client by the intermediary;"marking to market" (按照市值计算差额) means the method or procedure of adjusting the valuation of open positions to reflect their current market value; "net equity" (权益净额), in relation to a client of an intermediary, means the balance in the client's account at any given time- (a) plus any floating profit; (b) less any floating loss; and (c) after adjusting for any income credited to and charges levied against that account;"relevant contract" (有关合约) means a contract entered into in Hong Kong by an intermediary with or on behalf of a client of the intermediary in the conduct by the intermediary of any of the businesses which constitute- (a) any regulated activity for which the intermediary is licensed or registered, that is a contract- (i) for a dealing in securities (except a market contract); or (ii) for a dealing in futures contracts (except a market contract); or(b) the regulated activity of leveraged foreign exchange trading for which the intermediary is licensed, that is a leveraged foreign exchange contract;"specified jurisdiction" (指明司法管辖区) means a jurisdiction specified in Schedule 1. Cap 571Q s 3 Application (1) These Rules, other than sections 11(4) and (5) and 13, do not apply to- (a) an intermediary licensed or registered for asset management; or (b) an associated entity of such an intermediary,in relation to the conduct by the intermediary of asset management. (2) Where a client of an intermediary is a professional investor within the meaning of- (a) any of paragraphs (a) to (i) of the definition of "professional investor" in section 1 of Part 1 of Schedule 1 to the Ordinance, and- (i) the intermediary has notified the client in writing that unless the client objects, the intermediary will not provide to the client any contract notes, statements of account or receipts (as the case may be) in accordance with these Rules and the intermediary has not received any objection from the client; or (ii) an associated entity of the intermediary has notified the client in writing that unless the client objects, the associated entity will not provide to the client any receipts in accordance with these Rules and the associated entity has not received any objection from the client; or(b) paragraph (j) of the definition of "professional investor" in section 1 of Part 1 of Schedule 1 to the Ordinance and has agreed in writing with- (i) the intermediary not to receive from the intermediary any contract notes, statements of account or receipts (as the case may be) in accordance with these Rules; or (ii) an associated entity not to receive from the associated entity any receipts in accordance with these Rules,then section 5, 8, 9, 11 or 13 (as the case may be) does not apply to the intermediary or the associated entity in relation to the client. (3) For the avoidance of doubt, nothing in these Rules affects section 19 of the Stamp Duty Ordinance (Cap 117). Cap 571Q s 4 Avoidance of duplication (1) Where- |
