The term "overseas traders" as mentioned in these Measures refers to legal persons, other economic organizations and natural persons with overseas citizenship who are legally established outside People's Republic of China (PRC) to engage in futures trading and bear the trading results.
The term "overseas brokerage institution" as mentioned in these Measures refers to a financial institution established outside People's Republic of China (PRC) according to law and approved by the futures regulatory agency of the host country (region), which can accept traders' funds and trading instructions and conduct futures trading in its own name.
The term "domestic specific varieties" as mentioned in these Measures shall be determined and promulgated by China Securities Regulatory Commission (hereinafter referred to as China Securities Regulatory Commission). Article 3 The China Securities Regulatory Commission and its dispatched offices shall, according to law, supervise and manage overseas traders and overseas brokerage institutions engaged in domestic futures trading of specific varieties.
The futures exchange shall, according to the self-discipline rules, conduct self-discipline management on domestic futures trading and related business activities of specific varieties.
China Futures Association implements industry self-discipline management on domestic specific futures trading and related business activities according to self-discipline rules.
China Futures Market Monitoring Center Co., Ltd. monitors domestic futures trading and related business activities of specific varieties according to law. Article 4 Overseas traders and overseas brokerage institutions shall abide by the laws and regulations of People's Republic of China (PRC) and these Measures, and fulfill their obligations of anti-money laundering, anti-terrorist financing and anti-tax evasion. Article 5 Overseas traders may entrust domestic futures companies (hereinafter referred to as futures companies) or overseas brokerage institutions to participate in domestic futures trading of specific varieties.
With the approval of the futures exchange, qualified foreign traders can directly engage in domestic futures trading of specific varieties on the futures exchange.
An overseas trader who directly enters the market as mentioned in the preceding paragraph shall meet the following conditions:
(1) The host country (region) has a sound system of laws and regulations;
(two) financial stability, good reputation and sufficient working capital;
(3) Having a sound governance structure, a sound internal control system and standardized business practices;
(4) Other conditions stipulated by the futures exchange. Article 6 After accepting the entrustment of overseas traders, an overseas brokerage institution may entrust a futures company to conduct domestic futures trading of specific varieties. After accepting the entrustment, the futures company conducts transactions for overseas brokerage institutions in its own name.
With the approval of the futures exchange, qualified overseas brokerage institutions can accept the entrustment of overseas traders and directly conduct domestic futures trading for overseas traders in their own names.
The overseas brokerage institution directly entering the market as mentioned in the preceding paragraph shall comply with the provisions of the third paragraph of Article 5 of these Measures, and the futures regulatory agency of its home country (region) has signed a memorandum of understanding on regulatory cooperation with the China Securities Regulatory Commission. Article 7 An overseas brokerage institution shall not accept the entrustment of domestic traders and the units and individuals specified in Article 26 of the Regulations on the Administration of Futures Trading to conduct domestic futures trading for them. Article 8 A futures exchange shall stipulate the conditions and procedures for obtaining and terminating the qualifications of overseas traders and overseas brokerage institutions who directly enter the market, and clarify their rights and obligations. Article 9 When engaging in domestic futures trading of specific varieties, overseas traders shall abide by the self-discipline rules of futures exchanges and follow the principle of "buying and selling voluntarily, taking risks at their own risk and being responsible for the performance and results of futures trading". Article 10 An overseas trader shall open an account in a true and lawful capacity, and truthfully provide proof of overseas citizenship, overseas legal person status or legal and valid documents of other economic organizations. The identification documents and requirements of overseas traders shall be separately stipulated by China Futures Market Monitoring Center Co., Ltd. Article 11 Where an overseas brokerage institution accepts the entrustment of an overseas trader to conduct domestic futures trading of a specific variety, it shall go through the account opening procedures for the overseas trader in accordance with the Provisions on the Administration of Account Opening for Customers in Futures Market and the Business Rules of China Futures Market Monitoring Center Co., Ltd., and apply for the trading code separately for each overseas trader, and shall not conduct mixed-code trading.
A futures company entrusted by an overseas brokerage institution shall, in accordance with the business rules of China Futures Market Monitoring Center Co., Ltd., provide necessary assistance for the overseas brokerage institution to handle the formalities mentioned in the preceding paragraph.
An overseas trader who directly enters the market for trading shall go through the account opening formalities at the futures exchange and apply for the trading code. The futures exchange shall report the relevant materials to China Futures Market Monitoring Center Co., Ltd. for the record before starting trading. Article 12 A trader suitability system shall be implemented for domestic futures trading of specific varieties. Futures exchanges, futures companies and overseas brokerage institutions shall implement the trader appropriateness system. Overseas traders shall abide by the system of appropriateness of traders. Article 13 When accepting the entrustment of an overseas trader, an overseas brokerage institution shall present a risk statement to the overseas trader in advance, sign a written contract with the overseas trader, and shall not conduct futures trading without the entrustment of the overseas trader or according to the contents entrusted by the overseas trader, and shall not conceal important matters or use other improper means to trick the overseas trader into issuing trading instructions.