According to Article 5 of the Measures for the Appropriate Management of Securities and Futures Investors, securities and futures trading places, registration and settlement institutions and self-regulatory organizations such as China Securities Industry Association, China Futures Industry Association and China Asset Management Association (hereinafter referred to as industry associations) conduct self-regulatory management on the performance of appropriate obligations by operating institutions.

In addition, Article 5 also stipulates that the China Securities Regulatory Commission and its dispatched offices shall supervise and manage the performance of appropriate obligations by operating institutions in accordance with laws, administrative regulations, these Measures and other relevant provisions.

20 16 12 12 the CSRC promulgated the measures for the management of the appropriateness of securities and futures investors, which will take effect on July 17, 2007. The Measures are stricter in many aspects, such as the level of laws and regulations, the coverage of obligations required by operating institutions, special protection for ordinary investors, supervision and possible legal responsibilities, and put forward higher requirements for securities operating institutions.