the term "compliance" as mentioned in these measures means that the business management and practice of securities fund operating institutions and their staff comply with laws, regulations, rules and normative documents, industry norms and self-discipline rules, internal rules and regulations of the company, and professional ethics and codes of conduct generally observed by the industry (hereinafter referred to as laws, regulations and codes).
the term "compliance management" as mentioned in these measures refers to the behavior of securities fund operating institutions to formulate and implement compliance management systems and establish compliance management mechanisms to prevent compliance risks.
the compliance risk mentioned in these measures refers to the risk that the securities fund operating institution will be investigated for legal responsibility, take regulatory measures, be given disciplinary action, and suffer property loss or business reputation loss due to the violation of laws, regulations and standards in its management or practice. Article 3 Compliance management of securities fund operating institutions shall cover all businesses, and all departments, branches, subsidiaries at all levels and all staff shall run through all links such as decision-making, implementation, supervision and feedback. Article 4 A securities fund operating institution shall establish the concept that all employees are compliant, compliance starts with management, compliance creates value and compliance is the foundation of the company's survival, advocate and promote the construction of compliance culture, cultivate the compliance awareness of all staff, and enhance the professional honor and professionalism of compliance managers. Article 5 China Securities Regulatory Commission (hereinafter referred to as China Securities Regulatory Commission) shall supervise and manage the compliance management of securities fund operating institutions according to law. The dispatched offices of China Securities Regulatory Commission shall perform their supervisory and administrative duties as authorized.
China Securities Association, asset management association of china and other self-regulatory organizations (hereinafter referred to as associations) shall formulate detailed rules for implementation in accordance with these Measures, and implement self-regulatory management on compliance management of securities fund operating institutions. Chapter II Responsibilities of Compliance Management Article 6 Securities fund operating institutions shall operate in compliance with regulations, be diligent and conscientious, adhere to the principle of putting the interests of customers first, and observe the following basic requirements:
(1) Fully understand the basic information, financial status, investment experience, investment objectives, risk preferences, credit records and other information of customers and update them in time.
(2) Reasonably divide customer categories and risk levels of products and services, ensure that appropriate products and services are provided to suitable customers, and do not cheat customers.
(3) continuously urge customers to standardize securities issuance, dynamically monitor customers' trading activities, promptly report and deal with major abnormal behaviors according to law, and shall not provide convenience for customers to engage in securities issuance and trading activities in violation of regulations.
(4) strictly regulate the practice behavior of staff, urge staff to be diligent and conscientious, and prevent them from taking advantage of their positions to engage in illegal activities, exceed their authority or other acts that harm the legitimate rights and interests of customers.
(5) Effectively manage inside information and undisclosed information, and prevent the company and its staff from using the information to buy or sell securities, suggesting others to buy or sell securities, or disclosing the information.
(6) timely identify and properly handle conflicts of interest between the company and customers, between different customers and between different businesses of the company, earnestly safeguard the interests of customers and treat customers fairly.
(7) perform the related party transaction review procedures and information disclosure obligations according to law, ensure the fairness of related party transactions, and prevent improper related party transactions and interest transfer.
(8) Carefully evaluate the impact of the company's management behavior on the securities market and take effective measures to prevent the market order from being disturbed. Article 7 The board of directors of a securities fund operating institution decides the compliance management objectives of the company, assumes responsibility for the effectiveness of compliance management, and performs the following compliance management duties:
(1) Examining and approving the basic system of compliance management;
(2) to review and approve the annual compliance report;
(3) Deciding to dismiss the senior management personnel who have the main responsibility or leadership responsibility for the occurrence of major compliance risks;
(4) to decide on the appointment, dismissal, assessment and remuneration of compliance officers;
(5) establish a direct communication mechanism with the person in charge of compliance;
(6) Evaluate the effectiveness of compliance management and urge to solve the problems existing in compliance management;
(7) other compliance management duties as stipulated in the articles of association. Article 8 the board of supervisors or supervisors of securities fund operating institutions shall perform the following compliance management duties:
(1) to supervise the performance of compliance management duties by directors and senior managers;
(2) proposing the removal of the directors and senior managers who have major responsibility or leadership responsibility for major compliance risks;
(3) other compliance management duties as stipulated in the articles of association. Article 9 The senior managers of securities fund operating institutions are responsible for implementing compliance management objectives, taking responsibility for compliance operation and performing the following compliance management duties:
(1) Establish and improve the organizational structure of compliance management, observe compliance management procedures, equip with adequate and appropriate compliance management personnel, and provide them with sufficient human, material, financial and technical support and guarantee to perform their duties;
(2) report and rectify violations of laws and regulations in time, and implement accountability;
(3) other compliance management duties as stipulated in the articles of association or determined by the board of directors.