Regulations Governing the Conduct of Discretionary Investment Business by Securities Investment Trust Enterprises and Securities Investment Consulting Enterprises Article 40

Discretionary investment trust agreements and the brokerage contracts of securities and futures brokers shall clearly stipulate that a trust enterprise concurrently conducting discretionary investment business will be liable for performance of any obligation arising from use of the discretionary investment assets for investment in securities or trading of securities-related products that exceeds the scope of restrictions provided by law, by regulation, or the trust agreement.When there is a violation of law or breach of contract by a trust enterprise concurrently conducting discretionary investment business, or when there is injury to a customer or beneficial owner arising out of other causes attributable to the trust enterprise, the enterprise shall be liable for damages in accordance with Article 35 of the Trust Enterprise Act.