Standards Governing the Establishment of Securities Investment Consulting Enterprises Article 10

A securities broker or futures broker may apply to concurrently operate a SICE that conducts securities investment consulting business or discretionary investment business. Notwithstanding the foregoing, such an application may not be made by an enterprise in another line of business that concurrently operates a securities broker or futures broker.If a securities broker that operates only equity crowdfunding business applies to concurrently operate a SICE, its securities investment consulting business shall be limited to the stocks of companies offered for equity crowdfunding on its crowdfunding platform.A securities broker or futures broker concurrently operating a SICE that conducts securities investment consulting business shall set up an independent, dedicated consulting department. The same shall not apply, however, if it has already set up a dedicated department for its concurrently operated futures advisory business.The independent, dedicated consulting department referred to in the preceding paragraph shall be staffed by competent department supervisor(s) and associated persons in sufficient numbers to meet its needs in light of business size, operating conditions, and internal management, who shall satisfy the qualification requirements set out in the Regulations Governing Responsible Persons and Associated Persons of Securities Investment Consulting Enterprises.The securities broker or futures broker may appoint associated persons from the dedicated consulting department to engage in securities investment consulting business at a branch unit.A securities broker or futures broker that concurrently operates a SICE that conducts discretionary investment business shall be subject, in addition to these Standards, to the Discretionary Investment Regulations.