Hong Kong Regulations

SECURITIES AND FUTURES (CLIENT SECURITIES) RULES - SECT 3

Application

(1) Subject to subsection (2), these Rules apply to client securities and
securities collateral of an intermediary that are-

   (a)  either-

        (i)    listed or traded on a recognized stock market; or

        (ii)   interests in a collective investment scheme authorized by the
               Commission under section 104 of the Ordinance; and

   (b)  received or held in Hong Kong by or on behalf of-

        (i)    the intermediary in the course of the conduct of any regulated
               activity for which the intermediary is licensed or registered;
               or

        (ii)   an associated entity of the intermediary in relation to the
               conduct of such regulated activity.

(2) These Rules do not apply to client securities of an intermediary that are
in an account established and maintained by a client of the intermediary, in
that client's name, with a person other than the intermediary or an associated
entity of the intermediary.