A futures trust enterprise that utilizes a futures trust fund to engage in futures trading or investment in futures-related spot instruments shall do so in accordance with the regions, markets, categories of futures, and the scope set out in the futures trust deed and in accordance with the provisions of these Regulations.
A futures trust enterprise that utilizes a futures trust fund to engage in futures trading or investment shall adopt measures relating to risk monitoring and control and accounting treatment as part of the internal control system to be passed by its board of directors.
The risk monitoring and control measures of the preceding paragraph shall include individual assessments of each type of possible risk associated with the trades or investments of the futures trust fund and a thorough control plan. The methods, parameters, and standards for assessment of each type of risk shall accord with the related rules prescribed by the Futures Association.
The board of directors of a futures trust enterprise shall review at least every quarter the overall level of risk exposure, the method of calculating risk, and the maximum possible losses associated with all futures trust funds under its management and all futures trust funds for which it has granted other professional institutions discretionary authority for utilization.
When a futures trust enterprise or its fund custodian discovers that the average net asset value per unit of a fund for the most recent three business days has fallen by a cumulative 40% or more from the initial net asset value per unit of the fund:
1.For funds other than futures ETFs, it shall immediately report the matter to the competent authority and the Futures Association. The futures trust enterprise shall also immediately formulate a concrete plan for improvement, and report it to the board of directors.
2.For futures ETFs, it shall immediately report the matter to the competent authority, the Futures Association, and the Taiwan Stock Exchange Corporation (TWSE) or the Taipei Exchange (TPEx). The futures trust enterprise shall also provide a concrete description of the cause.
The beneficial owners of a futures trust fund are responsible only for payment of the price of subscription at the time they subscribe to a fund. When the net asset value of the fund is negative, the futures trust enterprise shall bear responsibility for the amount of the shortfall in the net asset value.

A futures trust enterprise that utilizes a futures trust fund offered to unspecified persons for futures trades or investments in futures-related spot instruments shall do so within the scope of transactions set out below except as otherwise approved by the competent authority, while ensuring reasonable diversification of risk:
1.Futures trades that may be brokered by a futures commission merchant per public announcement by the competent authority pursuant to Article 5 of the Futures Trading Act.
2.Off-futures-exchange trades of futures trading approved by the competent authority and derived from currencies, securities, interest rates, indices, or other commodities.
3.Beneficial certificates of futures trust funds issued by futures trust enterprises, or futures funds offered or managed by foreign fund management institutions.
4.Securities other than those of the preceding subparagraph.
5.Futures-related spot instruments other than securities.
A futures trust enterprise may only utilize a futures trust fund for investments in the items of subparagraph 5 of the preceding paragraph after submitting an investment and risk management plan to the competent authority and receiving its approval.

A futures trust enterprise that utilizes a futures trust fund offered to unspecified persons to engage in trading referred to in paragraph 1, subparagraph 1 of the preceding article shall do so according to the following conditions, except with the approval of the competent authority:
1.The sum of the initial margins necessary for open positions in futures contracts, futures option contracts ("futures options") and options contracts and the net amount of premiums paid and collected for trades of futures options and options contracts may not exceed 70 percent of the net asset value of the given futures trust fund.
2.The initial margin required for open positions in the nearest and next-nearest contract months, respectively, of any single futures contract may not exceed 10 percent of the net asset value of the given futures trust fund; the initial margin required for open positions in any other contract month of the same single futures contract may not exceed 5 percent of the net asset value of the given futures fund.
3.The sum of the amount of the initial margin required for an open position in a single options series and the net amount of premiums paid and collected for trades of the same options series may not exceed 10 percent of the net asset value of the given futures trust fund.
4.The sum of the initial margin required for open positions in futures contracts, futures options and options contracts with a single underlying commodity or financial instrument and the net amount of premiums paid and collected for trades of futures options and options contracts with the same single underlying commodity or financial instrument may not exceed 20 percent of the net asset value of the given futures trust fund.
The restrictions of subparagraphs 2 and 4 of the preceding paragraph shall not apply to a futures trust enterprise that utilizes a futures ETF offered to unspecified persons to engage in trades specified in paragraph 1, subparagraph 1 of the preceding article, and that discloses its relevant risk monitoring and control measures in the prospectus.
The term "options series" as used in paragraph 1, subparagraph 3 means call and put options contracts of the given futures option and option contracts with the same underlying, maturity date, and strike price.

A futures trust enterprise that utilizes a futures trust fund offered to unspecified persons for the trades prescribed under Article 38, paragraph 1, subparagraph 2 shall ensure that it has obtained a fair or reasonable price for the trade and shall notify the fund custodian. The total risk exposure associated with the trade may not exceed ten percent of the net asset value of the given fund, except with the approval of the competent authority.
The standard for measurement of the total risk exposure of the preceding paragraph shall be based on the maximum possible losses associated with the trades, excluding foreign currency futures trades conducted as a hedge against future exchange rate risks at the time of settlement.
When a futures trust enterprise utilizes a futures trust fund offered to unspecified persons for selling futures options and option contracts in relation to the trades of paragraph 1, the options shall be adequately covered. The related self-regulatory rules shall be adopted by the Futures Association.
When a futures trust enterprise utilizes a futures trust fund offered to unspecified persons for the trades of paragraph 1, the trading counterparty shall be a financial institution that meets the conditions prescribed by the competent authority.

Total payments made for the trades of Article 38, paragraph 1, subparagraph 3 by any futures trust fund offered to unspecified persons by a futures trust enterprise may not exceed ten percent of the net asset value of the fund. This restriction does not apply to futures trust funds-of-funds.
Total payments made for the investments of Article 38, paragraph 1, subparagraph 3 by a futures trust fund-of-funds offered to unspecified persons as referred to in the preceding paragraph may not be lower than sixty percent of the net asset value of the futures trust fund-of-funds, and except with the approval of the competent authority, the total amount paid toward any subfund may not exceed thirty percent of the net asset value of the futures trust fund-of-funds.

When a futures trust enterprise utilizes a futures trust fund to hold securities, their total market value may not exceed the percentage of the fund's net asset value prescribed by the competent authority. The offering and issuance of futures trust funds-of-funds and principal protection futures trust funds are not subject to this provision.
When utilization by a futures trust enterprise of the securities held by a futures trust fund exceeds the prescribed percentage of the preceding paragraph, the futures trust enterprise shall apply to concurrently operate a securities investment trust enterprise in accordance with the regulations of the competent authority.

When a futures trust enterprise utilizes a futures trust fund offered to unspecified persons for investment in the domestic securities prescribed under Article 38, paragraph 1, subparagraph 4, the types and the scope of those securities shall be limited to the following:
1.Exchange-listed securities.
2.Securities that may be traded over the counter pursuant to Article 3 of the Taipei Exchange Rules Governing Review of Securities Traded on Over-the-Counter Markets ("OTC-listed securities").
3.Securities whose underwriting has been approved by the competent authority or which have received effective registration.
4.Government bonds.
5.Corporate bonds or financial bonds offered and issued in accordance with the law.
6.Securities investment trust fund beneficial certificates.
7.Bonds issued by international financial institutions and approved by the competent authority.
8.Other investment items approved by the competent authority
A futures trust enterprise that invests in the items of subparagraph 5 of the preceding paragraph shall disclose the credit rating of the bonds in the given fund's prospectus.
The types and scope of the foreign securities under Article 38, paragraph 1, subparagraph 4 in which a futures trust enterprise utilizing a futures trust fund offered domestically to unspecified persons may invest will be prescribed by the competent authority.

A futures trust enterprise shall observe the following conditions in utilizing a futures trust fund offered to unspecified persons for investment in beneficial securities or asset-backed securities publicly offered in accordance with the Financial Asset Securitization Act:
1.The investment shall be restricted to public offerings of beneficial securities or asset-backed securities that have been approved by the competent authority or have received effective registration.
2.The total amount invested by any fund in beneficial securities or asset-backed securities issued by any single trustee institution or special-purpose company may not exceed ten percent of the total amount of the given issue of beneficial securities or asset-backed securities (or tranche, where the issue is tranched), nor may the investment amount exceed ten percent of the net asset value of the given futures trust fund.
3.The total amount invested by any fund in any originator's stocks, corporate bonds, financial bonds, or in the beneficial securities or asset-backed securities issued by the originator through entrusting financial assets to a trustee organization or a special-purpose company may not exceed ten percent of the net asset value of the fund.
4.Beneficial securities or asset-backed securities in which a fund invests shall have a credit rating at or above a prescribed level issued by a credit-rating institution approved or recognized by the competent authority.
When the futures trust enterprise is an interested company as referred to in Article 51 with respect to either the originator of beneficial securities or asset-backed securities, the trustee organization, or the special-purpose company, the futures trust enterprise may not utilize the fund offered to unspecified persons for investment in those beneficial securities or asset-backed securities.

A futures trust enterprise shall observe the following conditions in utilizing a futures trust fund offered to unspecified persons for investment in the beneficial securities of a real estate investment trust fund or a real estate asset trust offered in accordance with the Real Estate Securitization Act:
1.The fund shall be restricted to investment in the beneficial certificates of a closed-end real estate investment trust fund or a real estate asset trust approved by the competent authority.
2.The total investment by any fund in real estate investment trust fund beneficial units issued by any single trustee institution may not exceed ten percent of the beneficial units already issued.
3.The total investment by any such fund in real estate asset trust beneficial securities issued by any single trustee institution may not exceed ten percent of the total value of the given issue (or tranche, where the issue is tranched).
4.The total investment by any fund in the real estate asset trust beneficial securities and real estate investment trust fund beneficial securities issued by any single trustee institution may not exceed ten percent of the total asset value of the fund.
5.The total amount invested by any fund in the real estate asset trust beneficial securities issued by any single principal through entrusting real estate assets to a trustee organization, the beneficial securities or asset-backed securities issued by that principal through entrusting financial assets to a trustee organization or a special-purpose company, and the stocks, corporate bonds, or financial bonds issued by that principal may not exceed 10 percent of the net asset value of the fund.
6.The beneficial securities of the real estate investment trust fund or real estate asset trust in which a fund invests shall have a credit rating at or above a prescribed level issued by a credit-rating institution approved or recognized by the competent authority.
When the futures trust enterprise is an interested company as referred to in Article 51 with respect to the trustee institution of a real estate investment trust fund beneficial security, or with respect to the principal or trustee institution of a real estate assets trust beneficial security, the futures trust enterprise may not utilize the fund offered to unspecified persons for investment in those beneficial securities of real estate investment trust fund or real estate assets trust.

A futures trust enterprise shall observe the following conditions in utilizing the futures trust fund offered to unspecified persons for investment in subordinated corporate bonds or subordinated financial bonds:
1.Fund investment shall be restricted to exchange-listed or OTC-listed subordinated corporate bonds or subordinated financial bonds.
2.The total investment by any fund in subordinated corporate bonds or subordinated financial bonds issued by any single company may not exceed ten percent of the total value of the given issue (or tranche, where the issue is tranched).
3.Subordinated corporate bonds or subordinated financial bonds in which the fund invests shall have a credit rating at or above a prescribed level issued by a credit-rating institution approved or recognized by the competent authority.

The total amount invested in any exchange-listed or OTC-listed domestic stock by a futures trust fund that a futures trust enterprise offers overseas to unspecified persons may not exceed 20 percent of the net asset value of that fund; other restrictions on its investment shall be those imposed by the laws and regulations of the place of the overseas offering.

The categories and scope of trading in foreign futures and investment in foreign securities by a futures trust fund that a futures trust enterprise offers overseas shall without exception be determined according to the applicable laws and regulations of the place of the offering.

A futures trust enterprise offering a futures trust fund to unspecified persons shall utilize the futures trust fund assets in accordance with these Regulations and the provisions of the futures trust deed, and shall observe the following conditions unless the competent authority provides otherwise:
1.The futures trust enterprise may not invest in non-listed or non-OTC-listed stocks, privately-placed securities, or the beneficial certificates of a futures trust fund offered to persons meeting certain eligibility requirements.
2.The aggregate amount of all margins and premiums collected and paid in relation to the trades under Article 38, paragraph 1, subparagraphs 1 and 2 may not be lower than a certain percentage of the net asset value of the futures trust fund prescribed by the competent authority.
3.The futures trust enterprise may not make loans or provide security. This restriction shall not apply to futures trust enterprises in compliance with Article 25 of the Regulations Governing Futures Trust Enterprises.
4.The futures trust enterprise may not engage in securities margin transactions.
5.The futures trust enterprise may not engage in trading of futures and securities with the various other futures trust funds, securities investment trust funds, mutual trust funds, discretionary investment accounts, or accounts for the trading of securities with self-owned funds under the common management of the futures trust enterprise. This restriction does not apply, however, when such trading results from trades made through centralized exchange markets or through a securities firm's place of business, and was not produced deliberately.
6.The futures trust enterprise may not invest in securities issued by the futures trust enterprise itself or an interested company, with the exception of fund beneficial certificates, fund shares, and investment units.
7.When the futures trust fund is utilized to invest in any other futures trust fund or securities investment trust fund managed by the same futures trust enterprise, a management fee may not be charged.
8.The futures trust enterprise may not use a futures trust fund to purchase the beneficial certificates of that same fund. This restriction shall not apply in the case of requests by beneficial owners for redemption of beneficial certificates, or when beneficial certificates are redeemed due to the discontinuance of all or some part of the fund.
9.The total amount invested by any fund in the stocks, corporate bonds, or financial bonds of any single listed or OTC-listed company may not exceed ten percent of the net asset value of the fund.
10.The total amount invested by any futures trust fund in the shares of any single listed or OTC-listed company may not exceed ten percent of the total issued and outstanding shares of that company; the total amount invested by all futures trust funds and securities investment trust funds under the common management of a futures trust enterprise in the shares of any single listed or OTC-listed company may not exceed ten percent of the total issued and outstanding shares of that company.
11.The total amount invested by any futures trust fund in an underwriting of shares of any single listed or OTC-listed company may not exceed one percent of the total shares underwritten; the total amount invested in any single underwriting by all futures trust funds and securities investment trust funds under the common management of a futures trust enterprise may not exceed three percent of the total of shares being underwritten.
12.The total amount invested by any futures trust fund in beneficial certificates of securities investment trust funds may not exceed 10 percent of the futures trust fund's net asset value; the total investment by all of the futures trust funds and securities investment trust funds under the common management of a futures trust enterprise in the beneficial units of any single futures trust fund or securities investment trust fund may not exceed twenty percent of the number of beneficial units already issued by the invested fund.
13.The total amount invested by any futures trust fund in the unsecured corporate bonds of any single company may not exceed ten percent of the unsecured corporate bonds issued by that company.
14.The securities held by a futures trust fund may not be loaned to another person. This restriction shall not apply to loans meeting the conditions of Article 53.
15.Proxy forms for shareholders' meetings of an issuing company whose shares are purchased by a fund may not be sold or transferred.
16.For the stock transactions and futures transactions engaged in by any futures trust fund, assess the counterparty risks, and adopt measures related to risk measurement, diversification, and control.
17.The total amount that a futures trust fund may invest in a bills finance company's guaranteed bills may not exceed ten percent of the fund's net asset value nor exceed 500 million New Taiwan Dollars.
18.The total amount invested by any futures trust fund in the bonds of any single international financial institution approved for domestic issuance by the competent authority may not exceed ten percent of the fund's net asset value, nor may it exceed ten percent in the total monetary amount of the international financial institution bonds issued within Taiwan by the given international financial institution.
19.The futures trust enterprise may not engage in any improper trading activity and thereby affect the net asset value of a fund under its management.
20.The futures trust enterprise may not engage in any other acts prohibited by the competent authority
When a futures trust enterprise utilizes a futures trust fund offered to unspecified persons for investment in an underwriting of stock, the amount of the investment shall be calculated as an aggregate share number or monetary amount inclusive of the shares of exchange-listed and OTC-listed companies of a similar type already held, and the ceiling on investment ratios shall be based on those aggregate figures. Investments in depository receipts shall be calculated as an aggregate share number or monetary amount inclusive of the shares of the issuer of the depository receipts already held, and the ceiling on investment ratios shall be based on those aggregate figures
"Corporate bonds" as referred to in paragraph 1, subparagraphs 9 and 13 shall include common corporate bonds, convertible corporate bonds, exchangeable corporate bonds, and corporate bonds with warrants.

A futures trust enterprise shall maintain the assets of each futures trust fund in the following forms and in the ratios prescribed by the competent authority:
1.Cash.
2.Bank deposits.
3.Short-term bills purchased from bill houses.
4.Repo-style bond transactions.
5.Other types of assets approved by the competent authority
The banks, trading counterparties, and subject forms of assets of subparagraphs 2 through 5 of the preceding paragraph shall meet the conditions prescribed by the competent authority
The total holdings of items under paragraph 1, subparagraphs 2 through 5 by a futures trust funds that is offered domestically, with the exception of a principal protection futures trust fund, may not exceed a percentage to be prescribed by the competent authority.

"Interested company," as used in these Regulations, means one of the following:
1.A company having a relationship defined in Chapter 6-1 of the Company Act with the futures trust enterprise.
2.A director or supervisor of a futures trust enterprise or a shareholder whose total shareholdings equal five percent or more of its shares.
3.Persons of the preceding subparagraph or managerial officers of the futures trust enterprise who are the same person as the given company's director, supervisor, managerial officer, or shareholder with a ten percent or greater shareholding or are the spouse of such person
"Total shareholdings," as used in subparagraph 2 of the preceding paragraph, means the total number of shares of the futures trust enterprise held by a given entity, plus the shares of the same futures trust enterprise held by the directors, supervisors, and managerial officers of the given entity and any enterprise directly or indirectly controlled by that entity.
The provisions of paragraph 1 apply mutatis mutandis to a representative or designated representative of a juristic person director or supervisor who performs duties on its behalf.

A futures trust enterprise shall utilize a futures trust fund offered to persons meeting certain eligibility requirements in accordance with the futures trust deed. Except where otherwise provided by the competent authority, the scope of such utilization shall comply with the provisions of Articles 38, 40, and 42, and the futures trust enterprise shall observe the following conditions:
1.Fund assets may not be loaned.
2.The futures trust enterprise may not engage in trading of futures and securities with the various other futures trust funds, securities investment trust funds, mutual trust funds, discretionary investment accounts, or accounts for the trading securities with self-owned funds under the common management of the futures trust enterprise. This restriction does not apply, however, when such trading results from trades made through centralized exchange markets or through a securities firm's place of business, and was not produced deliberately.
3.The futures trust enterprise may not invest in securities issued by the futures trust enterprise itself or an interested company, with the exception of fund beneficial certificates, fund shares, and investment units.
4.When the futures trust fund is utilized to invest in any other futures trust fund or securities investment trust fund managed by the same futures trust enterprise, a management fee may not be charged.
5.The futures trust enterprise may not use a futures trust fund to purchase the beneficial certificates of that same fund. This restriction shall not apply in the case of requests by beneficial owners for redemption of beneficial certificates, or when beneficial certificates are redeemed due to the discontinuance of all or some part of the fund.
6.The total amount a futures trust fund-of-funds invests in the beneficial certificates of a securities investment trust fund may not exceed ten percent of the net asset value of the futures trust fund.
7.Proxy forms for shareholders' meetings of an issuing company whose shares are purchased by a futures trust fund may not be sold or transferred.
8.The total holdings of items under Article 50, paragraph 1, subparagraphs 2 through 4 may not exceed a certain prescribed percentage.
9.The futures trust enterprise may not accept the direction of specified persons to assist others in performing a merger or acquisition, evading income tax, or other actions influencing compliance with the law, observance of good faith, or professional investment management by the futures trust enterprise.
10.The futures trust enterprise may not take other actions prohibited by the competent authority.
A futures trust enterprise that offers a futures trust fund to persons meeting certain eligibility requirements shall make explicit in the futures trust contract the upper limits on off-exchange futures trades, securities margin trades, and borrowing of securities or money, and shall explain in the public prospectus the related measures for risk monitoring and control.

Securities lending by the futures trust fund managed by a futures trust enterprise shall be carried out in accordance with the applicable regulations of the TWSE or TPEx, and must meet the following conditions:
1.A futures trust fund may not loan any single security in an amount exceeding 50 percent of the total of that security held by the fund. This restriction shall not apply when the futures trust deed of a futures trust fund offered to persons meeting certain eligibility requirements stipulates otherwise.
2.The period of a securities loan shall at most be six months from the beginning date of the lending transaction.
3.When a loan of securities takes the form of a negotiated securities lending transaction, the types of collateral provided by the borrower shall be limited to cash, government bonds, and exchange-listed or OTC-listed stocks eligible for margin trading or short sale transactions. When the borrower's collateral is in the form of the above bonds or stocks, the futures trust enterprise may provide such a securities loan only after reporting its risk monitoring and control measures for collateral management to the competent authority and receiving its approval
The provisions of subparagraph 3 of the preceding paragraph regarding collateral shall be applied with reference to the TWSE and TPEx regulations applicable to fixed-price trading and auction trading.
A futures trust enterprise that loans securities held by one of its managed futures trust funds shall draft measures for the monitoring and management of risk in securities lending as a part of the internal control system to be passed by its board of directors.

A futures trust enterprise utilizing a futures trust fund for investment or trading shall produce a written trading decision based on its analysis reports, and shall produce a record of the transaction when the trading decision is implemented. The futures trust enterprise shall produce a monthly report of review, and its analysis reports and written trading decisions shall employ a reasonable analytical basis and source data.
The analysis report referred to in the preceding paragraph shall provide an analytical basis, source data, and recommendations; the written trading decision shall state the type, amount, price, and time of execution for the subject of the trade; the record of implementation shall state the actual type, amount, price, and time of execution for the given subject and state the reasons for any discrepancies with the written decision.
The analysis reports, written trading decisions, records of implementation, and review reports of paragraph 1 shall be recorded sequentially, with the signatures and seals of the personnel responsible for analysis, trading decisions, and execution of trades placed thereon, and retained for at least five years on file. The format of the written information shall be prescribed by the Futures Association and submitted to the competent authority for approval.

A futures trust enterprise shall have the power to direct the fund custodian of a futures trust fund in the custody, disposal, and receipt and payment of futures trust fund assets, and may also inspect and inventory fund assets on an irregular basis.
Except where laws or regulations otherwise provide, when a futures trust enterprise uses a futures trust fund to invest in exchange-listed or OTC-listed securities, it shall authorize a securities broker to conduct the transaction on the centralized securities market or an OTC market on a cash-on-delivery basis.
A futures trust enterprise using a futures trust fund to invest in government bonds, corporate bonds, or financial bonds shall do so on a cash-on-delivery basis.
A futures trust enterprise utilizing assets held by a futures trust fund shall register the transaction under the name of the fund custodian's special futures trust fund account. When the fund holds foreign assets, however, the transaction may take place in accordance with agreements between the fund custodian and the foreign trustee custodian.

A futures trust enterprise that utilizes a futures trust fund for investment in the overseas securities of Article 38, paragraph 1, subparagraph 4 may authorize a professional institution that provides consulting services for overseas investment or a member of its own group that provides centralized market trading services to place a trading order on its behalf through an overseas securities firm.
When futures trust enterprise authorizes a company providing it with consulting services for overseas investment or a member of its own group that provides centralized market trading services to place a trading order on its behalf through an overseas securities firm, it shall adopt risk monitoring and management measures for such transactions as a part of its internal control system, as well as setting out the standards for selection of a company to provide consulting services for overseas investment; those measures and standards shall be submitted to the board of directors for approval.
The term "member of its own group," as used in the preceding paragraph, means a holding company to which the futures trust enterprise belongs that has shareholdings in excess of 50 percent in the futures trust enterprise, or a subsidiary in which the futures trust enterprise has shareholdings in excess of 50 percent, or a subsidiary belonging to the same holding company in which the holding company has shareholdings in excess of 50 percent.

When a futures trust enterprise gives full discretionary authority to another professional institution to use a futures trust fund to conduct trading or investment on its behalf, its transactions shall conform with the trading and investment policies adopted by the futures trust enterprise and shall be disclosed in the fund's prospectus.
The futures trust enterprise must adopt risk monitoring and control measures for the discretionary operations of the preceding paragraph as part of an internal control system passed by its board of directors; the futures trust enterprise shall also formulate standards for selection of the professional institution authorized to perform discretionary services, draft a written proposal, and establish a discretionary services agreement with the professional institution it authorizes.
When a futures trust enterprise gives full discretionary authority to another professional institution, matters regarding investment ratios, items to be included in the internal control system, items to be set out in the written proposal and the discretionary services agreement, the qualification requirements of the authorized institution, information disclosure and reporting requirements, and other matters for compliance shall be prescribed by the competent authority.
A futures trust enterprise shall expressly state in the discretionary services agreement and the prospectus that the futures trust enterprise will be liable for damages should its selection of a professional institution or its instructions to that institution, whether due to intent or negligence, results in loss to the fund. When a futures trust enterprise authorizes an institution to perform on its behalf any duty or obligation of the futures trust enterprise under the futures trust deed, if the institution or an employee of the institution causes loss to a fund through intent or negligence, the enterprise shall bear liability as it would for intent or negligence on its own part, and where such an act causes a futures trust fund to incur a loss, the future trust enterprise shall bear liability for damages.

The futures trust enterprise and the fund custodian shall provide for public reference the futures trust fund prospectus, the fund sales and marketing documents, the futures trust deed, and the most recent financial statement at the places of business of the futures trust enterprise, the fund custodian, and the fund distributors, or shall make those documents available in another manner as instructed by the competent authority.