In managing a securities investment trust fund to invest or trade, a securities investment trust enterprise shall base its decisions on its analysis; it shall keep records of its execution thereof, and shall also submit a review on a monthly basis. Its analysis and decisions shall be founded on reasonable grounds and bases.
The securities investment trust enterprise shall include the analysis, decisions, execution, and review referred to in the preceding paragraph in the internal control system and faithfully implement the system. Records shall be kept of the control activities, and shall be preserved for a certain period of time.
The Competent Authority shall prescribe the period of time for which they shall be preserved.

The Competent Authority shall prescribe regulations governing the methods by which securities investment trust enterprises manage securities investment trust funds in investment and trading, and the giving of instructions for custody, disposition, collection and payment, and other relevant matters.
Assets held by a securities investment trust enterprise in the course of managing a securities investment trust fund shall be registered in the name of the fund account with the fund custodian. Provided, foreign securities and foreign securities-related products that are held may be registered in the manner stipulated in the agreement entered into between the fund custodian and the appointed foreign custodian.

A securities investment trust enterprise shall manage securities investment trust funds in accordance with this Act, regulations authorized and adopted under this Act, and the provisions of the securities investment trust contracts, and is prohibited to do any of the following acts, except where otherwise provided by the Competent Authority:
1.Instruct the fund custodian to make a loan or provide security.
2.Engage in securities margin transactions.
3.Engage in securities trading with any other securities investment trust fund managed by the same securities investment trust enterprise.
4.Invest in securities issued by such securities investment trust enterprise or a company having an interest relationship with such securities investment trust enterprise.
5.Manage the securities investment trust fund to purchase beneficiary certificate of the fund.
6.Instruct the fund custodian to lend securities held by the fund to another person.
The Competent Authority shall define the scope of the term "company having an interest relationship" as used in subparagraph 4 of the preceding paragraph.

The securities investment trust enterprise and fund custodian shall place the securities investment trust fund prospectus, sales-related documents, securities investment trust contract, and latest financial statements at their place of business and their agent's place of business to make them available for reading, or shall make them available for reading by another method designated by the Competent Authority.