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.

A securities broker that concurrently operates a SICE conducting trust-type discretionary investment business shall only accept original trust property from a trustor amounting to not less than NT$10 million, and shall have successfully applied to conduct concurrent operation in the areas of money trust and securities trust in accordance with these Standards as well as the Regulations Governing the Concurrent Operation of Trust Business by Securities Investment Trust Enterprises, Securities Investment Consulting Enterprises, and Securities Firms (hereinafter, the "Regulations Governing the Concurrent Operation of Trust Business"). Notwithstanding the foregoing, no such business may be conducted by a securities broker that is concurrently operated by an enterprise in another line of business.
A securities broker that concurrently operates a SICE conducting trust-type discretionary investment business shall be subject, in addition to these Standards, to the Trust Act, the Trust Enterprise Act, the Regulations Governing the Concurrent Operation of Trust Business, and the Discretionary Investment Regulations.

A securities broker or futures broker applying to concurrently operate a SICE that conducts securities investment consulting business shall meet the following requirements:
1.Has net worth per share of not less than par value, as shown in the CPA-audited and attested financial report for the most recent period.
2.Has not, during the last 3 months, been sanctioned under Article 103, subparagraph 1 of the SITC Act, Article 66, subparagraph 1 of the Securities and Exchange Act, Article 100, paragraph 1, subparagraph 1 of the Futures Trading Act, or on 3 or more occasions been given an official reprimand, or ordered to achieve improvement within a specified period of time, under Article 44 of the Trust Enterprise Act.
3.Has not, during the last half year, been sanctioned under Article 103, subparagraph 2 or 3 of the SITC Act, Article 66, subparagraph 2 of the Securities and Exchange Act, Article 100, paragraph 1, subparagraph 2 of the Futures Trading Act, or Article 44, subparagraph 1 of the Trust Enterprise Act.
4.Has not, during the last year, been sanctioned under Article 103, subparagraph 4 of the SITC Act, Article 66, subparagraph 3 of the Securities and Exchange Act, Article 100, paragraph 1, subparagraph 3 of the Futures Trading Act, or Article 44, subparagraph 2 of the Trust Enterprise Act.
5.Has not, during the last 2 years, been sanctioned under Article 103, subparagraph 5 of the SITC Act, Article 66, subparagraph 4 of the Securities and Exchange Act, Article 100, paragraph 1, subparagraph 4 of the Futures Trading Act, or Article 44, subparagraph 3 of the Trust Enterprise Act.
6.If it has been sanctioned under any of the provisions of subparagraphs 2 to 5 herein and ordered to achieve improvement, concrete improvement has been achieved.
7.Has not, during the last year, had its trading privileges suspended or restricted by a securities exchange, an over-the-counter securities market, a futures exchange, or a futures clearing house pursuant to its bylaws.

A securities broker or futures broker intending to concurrently operate a SICE that conducts securities investment consulting business shall apply to the FSC for permission by filling out and submitting an application form, together with the following documents:
1.A business plan, specifying, with respect to the concurrently operated SICE that conducts securities investment consulting business: operational principles; internal organization and segregation of duties; personnel recruitment and training; and general description of premises and facilities.
2.A written description of the internal control system for the concurrently operated SICE that conducts securities investment consulting business.
3.The CPA-audited and attested financial report for the most recent period. If at the time of application 6 months have already elapsed since the beginning of the fiscal year, a CPA-audited and attested financial report for the first half-year shall be additionally submitted.
4.Minutes of the relevant board of directors meetings, showing [the resolution to] concurrently operate the SICE that conducts securities investment consulting business. A foreign securities broker or a foreign futures broker may, in lieu of such, submit documentation bearing the signature of an entity or person authorized by the head office.
5.A register of qualified personnel, issued by the SITCA after reviewing their qualifications, together with documentary proof of their qualifications.
6.Written statement(s) that none of the circumstances in Article 68 of the SITC Act exists with respect to any director, supervisor, managerial officer, any department supervisor engaging in securities investment consulting business, or any associated person. A foreign securities broker or a foreign futures broker may, in lieu of written statements from directors and supervisors, submit documentation bearing the signature of an entity or person authorized by the head office.
7.Documentary proof showing compliance with the requirements under subparagraph 6, paragraph 1 of the preceding article.
8.A written statement that the application form and its attachments contain no misrepresentations or nondisclosures.
The internal control system referred to in subparagraph 2 of the preceding paragraph shall set out rules for preventing conflict of interest and for segmentation of risks in areas related to such business operations as information sharing, advertising, holding of public investment analysis activities, and provision of research and analysis reports.

A securities broker or futures broker that applies to concurrently operate a SICE that conducts securities investment consulting business shall, within 6 months from the day the FSC grants permission, apply to the FSC for re-issuance of a business license by filling out and submitting an application form, together with the following documents:
1.A register of qualified personnel, issued by the SITCA after reviewing their qualifications, together with documentary proof of their qualifications.
2.The CPA-audited and attested financial report for the most recent period. The report is not required, however, if it covers the same period as that covered by the financial report submitted in the application for permission.
3.Documentary proof of admission to membership in the SITCA.
4.A written statement that the application form and its attachments contain no misrepresentations or nondisclosures.
The permission granted to the securities broker or futures broker to concurrently operate a SICE that conducts securities investment consulting business shall be revoked if it fails to apply for re-issuance of a business license for such concurrent operation within the period set out in the preceding paragraph. Notwithstanding the foregoing, if there is legitimate reason, an application may be filed with the FSC before expiration of that period for a maximum extension of 3 months, one time only.
The securities broker or futures broker permitted to concurrently operate a SICE that conducts securities investment consulting business may not commence such business unless and until it has become a member of the SITCA.

A foreign securities broker or a foreign futures broker may, upon the head office's approval and issuance of a written statement declaring that it is permitted to operate securities investment consulting business in the home country, apply for concurrent operation of a SICE that conducts securities investment consulting business, to be conducted by a branch unit it establishes within the territory of the Republic of China.
Except as otherwise stated in the SITC Act, the Securities and Exchange Act, the Futures Trading Act, or any other applicable law, the provisions of Article 10, Article 11 up to the preceding Article, Article 40, and Chapter V, "Supplementary Provisions," shall apply mutatis mutandis with respect to a foreign securities broker or foreign futures broker applying for concurrent operation of a SICE that conducts securities investment consulting business by a branch unit it establishes within the territory of the Republic of China.
A foreign securities broker or foreign futures broker applying for concurrent operation of a SICE that conducts securities investment consulting business by a branch unit established within the territory of the Republic of China shall in the application submit a letter of authorization designating the agent who is to file the application for such concurrent business operation.

A securities broker or futures broker concurrently operating a SICE that conducts discretionary investment business shall allocate operating capital, earmarked for that business, in an amount not less than that specified in Article 5, paragraph 1, subparagraph 1 of the Discretionary Investment Regulations. A securities broker that concurrently operates a SICE conducting trust-type discretionary investment business shall allocate operating capital, earmarked for that business, in an amount of not less than that set out in Article 5, paragraph 2, subparagraph 1 of the Discretionary Investment Regulations.
The operating capital allocated under the preceding paragraph may be used only for that exclusive purpose, and, unless otherwise provided in any other law, may not be used for purposes of any non-discretionary investment business or other business.
The securities broker or futures broker shall have paid-in capital of not less than the total of the earmarked operating capital required to be allocated upon application to concurrently operate a SICE that conducts discretionary investment business, plus the minimum paid-in capital required by the Standards Governing the Establishment of Securities Firms or the Standards Governing the Establishment of Futures Commission Merchants, and shall carry out a capital increase in case of any shortfall.

A securities broker or futures broker applying to concurrently operate a SICE that conducts discretionary investment business shall meet the following conditions:
1.If a futures broker, has obtained a permission license renewed by the FSC for concurrent operation of a managed futures enterprise.
2.Has net worth per share of not less than par value, as shown in the CPA-audited and attested financial report for the most recent period.
3.Has not, during the last 3 months, for any reason related to its conduct of securities investment analysis or futures research and analysis activities, been subject to any action of warning, imposition of breach penalty, suspension of membership entitlements in part or in full, or revocation or suspension of membership by the SITCA or the Chinese National Futures Association (CNFA) pursuant to its self-regulatory rules.
4.Has not, during the last half year, been sanctioned under Article 103, subparagraph 1 of the SITC Act, Article 66, subparagraph 1 of the Securities and Exchange Act, Article 100, paragraph 1, subparagraph 1 of the Futures Trading Act, or been given an official reprimand, or ordered to achieve improvement within a specified period of time, under Article 44 of the Trust Enterprise Act.
5.Has not, during the last 2 years, been sanctioned under Article 103, subparagraphs 2 to 5 of the SITC Act, Article 66, subparagraphs 2 to 4 of the Securities and Exchange Act, Article 100, paragraph 1, subparagraphs 2 to 4 of the Futures Trading Act, or Article 44, subparagraphs 1 to 3 of the Trust Enterprise Act.
6.If it has been sanctioned under any of the provisions of subparagraphs 3 to 5 herein and ordered to achieve improvement, concrete improvement has been achieved.

A securities broker or futures broker intending to apply to concurrently operate a SICE that conducts discretionary investment business shall apply to the FSC for permission by filling out and submitting an application form, together with the following documents:
1.A business plan, specifying, with respect to the concurrently operated SICE that conducts discretionary investment business: operational principles, internal organization and segregation of duties, and personnel recruitment and training.
2.Minutes of the relevant board of directors meetings, showing [the resolution to] concurrently operate the SICE that conducts discretionary investment business. A foreign securities broker or a foreign futures broker may, in lieu of such, submit documentation bearing the signature of an entity or person authorized by the head office.
3.A register of directors and supervisors.
4.A register of qualified personnel meeting the qualification requirements in the Discretionary Investment Regulations, issued by the SITCA after reviewing their qualifications, together with documentary proof of their qualifications.
5.The prospectus required to be prepared by the Discretionary Investment Regulations.
6.Written statement(s) that none of the circumstances in Article 68 of the SITC Act exists with respect to any director, supervisor, managerial officer, any department supervisor engaging in discretionary investment business, or any associated person. A foreign securities broker or a foreign futures broker may, in lieu of written statements from directors and supervisors, submits documentation bearing the signature of an entity or person authorized by the head office.
7.The CPA-audited and attested financial report for the most recent period. If at the time of application 6 months have already elapsed since the beginning of the fiscal year, a CPA-audited and attested financial report for the first half-year shall be additionally submitted.
8.Operating bylaws for the concurrent operation of the SICE that conducts discretionary investment business.
9.The audit report from a CPA special audit on the internal control system for the discretionary investment business.
10.A written statement that the application form and its attachments contain no misrepresentations or nondisclosures.
11.In the case of a securities broker applying to conduct that business on a trust basis, the application shall also be accompanied by such documents as may be required by the Regulations Governing the Concurrent Operation of Trust Business.
When a securities broker that concurrently operates a SICE applies to additionally conduct mandate-type or trust-type discretionary investment business in accordance with the preceding paragraph, the application shall first be submitted to the SITCA for review and then forwarded to the FSC for permission.
The operating bylaws referred to in subparagraph 8 of paragraph 1 shall set out, with respect to discretionary investment business, a system of internal controls that includes rules for preventing conflict of interest and for segmentation of risks in areas related to business operations, such as operational principles, operating procedures, segregation of authority and duties, resolution of disputes, personnel training and administration, information sharing, and advertising.
The CPA under paragraph 1, subparagraph 9 may only be a CPA allowed to provide audit and attest services on the financial reports of public companies.
The securities broker or futures broker may simultaneously apply for a branch unit to engage in promotion and solicitation for its discretionary investment business. The documents and procedures for the application for permission and for re-issuance of a business license shall be as provided in Articles 20 and 21 hereof.

A securities broker or futures broker that applies to concurrently operate a SICE that conducts discretionary investment business shall, within 6 months from the day the FSC grants permission, apply to the FSC for re-issuance of a business license by filling out and submitting an application form, together with the following documents:
1.A register of qualified personnel, issued by the SITCA after reviewing their qualifications, together with documentary proof of their qualifications.
2.Documentary proof of admission to membership in the SITCA.
3.Documentary proof evidencing allocation of operating capital.
4.The CPA-audited and attested financial report for the most recent period. The report is not required, however, if it covers the same period as that covered by the financial report submitted in the application for permission.
5.Documentary proof showing the deposit of an operating bond required by the Discretionary Investment Regulations.
When a securities broker that concurrently operates a SICE applies to additionally conduct mandate-type or trust-type discretionary investment business in accordance with the preceding paragraph, the application shall first be submitted to the SITCA for review and then forwarded to the FSC to apply for re-issuance of a business license.
The permission granted to the securities broker or futures broker to concurrently operate a SICE that conducts discretionary investment business shall be revoked if it fails to apply for re-issuance of a business license for such concurrent operation within the period set out in paragraph 1. Notwithstanding the foregoing, if there is legitimate reason, an application may be filed with the FSC before expiration of that period for a maximum extension of 3 months, one time only.
The securities broker or futures broker permitted to concurrently operate a SICE that conducts discretionary investment business may not, except where it has already been concurrently operating a SICE that conducts securities investment consulting business, commence such business unless and until it has become a member of the SITCA.
A securities broker that concurrently operates a SICE conducting trust-type discretionary investment business shall, in addition to applying for re-issuance of a business license in accordance with paragraphs 1 and 2, complete the registration procedure for adding a new business line in accordance with the Regulations Governing the Concurrent Operation of Trust Business, and may not commence such business unless and until it has submitted a regulatory filing with the FSC, together with any documentary proof demonstrating its admission to membership in the ROC Trust Association and its provision of a compensation reserve fund.

A foreign securities broker or a foreign futures broker may, upon the head office's approval and issuance of a written statement declaring that it is permitted to operate discretionary investment business in the home country, apply for concurrent operation of a SICE that conducts discretionary investment business by a branch unit it establishes within the territory of the Republic of China.
The provisions of Article 10, paragraph 6, Article 10-1, Article 14, paragraph 3, Article 15 up to the preceding Article, Article 40, as well as Chapter V, "Supplementary Provisions," shall apply mutatis mutandis with respect to a foreign securities broker or foreign futures broker applying for concurrent operation of a SICE that conducts discretionary investment business by a branch unit it establishes within the territory of the Republic of China.

When a securities broker or futures broker concurrently operating a SICE that conducts discretionary investment business intends to have a branch unit to engage in promotion and solicitation for its discretionary investment business, it shall apply to the FSC for permission by filling out and submitting an application form, together with the following documents:
1.Minutes of the relevant board of directors meetings, showing the resolution for the branch unit to engage in promotion and solicitation for discretionary investment business.
2.A written description of a system of internal controls in relation to the branch unit's engagement in promotion and solicitation for discretionary investment business.
3.A written statement that the application form and its attachments contain no misrepresentations or nondisclosures.
The internal control system referred to in subparagraph 2 of the preceding paragraph shall set out rules governing concurrent appointment of, and code of conduct for, associated persons in relation to the branch unit's engagement in promotion and solicitation for discretionary investment business.

If a securities broker or futures broker concurrently operating a SICE that conducts discretionary investment business files an application pursuant to the preceding Article, it shall, within 6 months from the day the FSC grants permission, apply to the FSC for re-issuance of a business license for the branch unit, by filling out and submitting an application form, together with the following documents:
1.A register of qualified associated persons in the branch unit intended to engage in promotion and solicitation for discretionary investment business, issued by the SITCA after reviewing their qualifications, together with documentary proof of their qualifications.
2.Written statement(s) that none of the circumstances in Article 68 of the SITC Act exists with respect to any managerial officer, department supervisor, or associated person of the branch unit.
3.A written statement that the application form and its attachments contain no misrepresentations or nondisclosures.
The permission granted to the securities broker or futures broker for the branch unit to engage in promotion and solicitation for discretionary investment business shall be revoked if it fails to apply for re-issuance of a business license for the branch unit within the period set out in the preceding paragraph. Notwithstanding the foregoing, if there is legitimate reason, an application may be filed with the FSC before expiration of that period for a maximum extension of 3 months, one time only.