A managed futures enterprise applying to concurrently operate a SICE that conducts discretionary investment business shall meet the following conditions:
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 half year, been sanctioned under Article 103, subparagraph 1 of the SITC Act, or Article 100, paragraph 1, subparagraph 1 of the Futures Trading Act.
3.Has not, during the last 2 years, been sanctioned under Article 103, subparagraphs 2 to 5 of the SITC Act, or Article 100, paragraph 1, subparagraphs 2 to 4 of the Futures Trading Act.
4.If it has been sanctioned under any provisions of the preceding two subparagraphs and ordered to achieve improvement, concrete improvement has been achieved.

The provisions of Article 10, paragraphs 1 and 6, Article 15, paragraphs 1 and 2, Article 17, and Article 18, paragraphs 1 and 2 shall apply mutatis mutandis with respect to a managed futures enterprise applying to concurrently operate a SICE that conducts discretionary investment business.
The managed futures enterprise 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 set out in the Standards Governing the Establishment of Managed Futures Enterprises, and shall carry out a capital increase in case of any shortfall.
The managed future enterprise permitted to concurrently operate a SICE that conducts discretionary investment business may not, except where it has already been concurrently operating securities investment trust business, commence such business unless and until it has become a member of the SITCA.