Practice Note 12.17.1 — Review of Remisier's Personal Trades
|Issue Date||Cross Reference||Enquiries|
1 December 2003.
|Rules 12.17.1 and 12.17.6||
Please contact Member Supervision:
Facsimile No : 6538 8273
E-Mail Address: firstname.lastname@example.org
1.1 This Practice Note sets out the need for more frequent reviews of the trading activities of Remisiers.
2 Need for More Frequent Reviews
2.1 Rule 12.17.1 requires a Trading Member to approve the personal trades of its Directors, Officers, Dealers and employees before these trades can be effected. This Rule does not require a Trading Member to approve Remisiers' personal trades. However, as a good control measure, Trading Members should conduct more frequent reviews of the trading activities of its Remisiers. This is also in line with Rule 12.17.6 which requires a Trading Member to have in place procedures to monitor the trading activities of its Remisiers, amongst other persons. The frequency of these reviews should be conducted at a level where the Trading Member is confident that its Remisiers' trading activities are above board.