Back Custom print Link Text Only Rich Text Print

  • Personal Account Transactions

    • BC-2.10.4

      Investment firm licensees must establish and maintain adequate policies and procedures, to ensure that:

      (a) An employee does not undertake a personal account transaction unless:
      (i) The investment firm licensee has, in a written notice, drawn to the attention of the employee the conditions upon which the employee may undertake personal account transactions and that the contents of such a notice are made a term of his contract of employment or services;
      (ii) The investment firm licensee has given its written permission to that employee for that transaction or to transactions generally in financial instruments of that kind; and
      (iii) The transaction will not conflict with the investment firm licensee's duties to its clients;
      (b) It receives prompt notification or is otherwise aware of each employee's personal account transactions; and
      (c) If an employee's personal account transactions are conducted with the investment firm licensee, each employee's account must be clearly identified and distinguishable from other clients' accounts.
      Amended: January 2007

    • BC-2.10.5

      The written notice in sub-Paragraph BC-2.10.4(a)(i) must make it explicit that, if an employee is prohibited from undertaking a personal account transaction, he must not, except in the proper course of his employment:

      (a) Procure another person to enter into such a transaction; or
      (b) Communicate any information or opinion to another person if he knows, or ought to know, that the person will as a result, enter into such a transaction or procure some other person to do so.
      Amended: January 2007

    • BC-2.10.6

      Where an investment firm licensee has taken reasonable steps to determine that an employee will not be involved to any material extent in, or have access to information about, the investment firm licensee's investment business, then the conditions or restrictions on personal account transactions, in Rule BC-2.10.4, need not be applied to that employee.

    • BC-2.10.7

      Investment firm licensees must establish and maintain procedures and controls so as to ensure that an investment analyst does not undertake a personal account transaction in a financial instrument if the investment analyst is preparing investment research:

      (a) On that investment or its issuer; or
      (b) On a related investment, or its issuer;

      until the investment research is published or made available to the investment firm licensee's clients.

      Amended: January 2007