SK Securities has introduced and implemented “the Five Musts and Five Must-Nots” to strengthen the law-abiding and ethical management through developing ethical mindsets of our sales staff.
The ‘Five Musts and Five Must-Nots’
五行
- the Five ‘Must’s
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- 一行. When a customer opens an account especially a gifts/options account, an ID check or reference check should be carried out thoroughly and the execution procedure should be strictly complied.
- 二行. When a customer opens an account for high risk transactions, such as futures, options and credit transactions, the customer should be issued a manual, explained in details and requested to confirm in writing.
- 三行. Appropriate investment guidelines shall be suggested in view of the customer’s asset condition, purpose of investments, investment experience and knowledge.
- 四行. We will accept transactional entrustment from valid customers only and if a third person is designated as the rightful person or an agent of that customer, a clear intention of delegation shall be submitted and checked in writing.
- 五行. When a transaction is established, it shall be notified without delay in accordance with the agreed method.
五不
- the Five ‘Must-Not’s
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- 一不. We, the company or any members of the company, neither will fill out or sign on behalf of the customer on any documents or vouchers related to customers’ accounts, nor store or keep the customers’ belongings such as transactional seals, security card or account booklets.
- 二不. We, the company or any members of the company, will not guarantee any profit or loss (including compensation for loss or return on asset) in writing such as a memo, warranty or agreement to any customers.
- 三不. We, the company or any members of the company, will not violate the related laws or engage in illegitimate business practices such as arbitrary purchases and sales, illegal entrusting trading, prepayments, or initiation fees.
- 四不. We, the company or any members of the company, will not accept unfair trading or false orders that are clearly non-compliant or in default, such as market price manipulation and use of undisclosed information.
- 五不. We, the company or any members of the company, will not allow non-employees or unqualified persons to engage in investment counseling or business activities and will not use unfair and undeserved titles (e.g., director, head, deputy, etc.) that may cause misunderstanding.
Campaign Progress and Effectiveness
- Continuing education and communication with sales staffs through, including the Code of Ethics, Company Dailies on cases of violation of the campaign, reinforcement of internal control, and training on legal and compliance matters.
- The CEO’s strong commitment to actualize the campaign has been enculturated as the company’s sales and marketing culture.