13. Other licences

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Amended

Last amended by an amending law of 2017.

(1)

Subject to section 14A, no person may act as, or hold the person out as —

(a)

a commodity broker’s representative;

(b)

a commodity trading adviser;

(c)

a commodity trading adviser’s representative;

(d)

a commodity pool operator; or

(e)

a commodity pool operator’s representative,unless the person is the holder of a licence granted under this Part that authorises the person to act as such.

(2)

As from 8 October 2018, subsection (1) ceases to apply to any person who —

(a)

in relation to subsection (1)(a), is a commodity broker’s representative of a commodity broker mentioned in section 12(2) who does not hold a transitional licence;

(b)

in relation to subsection (1)(b), commences business as a commodity trading adviser on or after that date;

(c)

in relation to subsection (1)(c), is a commodity trading adviser’s representative of a commodity trading adviser mentioned in paragraph (b) who does not hold a transitional licence;

(d)

in relation to subsection (1)(d), commences business as a commodity pool operator on or after that date; or

(e)

in relation to subsection (1)(e), is a commodity pool operator’s representative of a commodity pool operator mentioned in paragraph (d) who does not hold a transitional licence.

(3)

A holder of a commodity broker’s licence is not required to hold a commodity trading adviser’s licence.

(4)

A person who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction —

(a)

for an offence under subsection (1)(b) or (d) to a fine not exceeding $100,000 or to imprisonment for a term not exceeding 3 years or to both;

(b)

for an offence under subsection (1)(a), (c) or (e) to a fine not exceeding $50,000 or to imprisonment for a term not exceeding 12 months or to both.

(5)

In this section, “transitional licence” has the meaning given by section 66.

Terms defined in s 2

commodity broker
Defined · s 2
“commodity broker” means a person who (whether as principal or agent) carries on the business of soliciting, or accepting orders, for the purchase or sale of any commodity by way of or relating to any commodity contract, whether or not the business is part of, or is carried on in conjunction with, any other business;
Open s 2
commodity pool operator
Defined · s 2
“commodity pool operator” means any person who carries on a business in the nature of a collective investment scheme within the meaning of section 2 of the Securities and Futures Act 2001 and who, in connection therewith, accepts or receives from other persons funds, security or property, either directly or through capital contributions, the sale of shares or other forms of security or otherwise for the purpose of trading in commodity contracts but does not include any person that the Board may prescribe;
Open s 2
commodity trading adviser
Defined · s 2
“commodity trading adviser” means any person who —(a)carries on the business of advising others (directly or indirectly, through publications or writings, or by whatever means or media) on the making of commodity contracts, including the advisability of trading in any commodity contract made or to be made on, or subject to the business rules of, a commodity market;(b)as part of a regular business, issues or promulgates analyses or reports concerning the making of commodity contracts; or(c)pursuant to a contract or an arrangement with a customer or other person, undertakes on behalf of that customer or other person (whether on a discretionary authority or otherwise granted by the customer or other person) to make any commodity contract for the purposes of managing the client’s funds, but does not include —(i)a bank or merchant bank licensed under the Banking Act 1970;(ii)a commodity broker, commodity broker’s representative, commodity pool operator or commodity pool operator’s representative;(iii)a person who carries on the business of printing or publishing a newspaper and is the holder of a permit issued under the Newspaper and Printing Presses Act 1974 where —(A)insofar as the newspaper is distributed generally to the public it is distributed only to subscribers to, and purchasers of, the newspaper for value;(B)the advice is given or the analyses or reports are issued or promulgated only through that newspaper; and(C)that person receives no commission or other consideration for giving the advice or for issuing or promulgating the analyses or reports; and(iv)any other person that the Board may prescribe,if and only if the carrying on of the business by the abovementioned persons is solely incidental to the carrying on of their business;
Open s 2