Regulation 13

comply with all laws and rules governing the holder’s operations; and

in a manner that is commensurate with the nature, scale and complexity of the business of the holder —

implement, and ensure compliance with, effective written policies on all operational areas of the holder, including the holder’s financial policies, accounting and internal controls, and internal auditing; (ii)put in place compliance function and arrangements including specifying the roles and responsibilities of officers and employees of the holder in helping to ensure its compliance with all applicable laws, codes of conduct and standards of good practice in order to protect investors and reduce the holder’s risk of incurring legal or regulatory sanctions that may be imposed by the Authority or any other public authority, financial loss, and reputational damage;

identify, address and monitor the risks associated with the trading or business activities of the holder; (iv)ensure that the business activities of the holder are subject to adequate internal audit;

ensure that the internal audit of the holder or the holder’s holding company (if any) includes inquiring into the holder’s compliance with all relevant laws and all relevant business rules of any approved exchange or approved clearing house;

set out in writing the limits of the discretionary powers of each officer, committee, sub-committee or other group of persons of the holder empowered to commit the holder to any financial undertaking or to expose the holder to any business risk (including any financial, operational or reputational risk);

keep a written record of the steps taken by the holder to monitor compliance with its policies, its accounting and operating procedures, and the limits on discretionary powers; (viii)ensure the accuracy, correctness and completeness of any report, book or statement submitted by the holder to its head office (if any) or to the Authority; and

ensure effective controls and segregation of duties to mitigate potential conflicts of interest that may arise from the operations of the holder.