18.7.1 Approval of Customer's Options Trading Account
18.7.2 Diligence in Opening Account
Before opening an Options trading account, a Trading Member shall exercise due diligence to learn the essential facts concerning the customer. A record of this information shall be maintained by the Trading Member. Based upon such information, an Executive Director of the Trading Member shall approve in writing the opening of the customer's Options trading account.
18.7.3 Undertaking to be Obtained
18.7.4 Documents to be Furnished
18.7.5 Contract Statements to Customers
The contract statements for the Option transactions of a Trading Member's customer shall be sent to the customer by the OCC on behalf of the said Trading Member on the next Market Day after an Option transaction date indicating, in respect of each Option transaction:—
18.7.6 Required Courses/Fees
18.7.7 Transfers of Options Positions
A customer who intends to transfer his outstanding Options position from one Trading Member to another shall obtain the consent to the transfer from the Trading Member with whom he has his outstanding Options positions and shall obtain the transferee Trading Member's consent to accept his outstanding Options positions before the transfer.
18.7.8 Transactions with Issuers
No Trading Member shall accept an order for the account of any company which is the issuer of underlying securities or for the account of any subsidiary of such company for the writing or purchase of an Option with respect to underlying securities of that issuer.
18.7.9 Due Authorisation for Option Transactions
No Option transactions shall be effected on behalf of customers without proper authorisation being given by the customers.
18.7.10 Taking of Orders by Customers
When taking an order, the Trading Member shall establish proper procedures to ensure that the customers' orders shall contain the following details:—