Following the complaints of two clients and SEC’s further investigation, it was found that {A} had made trading decisions without investors’ orders, while {B} and {C} had accepted trading orders from persons who were not the owners of the accounts or were not authorized in writing by the investors. Their acts caused damage to the clients during February – November 2018.

The misconduct of the investment consultants above was deemed failure to perform duties with responsibility and deliberation as a professional in accordance with the Notification of the Capital Market Supervisory Board.* SEC has therefore imposed the following sanctions:

            (1)  Suspending approval for {A} as investment consultant for complex instruments type 1** and as assistant manager or an equivalent position for 15 months; however, since the approval period of the investment consultant will expire on 31 December 2020, SEC has decided to suspend her approval from 6 March 2020 to 31 December 2020. In addition, SEC will not accept her future application for approval as personnel in the capital market for the remaining period from 31 December 2020 until the 15-month suspension ends. {A} resigned from Finansia on 12 March 2019. Currently, she does not perform duties at any securities company. In this regard, it is deemed that the approval as assistant manager or an equivalent position has lapsed since 12 March 2019. Therefore, SEC will not accept her future application for approval as personnel in the capital market for 15 months in the same manner as for the case of her approval as investment consultant above;  

            (2)  Suspending approval for {B} as investment consultant for complex instruments type 1 for three months and 22 days; however, since the approval period has expired since 31 December 2019, SEC will not accept his future application for approval as personnel in the capital market business for three months and 22 days, starting from 6 March 2020;

            (3)  Suspending approval for {C} as investment consultant for complex instruments type 1 for three months, starting from 11 March 2020.

Investors are strongly advised to check their trading accounts regularly to prevent other persons from using their accounts to trade securities without their knowledge, and make sure that the documents of transaction confirmation are issued by the securities companies in charge. In case of concerns of doubtful events, investors should contact the compliance unit promptly. In any case, investment consultants must accept trading orders from the account owners or the persons who have a written authorization from investors only.

__________________

Notes:

*  Pursuant to Clause 23(2) and the prohibited characteristics of personnel in the capital market business under Clause 31(1) of the Notification of the Capital Market Supervisory Board No. Tor Lor Thor. 8/2557 Re: Rules on Personnel in the Capital Market Business dated 3 June 2014, as amended by the Notification of the Capital Market Supervisory Board No. Tor Lor Thor. 48/2560 Re: Rules on Personnel in the Capital Market Business (No. 7) dated 30 August 2017.  

**  An investment consultant for complex instruments type 1 is allowed to give advice to investors about capital market products without complex features and products with high risks or complexity of all types. Ex., investment units of mutual funds for institutional investors or ultra-high net worth investors, investment units of mutual funds investing in derivatives, hybrid products, structured notes and derivatives.