Re: Amendment to the Terms and Conditions

Dear Valued Customers, 

Re: Amendment to the Terms and Conditions

We, CITIC Securities Brokerage (HK) Limited (“CSBHK”) and CITIC Securities Futures (HK) Limited, have recently amended our Terms and Conditions for Securities Trading, Terms and Conditions for Margin Financing, Terms and Conditions for Securities Trading (Professional Investor – Institutional), Terms and Conditions for Futures and Options Trading, Addendum in relation to Bond Transactions, Addendum in relation to Structured Note Transactions and Privacy Policy Statement (formally known as “the Circular relating to the Personal Data (Privacy) Ordinance of Hong Kong”) (collectively referred as “Terms and Conditions) to reflect certain updates and recent regulatory changes.  

Words and expressions defined in the Terms and Conditions shall, unless the context otherwise requires, have the same meanings when used here. The revised Terms and Conditions are now available on our website at: https://www.citics.com.hk/en/customer-service.php 

1. The Personal Information Protection Law of the People’s Republic of China 

As a background, the Personal Information Protection Law of the People’s Republic of China (the “PIPL”) became effective on 1 November 2021. It is a privacy and security law aiming at enhancing individuals' control and rights over their personal data and improving the personal information protection regime as a whole. We have therefore updated the data protection provision in the Terms and Conditions to include the compliance of the PIPL as well as the Personal Data (Privacy) Ordinance (Cap. 486), the laws of Hong Kong. 

Privacy Policy Statement (formally known as “the Circular relating to the Personal Data (Privacy) Ordinance of Hong Kong”) has also been updated to take into account the recently promulgated legal requirements in respect of personal data protection in relevant jurisdictions, such as the Personal Data (Privacy) Ordinance (Cap. 486) in Hong Kong, the General Data Protection Regulation in Europe and PIPL in China. 

2. Updating the charge related clauses

In order to strengthen our position over charge, we have updated charge related provisions in the Terms and Conditions :- 1) further clarifying that Special Margin Financing Agreement forms part of the client agreement; 2) Securities Account shall be charged to CSBHK as first priority fixed security, and no charged securities may be withdrawn or substituted without our consent; and 3) Charge over Securities shall not affect the nature of the Charge over Securities Account, which is still valid as a first priority fixed charge. You may refer to Terms and Conditions for Securities Trading for further details.

3. Updating the distribution model  

In response to the increasing trend of principal-to-principal distribution arrangement in the market, CSBHK has updated the relevant Terms and Conditions to reflect the back-to-back principal transaction model in respect of the bonds and structured notes. Under the principal-to-principal relationship, CSBHK acts as a principal when purchasing the bonds and structured notes from the issuer of the bonds or the structured notes or the counterparties and thereafter CSBHK will then re-sell such products to the customers as a principal. The back-to-back principal transaction model is applicable for CSBHK’s distribution of structure notes and bonds. 

4. Updating the electronic signature 

The growing popularity of the electronic trading has created the demand for electronic signature and authorization. The Terms and Conditions have been updated to recognize the validity and the legal effect of the electronic signature from the customers. The electronic signature includes but not limited to the scanned copy of manually signed the documents, using mobile application and digital signature.  

Please note that the above amendments shall be binding on you if you continue to use or purchase the service and products offered by us. 

If you have any enquiries, please do not hesitate to contact your Account Manager or call our Customer Service Hotline at (852) 2237 9338 / 400 818 0338 from 9am to 6pm, Monday to Friday or via email csi-callcentre@citics.com.hk.

Yours faithfully,

CITIC Securities Brokerage (HK) Limited

CITIC Securities Futures (HK) Limited