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| Article 246 (Limitations on Business of Trust Business Entities) |
| (1) | No trust business entity that keeps in custody and manages collective investment property shall be an affiliated company of any of the following persons: <Amended by Act No. 11845, May 28, 2013> |
| 1. | The relevant collective investment scheme (limited to an investment company, an investment limited company, an investment limited partnership company, and an investment limited liability company); |
| 2. | The collective investment business entity that operates the collective investment property. |
| (2) | A trust business entity that keeps in custody and manages collective investment property shall separate the collective investment property from its proprietary property, other collective investment property, and the property with which it has been entrusted by a third party for safekeeping and management. In such cases, it shall clearly earmark the facts pertaining to the collective investment property and the trustor. |
| (3) | A trust business entity that keeps in custody and manages collective investment property shall separate, from its proprietary property, securities and other instruments specified by Presidential Decree, out of the collective investment property, and shall deposit them in the Securities Depository: |
| (4) | Whenever the collective investment business entity that operates the collective investment property gives it an instruction necessary for the performance of acquisition, disposition, etc. of an asset, or for safekeeping, management, etc. in accordance with Article 80, a trust business entity that keeps in custody and manages collective investment property shall execute such instruction separately for each collective investment scheme in a manner prescribed by Presidential Decree. |
| (5) | A trust business entity that keeps in custody and manages collective investment property shall not trade collective investment property which is being kept and managed by it with its own property, other collective investment property or property entrusted with its custody by a third party: |
| (6) | A trust business entity that keeps in custody and manages collective investment property shall not trade collective investment property which is being kept and managed by it with the property of its interested persons. <Added by Act No. 9407, Feb. 3, 2009> |
| (7) | A trust business entity that keeps in custody and manages collective investment property shall not use information about the collective investment property of the collective investment scheme for the management of its own property, management of the property that it keeps in custody and manages, or the sales of collective investment securities that it sells. <Added by Act No. 9407, Feb. 3, 2009> |