The Japan Securities Dealers Association has strengthened voluntary industry regulations, such as limiting sales to customers with a certain level of investment experience, for financial products called "structured bonds," which have high yields but also carry the risk of loss. announced that it will
"Structured bonds" are financial products that have high yields but also carry the risk of loss. We are investigating.
In response to this, the Japan Securities Dealers Association announced on the 15th that it would revise the guidelines for the sale of "structured bonds" established in 2011 and strengthen voluntary regulations.
The new guidelines
require that sales should be limited to customers with a certain level of investment experience, that the
risk of loss should be posted in a place where it is easy to notice, and
that
representatives of financial institutions that sell financial products should be notified. It is requested that the seller verify whether the sales process was appropriate.
The association plans to introduce revised guidelines in July, and will consider disposition if violations are found.
Toshio Morita, chairman of the Japan Securities Dealers Association, said at a press conference, ``We need to be careful when selling products, and we want buyers to fully explain so that they do not underestimate the risks.''