Section 44

(ll As required under the Order, a holder of a capital markets services licence must have a reasonable basis to believe that a recommended transaction or investment strategy involving a security or securities is suitable for the client, based on the facts known by the holder of the capital markets services licence or disclosed by the client in response to reasonable efforts by the holder of the capital markets services licence to obtain information concerning the client's information in regulation 43(2).

[2)

A holder of a capital markets services licence fulfils the client-specific suitability obligation for an institutional investor, if -

(a} the institutional investor affirmatively indicates that it is willing to forego the protection of the client-specific suitability obligation rule; and

{bj the holder of a capital markets services licence has a reasonable basis to believe that the institutional investor is capable of -