Article 40-2Best Execution Policy

①A financial instruments business operator, etc., pursuant to the provisions of Cabinet Order, must establish a policy and method for executing orders from customers for the purchase and sale of securities and derivatives transactions (excluding those specified by Cabinet Order; hereinafter referred to as "transactions of securities, etc." in this Article) under the best terms and conditions (hereinafter referred to as the "best execution policy, etc." in this Article).

②A financial instruments business operator, etc. must disclose its best execution policy, etc. pursuant to the provisions of Cabinet Office Order.

③A financial instruments business operator, etc. must execute orders for transactions of securities, etc. in accordance with its best execution policy, etc.

④Before accepting an order from a customer for a purchase and sale of securities listed on a financial instruments exchange, purchase and sale of over-the-counter traded securities, or other transaction specified by Cabinet Order, a financial instruments business operator, etc., pursuant to the provisions of Cabinet Office Order, must provide the customer in advance with information on its best execution policy, etc. for the relevant transaction; provided, however, that this does not apply if it has already provided such information (or information on the revised policy, if its best execution policy, etc. has been revised).