(6)As regards the conditions that the markets are subject to authorisation and to effective supervision and enforcement on an ongoing basis, under the SFO (Chapter 571 of the Laws of Hong Kong) the recognised exchange company must operate a multilateral system in accordance with non-discretionary rules. It does not enjoy discretion over how it executes trades and is not allowed to trade on its own account or engage into matched principal trading. Furthermore, a recognised exchange company must provide members with impartial access to its markets and services. The access criteria must be impartial, transparent, and applied in a non-discriminatory manner. To this effect, operating rules of a recognised exchange company must have reasonable and non-discriminatory standards for access and eligibility requirements. The Rules of the Exchange are reviewed and approved by the SFC. To access the trading system of a recognised exchange company, it is necessary to become an exchange participant of the recognised exchange company. Exchange participants must meet certain criteria. Among other things, they must be a company incorporated in HK, licensed under Section 116(1) of the SFO and hold a valid business registration certificate under the Business Registration Ordinance.