The Executive Regulations of the Capital Markets Law set out the obligations of, the restrictions on, brokerage companies.

Brokerage companies are bound by fiduciary duties of honesty and integrity regarding their clients. Therefore, brokerage companies are required to disclose any conflict of interest that may exist. Also included in their fiduciary duty is the obligation not to disclose any information regarding their clients prior to there written agreement.

Insider trading rules have been established in accordance with which brokerage companies, their directors and employees are expressly prohibited from engaging in insider trading by using non-public information in accordance with, among other things, these rules:

Brokerage companies may not execute transactions on behalf of their clients, without sufficient evidence justifying their advice and the resulting transactions

Brokerage companies are prohibited from "churning" (i.e. entering into transactions for clients participating in excessive trading, with the aim of increasing commissions, expenses or other fees)

Brokerage companies may only deal on behalf of their clients in transactions for which they have been granted specific instructions. These instructions should be recorded by the broker

The client must be informed of the completion of a transaction within 24 hours

Transactions on behalf of the brokerage companies' directors, employees or relatives are permitted only through with the explicit written consent of the Board of Directors of the Brokerage Company.