2. The accuracy and timeliness of fund clearing. A specialized position shall be set up for fund clearing, and the method of double-checking shall be adopted to prevent the occurrence of delays in fund transfers or failures in timely clearing.

3. The accuracy of accounting. A qualified individual shall be designated for accounting and a sound evaluation system shall be established to regularly check up the authenticity of trading data on the fund and securities.

4. The supervision of the custodian on the work of the investment manager. Included in the supervision is a reminding of the investment scope, of proportions and limitations and other compliance and legitimacy supervision. The trustee provides the Agenda for Investment Operation Supervision. The custodian then, executes the Agenda.

5. The integrity of the internal control system and the risk management system.

Gist of the trustee supervision on the investment manager:

1. Integrity of the investment decision support system and mechanism. Including decision makers and executives it¡¯s the aim to achieve the combination of collective and individual decisions and to have a clear partition between work and duty.

2. Standardization of executing investment orders. The investment decision process shall be separate from the trading process, and investment transactions related with occupational annuity funds shall be independent from the transaction of other assets under management (AUM).

3. The investment scope and proportion of funds (allotted to different classes within a portfolio) are in line with laws and regulations. Phenomena like selftrade, contra trade, high-price takeover, related-party transactions that may impair the interests of the beneficiary are all excluded.

4. Double checking the evaluation and the clearing data with the custodian to assure timeliness and accuracy.

5. Integrity of the risk management and control system. Take quantitative means, assign an internal audit and control system to control various non-financial risks.