June 1, 2021 Dispositions against Members of the Financial Futures Association of Japan Today, the Association took the following actions against its members based on Article 19, Paragraph 1 of the Articles of Incorporation. rice field. Note i. Ltd. FX PRIME by GMO 1. Dispositioned Association Member Name Co., Ltd. FX PRIME by GMO 2. Disciplinary action Remarks 3. Reason for Disposition: 〇 Advertisement that is markedly inconsistent with the facts. The following problems were recognized with respect to web advertisements, etc. between September 6, 2019 and November 18, 2019. ① Our system related to trading tools for over-the-counter foreign exchange margin trading provided by the company, in the case of a market order, if the exchange rate fluctuates between the time the customer places the order and the time the contract is processed, It is a specification that cannot eliminate the occurrence of a price difference between the price at the time of ordering and the actual contract price (hereinafter referred to as "slippage"). In 2014, the company received a report on the specifications of the system from the person in charge of the system department during an internal study on slippage, and the director and the general manager of the legal compliance department shared the recognition. At least the information received in 2018 was shared among the president, directors, general managers and group heads. 2. Under such circumstances, the results of a survey on the occurrence rate of slippage, etc. by Company A, an external research company that the Company requested from 2017 to 2019, revealed that slippage actually occurred multiple times in the Company's system. However, the company was aware of the specifications of its system as described above, and at least in the 2018 investigation, company a gave an oral report suggesting that slippage was occurring. However, Company a's investigation report ( (The results of the investigation that slippage occurred multiple times are not stated.)), so there is no problem if it is in a format that quotes "No slippage (0%), according to company a's research," in web advertisements, etc. ” posted an article that is significantly different from the facts. (3) In addition, the advertisement review by the company's compliance department and the internal audit by the audit department were all about formal expression reviews and audits, even though they were aware of the possibility of slippage in their system specifications. However, it is recognized that he overlooked an indication that was significantly different from the facts regarding the occurrence of slippage. 4. In conjunction with this disposition, on the same date, pursuant to Article 16 of the Articles of Incorporation, the company was required to establish a business management system to properly conduct financial instruments business, such as establishing an advertisement screening system. , and made recommendations to formulate recurrence prevention measures related to this matter, such as improving the business operation system and internal control system.