for equity crowdfunding. Furthermore, in the case of ICOs, imposing the aggregate limit would not be an effective investor protection mechanism. This is because it would be very difficult to enforce and

that are difficult to detect. For example, (1) fraudulent transactions through a subsidiary located overseas that has obscure business objectives and is hard to inspect, (2) trading transactions and

elements of the financial reporting ecosystem, from better education and training to more rigorous monitoring and enforcement. And it is only when the appropriate processes are in place and the people

of the monitoring and root cause analysis on such deficiencies, remediation plan preparation and the follow-up of the remediation plan. The SEC will continue to assist audit firms and follow up on

inventory and cost of sales, and the audit of difficult or complex transactions were among the most prevalent observations. It was noteworthy that some of those observations also shared a trait of

inspection results in the 3 inspection cycle (2017-2018); the score in each element of the quality control system of most audit firms was higher than that during the 2 cycle, notably the ‘monitoring’ element

collaboration of audit firm leaders, auditors and personnel. Nevertheless, some audit firms have yet to remove deficiencies in engagement performance and monitoring while they are revising their audit manual and

efficient and effective monitoring process. Along the same line, the inspection results of individual engagements showed promising improvement of audit quality in the capital market, as reflected in the

conflicts of interest and prioritise advancing the best interest of clients. Principle 3: Make informed investment decisions and engage in active ongoing monitoring of investee companies. Principle 4: Apply

interest of our members. Principle 3: Oversee asset managers to make informed investment decisions and engage in active ongoing monitoring of investee companies. Investment decisions should take into account