Frequently Asked Questions

Chinese Military Companies Sanctions

860. For purposes of Executive Order (E.O.) 13959, what financial instruments are covered by the provision stating the prohibitions apply to “any transaction in … any securities that are derivative of, or are designed to provide investment exposure to such” publicly traded securities?

Examples of financial instruments covered by this provision include, but are not limited to, derivatives (e.g., futures, options, swaps), warrants, American depositary receipts (ADRs), global depositary receipts (GDRs), exchange-traded funds (ETFs), index funds, and mutual funds, to the extent such instruments also meet the definition of “security” as defined in section 4(d) of E.O. 13959.

December 28, 2020