"A person shall not engage in investment portfolio management unless he holds a portfolio manager's license, and if he is an individual, he is licensed and works in a company that holds an investment portfolio manager's license."
Section 39(b)(12) deals with a person who "made an offer to provide services, in contravention of the provisions of section 3a". Section 3A of the Law states as follows:
"A person shall not apply with an offer for the provision of services, unless the service is provided by an appropriate license holder under this Law, or by a person who is entitled to provide such service even without a license, in accordance with the provisions of sections 3 or 9 or chapter B1; In this subsection, "request by proposal" - whether by instrument or indirectly, including by means of publication, circulars, opinions, by mail, facsimile, telephone or in any other way.
- Section (a)(1) defines the management of investment portfolios without a license as an offense, along with engaging in investment advice and marketing investments without a license, which are also considered an offense.
The expressions "investment portfolio management", "services", "investment advice" and "investment marketing" are defined in section 1 of the Advisory Law as follows:
"'Investment advice' - advising others regarding the feasibility of investing, holding, buying or selling securities or financial assets; In this regard, "consultation" - whether directly or indirectly, including by means of publication, circulars, opinions, by mail, facsimile or by any other means, except for publication by the State or by a corporation that fulfills a legal role in the framework of its position."
"Investment Marketing" - advising others regarding the feasibility of investing, holding, buying or selling securities or financial assets, where the advice is related to a financial asset; For this purpose, 'advice' - as defined in the definition of investment advice"
"'Investment Portfolio Management' - executing transactions, at discretion, at the expense of others"