Client Agreement Mifid

While these commitments are not new approaches for businesses in general (i.e. they currently apply to their transactions with private and commercial customers), they have not yet been applied to eligible counterparties. Preventing the unauthorized use of client financial instruments There are various adaptations and changes to the details of existing MiFID I standards. An important change is that the detailed requirements apply to both business clients and individuals; according to MiFID I, many of the more detailed requirements apply only to private customers. However, companies can lighten the load by entering into agreements with eligible counterparties that, if they wish, define custom reporting obligations for the execution of orders. For companies that provide independent advice while focusing on specific categories or a specific range of financial instruments, the AEMF recommends additional restrictions (for example. B marketing restrictions, to ensure that only relevant investors are attracted; so that investors can easily identify a preference for the specified classes or ranges of financial instruments; Clients should indicate that they only want these specified classes/financial instruments; The entity must be able to easily confirm whether its service is suitable for any new customer). MiFID II does not propose changes to the different categories of customers who may choose to be eligible counterparties. Before providing advice (see ”investment advice” in this note), companies must inform their customers of the following: Despite the market surge, the AEMF has confirmed that claims processing applies to both potential customers and customers. In view of the fact that the objective of the MiFID II Directive is to increase investor protection and reduce exemption zones, including the strengthening of the treatment of eligible counterparties, proposed by the AEMF at its consultation in the summer of 2014, and confirmed in its technical advice that the types of eligible investors are restricted. The AEMF`s advice is to eliminate investors who have chosen to be professional clients from the opportunity to choose eligible counterparties.