Commission Directive 2006/73/EC of 10 August 2006 implementing Directive 2004/39/EC…

Commission Directive 2006/73/EC of 10 August 2006 implementing Directive 2004/39/EC of the European Parliament and of the Council as regards organisational requirements and operating conditions for investment firms and defined terms for the purposes of that Directive (Text with EEA relevance)

directive · European Union · 32006L0073

443 provisions in 977 nodes · 132 provisions hand work to national law

Defined terms · All instruments · Internet · accounting · branch · confidentiality · consumer · consumer · consumption · contract

CHAPTER I SCOPE AND DEFINITIONS

Article 1 Subject-matter and scope

Division

Article 2 Definitions

Article 3 Conditions applying to the provision of information

Article 4 Additional requirements on investment firms in certain cases

CHAPTER II ORGANISATIONAL REQUIREMENTS

SECTION 1 Organisation

Article 5 (Article 13(2) to (8) of Directive 2004/39/EC) General organisational requirements

Article 6 (Article 13(2) of Directive 2004/39/EC) Compliance

Article 7 (second subparagraph of Article 13(5) of Directive 2004/39/EC) Risk management

Article 8 (second subparagraph of Article 13(5) of Directive 2004/39/EC) Internal audit

Article 9 (Article 13(2) of Directive 2004/39/EC) Responsibility of senior management

Division

Article 10 (Article 13(2) of Directive 2004/39/EC) Complaints handling

Division

Article 11 (Article 13(2) of Directive 2004/39/EC) Meaning of personal transaction

Article 12 (Article 13(2) of Directive 2004/39/EC) Personal transactions

SECTION 2 Outsourcing

Article 13 (Article 13(2) and first subparagraph of Article 13(5) of Directive 2004/39/EC) Meaning of critical and important operational functions

Article 14 (Article 13(2) and first subparagraph of Article 13(5) of Directive 2004/39/EC) Conditions for outsourcing critical or important operational functions or investment services or activities

Article 15 (Article 13(2) and first subparagraph of Article 13(5) of Directive 2004/39/EC) Service providers located in third countries

SECTION 3 Safeguarding of client assets

Article 16 (Article 13(7) and (8) of Directive 2004/39/EC) Safeguarding of client financial instruments and funds

Article 17 (Article 13(7) of Directive 2004/39/EC) Depositing client financial instruments

Article 18 (Article 13(8) of Directive 2004/39/EC) Depositing client funds

Article 19 (Article 13(7) of Directive 2004/39/EC) Use of client financial instruments

Article 20 (Article 13(7) and (8) of Directive 2004/39/EC) Reports by external auditors

Division

SECTION 4 Conflicts of interest

Article 21 (Articles 13(3) and 18 of Directive 2004/39/EC) Conflicts of interest potentially detrimental to a client

Article 22 (Articles 13(3) and 18(1) of Directive 2004/39/EC) Conflicts of interest policy

Article 23 (Article 13(6) of Directive 2004/39/EC) Record of services or activities giving rise to detrimental conflict of interest

Division

Article 24 (Article 19(2) of Directive 2004/39/EC) Investment research

Article 25 (Article 13(3) of Directive 2004/39/EC) Additional organisational requirements where a firm produces and disseminates investment research

CHAPTER III OPERATING CONDITIONS FOR INVESTMENT FIRMS

SECTION 1 Inducements

Article 26 (Article 19(1) of Directive 2004/39/EC) Inducements

SECTION 2 Information to clients and potential clients

Article 27 (Article 19(2) of Directive 2004/39/EC) Conditions with which information must comply in order to be fair, clear and not misleading

Article 28 (Article 19(3) of Directive 2004/39/EC) Information concerning client categorisation

Article 29 (Article 19(3) of Directive 2004/39/EC) General requirements for information to clients

Article 30 (first indent of Article 19(3) of Directive 2004/39/EC) Information about the investment firm and its services for retail clients and potential retail clients

Article 31 (second indent of Article 19(3) of Directive 2004/39/EC) Information about financial instruments

Article 32 (first indent of Article 19(3) of Directive 2004/39/EC) Information requirements concerning safeguarding of client financial instruments or client funds

Division

Article 33 (fourth indent of Article 19(3) of Directive 2004/39/EC) Information about costs and associated charges

Article 34 (second and fourth indent of Article 19(3) of Directive 2004/39/EC) Information drawn up in accordance with Directive 85/611/EEC

Division

SECTION 3 Assessment of suitability and appropriateness

Article 35 (Article 19(4) of Directive 2004/39/EC) Assessment of suitability

Article 36 (Article 19(5) of Directive 2004/39/EC) Assessment of appropriateness

Division

Article 37 (Article 19(4) and (5) of Directive 2004/39/EC) Provisions common to the assessment of suitability or appropriateness

Article 38 (first indent of Article 19(6) of Directive 2004/39/EC) Provision of services in non-complex instruments

Article 39 (Article 19(1) and 19(7) of Directive 2004/39/EC) Retail client agreement

Division

SECTION 4 Reporting to clients

Article 40 (Article 19(8) of Directive 2004/39/EC) Reporting obligations in respect of execution of orders other than for portfolio management

Article 41 (Article 19(8) of Directive 2004/39/EC) Reporting obligations in respect of portfolio management

Article 42 (Article 19(8) of Directive 2004/39/EC) Additional reporting obligations for portfolio management or contingent liability transactions

Division

Article 43 (Article 19(8) of Directive 2004/39/EC) Statements of client financial instruments or client funds

SECTION 5 Best execution

Article 44 (Articles 21(1) and 19(1) of Directive 2004/39/EC) Best execution criteria

Article 45 (Article 19(1) of Directive 2004/39/EC) Duty of investment firms carrying out portfolio management and reception and transmission of orders to act in the best interests of the client

Division

Article 46 (Article 21(3) and (4) of Directive 2004/39/EC) Execution policy

SECTION 6 Client order handling

Article 47 (Articles 22(1) and 19(1) of Directive 2004/39/EC) General principles

Article 48 (Articles 22(1) and 19(1) of Directive 2004/39/EC) Aggregation and allocation of orders

Article 49 (Articles 22(1) and 19(1) of Directive 2004/39/EC) Aggregation and allocation of transactions for own account

Division

SECTION 7 Eligible counterparties

Article 50 (Article 24(3) of Directive 2004/39/EC) Eligible counterparties

Division

SECTION 8 Record-keeping

Article 51 (Article 13(6) of Directive 2004/39(EC) Retention of records

SECTION 9 Defined terms for the purposes of Directive 2004/39/EC

Article 52 (Article 4(1)(4) of Directive 2004/39/EC) Investment advice

CHAPTER IV FINAL PROVISIONS

Article 53 Transposition

Division

Article 54 Entry into force

Division

Article 55 Addressees

Division

Preamble