MiFID II: Suitability test and our solution
Looking for someone to solve your MiFID II-challenges? Our solution deals with the requirements set by the implementation of MiFID II's suitability report in January 2018.
The implementation of MiFID II in Norway (and abroad) means new regulatory requirements for firms giving investment advice to retail clients. In collaboration with law firm Schjødt, Quesnay has developed a simple, fast and reliable solution that fulfills the minimum requirements of MiFID II's suitability report.
Our solution achieves the following goals:
- Fulfills the minimum requirements for MiFID II's suitability report
- Is user-friendly and efficient, both for advisors, investors, and partners
- Minimize compliance risks
- Fast implementation
- Standardized integration with the possibility for customized solutions
What does it look like, and how does it work?
The legal framework for the Norwegian implementation of MiFID II, which was presented by Verdipapirlovutvalget (Securities Law Committee) on January 20th, 2017, set the following requirements for a suitability report ("egnethetserklæring"):
- When providing investment advice to retail clients (i.e. non-professional clients), investment firms must provide the client with a suitability report following every advisory action.
- Summarized, the suitability report should:
- Be an outline of the investment advice and an explanation of how the recommendation is suitable for the retail client (based on the client's stated preference, goals and other circumstances)
- Be given prior to the execution of transactions (exceptions may be given to advice given through the use of telecommunications)
- The suitability report shall only concern itself with portfolio changes
We have developed a solution that can be seamlessly integrated with existing infrastructure (SuperOffice, Tradex, e.l.) and as such be seamlessly integrated with the client and advisor dashboard.
Get in touch!
Do you want a demonstration of what our solution entails? Email us for a demo.