ANNEX IV - Record keeping of client orders and decision to deal
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🔗 Back to Summary. 🇫🇷 French Version: 2017R0565_FR.IIII. Back to Summary of LVL1. Link to the PDF. Direct link to EUR-LEX.
Article III – Requirement for operators of trading venues to immediately inform their national competent authority ⬅️ | ➡️ Retour au sommaire
Record keeping of client orders and decision to deal
1.
Name and designation of the client
2.
Name and designation of any relevant person acting on behalf of the client
3.
A designation to identify the trader (Trader ID) responsible within the investment firm for the investment decision
4.
A designation to identify the algorithm (Algo ID) responsible within the investment firm for the investment decision;
5.
B/S indicator;
6.
Instrument identification
7.
Unit price and price notation;
8.
Price
9.
Price multiplier
10.
Currency 1
11.
Currency 2
12.
Initial quantity and quantity notation;
13.
Validity period
14.
Type of the order;
15.
Any other details, conditions and particular instructions from the client;
16.
The date and exact time of the receipt of the order or the date and exact time of when the decision to deal was made. The exact time must be measured according to the methodology prescribed under the standards on clock synchronisation under EU.
SECTION 2
Record keeping of transactions and order processing
1.
name and designation of the client;
2.
name and designation of any relevant person acting on behalf of the client;
3.
a designation to identify the trader (Trader ID) responsible within the investment firm for the investment decision;
4.
a designation to identify the Algo (Ago ID) responsible within the investment firm for the investment decision
5.
Transaction reference number
6.
a designation to identify the order (Order ID)
7.
the identification code of the order assigned by the trading venue upon receipt of the order;
8.
a unique identification for each group of aggregated clients’ orders (which will be subsequently placed as one block order on a given trading venue). This identification should indicated ‘aggregated_X’ with X representing the number of clients whose orders have been aggregated.
9.
the segment MIC code of the trading venue to which the order has been submitted.
10.
the name and other designation of the person to whom the order was transmitted
11.
designation to identify the Seller & the Buyer
12.
the trading capacity
13.
a designation to identify the Trader (Trader ID) responsible for the execution
14.
a designation to identify the Algo (Algo ID) responsible for the execution
15.
B/S indicator;
16.
instrument identification
17.
ultimate underlying
18.
Put/Call identifier
19.
Strike price
20.
Up-front payment
21.
Delivery type
22.
Option style
23.
Maturity date
24.
unit price and price notation;
25.
price
26.
price multiplier
27.
Currency 1
28.
Currency 2
29.
remaining quantity
30.
modified quantity
31.
executed quantity
32.
the date and exact time of submission of the order or decision to deal. The exact time must be measured according to the methodology prescribed under the standards on clock synchronisation under EU
33.
the date and exact time of any message that is transmitted to and received from the trading venue in relation to any events affecting an order. The exact time must be measured according to the methodology prescribed under Commission Delegated Regulation (EU) 2017/574
34.
the date and exact time any message that is transmitted to and received from another investment firm in relation to any events affecting an order. The exact time must be measured according to the methodology prescribed under the standards on clock synchronisation under EU
35.
Any message that is transmitted to and received from the trading venue in relation to orders placed by the investment firm;
36.
Any other details and conditions that was submitted to and received from another investment firm in relation with the order;
37.
Each placed order’s sequences in order to reflect the chronology of every event affecting it, including but not limited to modifications, cancellations and execution;
38.
Short selling flag
39.
SSR exemption flag;
40.
| Nature of obligation | Type of record | Summary of content | Legislative reference |
|---|---|---|---|
| Client assessment | |||
| Information to clients | Content as provided for under Article 24(4) of Directive 2014/65/EU and Articles 44 to 51 of this Regulation | Article 24(4) of Directive 2014/65/EUArticles 44 to 51 of this Regulation | |
| Client agreements | Records as provided for under Article 25(5) of Directive 2014/65/EU | Article 25(5) Directive 2014/65/EUArticle 58 of this Regulation | |
| Assessment of suitability and appropriateness | Content as provided for under paragraphs 2 and 3 of Article 25 of Directive 2014/65/EU and Articles 54, 55 and 60 of this Regulation | Article 25(2) and (3) of Directive 2014/65/EUArticles 54, 55 and 56 of this Regulation | |
| Order handling | |||
| Client order-handling – Aggregated transactions | Records as provided for under Articles 67 to 70 of this Regulation | Articles 24(1) and 28(1) of Directive 2014/65/EUArticles 67 to 70 of this Regulation | |
| Aggregation and allocation of trans-actions for own account | Records as provided for under Article 69 of this Regulation | Articles 24(1) and 28(1) of Directive 2014/65/EUArticle 69 of this Regulation | |
| Client Orders and transactions | |||
| Record keeping of client orders or decision to deal | Records as provided for under Article 74 of this Regulation | Article 16(6) of Directive 2014/65/EUArticle 74 of this Regulation | |
| Record keeping of transactions and order processing | Records as provided for under Article 75 of this Regulation | Article 16(6) of Directive 2014/65/EUArticle 75 of this Regulation | |
| Reporting to clients | |||
| Obligation in respect of services provided to clients | Contents as provided for under Articles 59 to 63 of this Regulation | Paragraphs 1 and 6 of Article 24 and paragraphs 1 and 6 of Article 25 of Directive 2014/65/EUArticles 59 to 63 of this Regulation | |
| Safeguarding of client assets | |||
| Client financial instruments held by an investment firm | Records as provided for under Article 16(8) of Directive 2014/65/EU and under Article 2 of Commission Delegated Directive (EU) 2017/593 | Article 16(8) of Directive 2014/65/EUArticle 2 of Delegated Directive (EU) 2017/593 | |
| Client funds held by an investment firm | Records as provided for under Article 16(9) of Directive 2014/65/EU and under Article 2 of Delegated Directive (EU) 2017/593 | Article 16(9) of Directive 2014/65/EUArticle 2 of Delegated Directive (EU) 2017/593 | |
| Use of client financial instruments | Records provided for under Article 5 of Delegated Directive (EU) 2017/593 | Paragraphs 8, 9 and 10 of Article 16 of Directive 2014/65/EUArticle 5 of Delegated Directive (EU) 2017/593 | |
| Communication with clients | |||
| Information about Costs and associated charges | Contents as provided for under Article 50 of this Regulation | Article 24(4), point (c) of Directive 2014/65/EUArticle 50 of this Regulation | |
| Information about the investment firm and its services, financial instruments and safe-guarding of client assets | Content as provided for under Articles 47, 48 and 49 of this Regulation | Article 24(4) of Directive 2014/65/EUArticles 47, 48 and 49 of this Regulation | |
| Information to clients | Records of communication | Article 24(3) of Directive 2014/65/EUArticle 46 of this Regulation | |
| Marketing communications (except in oral form) | Each marketing communication issued by the investment firm (except in oral form) as provided under Articles 44 and 46 of this Regulation | Article 24(3) of Directive 2014/65/EUArticles 44 and 46 of this Regulation | |
| Investment advice to retail clients | (i) The fact, time and date that investment advice was rendered and (ii) the financial instrument that was recommended (iii) the suitability report provided to the client | Article 25(6) of Directive 2014/65/EUArticle 54 of this Regulation | |
| Investment research | Each item of investment research issued by the investment firm in a durable medium | Article 24(3) of Directive 2014/65/EUArticles 36 and 37 of this Regulation | |
| Organisational requirements | |||
| The firm’s business and internal organisation | Records as provided for under Article 21(1), point (f) of this Regulation | Paragraphs 2 to 10 of Article 16 of Directive 2014/65/EUArticle 21(1), point (f) of this Regulation | |
| Compliance reports | Each compliance report to management body | Article 16(2) of Directive 2014/65/EUArticle 22(2), point (c) and Article 25(2) of this Regulation | |
| Conflict of Interest record | Records as provided for under Article 35 of this Regulation | Article 16(3) of Directive 2014/65/EUArticle 35 of this Regulation | |
| Inducements | The information disclosed to clients under Article 24(9) of Directive 2014/65/EU | Article 24(9) of Directive 2014/65/EUArticle 11, 12 and 13 of Delegated Directive (EU) 2017/593 | |
| Risk management reports | Each risk management report to senior management | Article 16(5) of Directive 2014/65/EUArticle 23(1), point (b) and Article 25(2) of this Regulation | |
| Internal audit reports | Each internal audit report to senior management | Article 16(5) of Directive 2014/65/EUArticle 24 and Article 25(2) of this Regulation | |
| Complaints-handling records | Each complaint and the complaint handling measures taken to address the complaint | Article 16(2) of Directive 2014/65/EUArticle 26 of this Regulation | |
| Records of personal transactions | Records as provided for under Article 29(5), point (c) of this Regulation | Article 16(2) of Directive 2014/65/EUArticle 29(5), point (c) of this Regulation |
Table 1 in anx_II
| Cost items to be disclosed | Examples: |
|---|---|
| One-off charges related to the provision of an investment service | All costs and charges paid to the investment firm at the beginning or at the end of the provided investment service(s). |
| Ongoing charges related to the provision of an investment service | All ongoing costs and charges paid to investment firms for their services provided to the client. |
| All costs related to transactions initiated in the course of the provision of an investment service | All costs and charges that are related to transactions performed by the investment firm or other parties. |
| Any charges that are related to ancillary services | Any costs and charges that are related to ancillary services that are not included in the costs mentioned above. |
| Incidental costs | |
| (1)Switching costs should be understood as costs (if any) that are incurred by investors by switching from one investment firm to another investment firm.(2)Broker commissions should be understood as costs that are charged by investment firms for the execution of orders. |
Table 2 in anx_II
| Cost items to be disclosed | Examples: |
|---|---|
| One-off charges | All costs and charges (included in the price or in addition to the price of the financial instrument) paid to product suppliers at the beginning or at the end of the investment in the financial instrument. |
| Ongoing charges | All ongoing costs and charges related to the management of the financial product that are deducted from the value of the financial instrument during the investment in the financial instrument. |
| All costs related to the transactions | All costs and charges that incurred as a result of the acquisition and disposal of investments. |
| Incidental costs | |
| (1)Structuring fees should be understood as fees charged by manufacturers of structured investment products for structuring the products. They may cover a broader range of services provided by the manufacturer. |