Requirement (MIFID)
Article 47 General principles
Requirements MIFID - DIRECTIVE 2006/73/EC
Description
Description
1. Member States shall require investment firms to satisfy the
following conditions when carrying out client orders:
(a) they must ensure that orders executed on behalf of clients
are promptly and accurately recorded and allocated;
(b) they must carry out otherwise comparable client orders
sequentially and promptly unless the characteristics of the
order or prevailing market conditions make this impracticable,
or the interests of the client require otherwise;
(c) they must inform a retail client about any material difficulty
relevant to the proper carrying out of orders promptly
upon becoming aware of the difficulty.
2. Where an investment firm is responsible for overseeing or
arranging the settlement of an executed order, it shall take all
reasonable steps to ensure that any client financial instruments
or client funds received in settlement of that executed order are
promptly and correctly delivered to the account of the
appropriate client.
3. An investment firm shall not misuse information relating to
pending client orders, and shall take all reasonable steps to
prevent the misuse of such information by any of its relevant
persons.
Comment
Applies to Articles 22(1) and 19(1) of Directive 2004/39/EC