finnCap Corporate Research exempt from MiFID II prohibition on portfolio managers accepting “non-monetary benefits”

Apr 27, 2016 / Announcements

We, finnCap, have been working with the Quoted Companies Alliance (“QCA”) over the last year regarding the research and inducement regime.

Our Head of Compliance, Mark Tubby, went to Brussels to the EU Commission to present on why smaller company research should be exempted.

We are very pleased to say that the recently published Delegated Directive makes significant changes to the MiFID II research regime, specifically:

  • research that is commissioned and paid for by a corporate issuer does not count as an inducement
  • short-term market commentary on non-substantive material – i.e. notes from the Sales desk – are also not considered inducements

finnCap’s Research and Sales desk notes are therefore both exempt from the MiFID II prohibition on portfolio managers accepting “non-monetary benefits”. Institutions can continue to receive finnCap’s Research and Sales notes free from any MiFID II restrictions.

 

Contacts
020 7220 0500
Mark Tubby, Head of Compliance
Mick McNamara, Head of Sales Trading
Rhys Williams, Head of Sales
Raymond Greaves, Head of Research