Update on MiFID II

What do you need to know about the MiFID II changes?

MiFID II, or to give it its full name - the second Markets in Financial Instruments Directive, aims to:

  • make financial markets more efficient and resilient
  • improve transparency of both equity and non-equity markets
  • strengthen investor protection and reinforce supervisory powers

Key changes and actions required

You can find out more about the changes we've made to support MiFID in this section.

As previously communicated, we recommend your business takes a small number of key actions to ensure you can continue to trade in Exchange Traded Instruments on our platforms with minimum disruption. The action required depends on the assets your clients are invested in:

Firms using Wrap or Elevate under advisory permissions only

  • All individual clients that are invested in Exchange Traded Instruments (ETIs) must confirm their nationality and provide appropriate National Identifiers in order to trade in ETIs, unless those assets are held via an International Bond. Where clients are UK nationals and have already provided a valid National Insurance number (NINO) there is no further action to take.
  • All corporate clients e.g. trust accounts invested in ETIs and corporate trustees of trusts invested in ETIs must provide the Legal Entity Identifier (LEI) of the entity as well as confirm the nationality and NIs of key investment decision makers within that entity, unless those assets are held via an International Bond.
  • This action is still required if your clients or trusts are invested in ETIs via discretionary portfolios on our platforms, unless those assets are held via the Wrap International Bond or an on-platform third party bond or pension provider on Elevate. Gathering this information is the responsibility of the discretionary manager where assets are held ‘off platform’ via Wrap SIPP.

Firms using Wrap, The Investment Hub or Elevate under discretionary permissions

In addition to requesting the information above for individual clients and trusts, we also require the LEIs for discretionary firms and the NIs for key decision makers within those firms.

Discretionary firms using Elevate or the Investment Hub or Wrap are able to input this information on the platform.

If you still have questions then please speak to your usual Standard Life contact, otherwise, contact us on 0345 279 1001

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