MiFID II Course

The Markets in Financial Instruments Directive (MiFID) originally aimed to increase competition and integration in markets for financial instruments. After the financial crisis, it was evident that greater investor protection was needed.

The EU created MiFID II to broaden the scope to other financial instruments and trading venues. This extends to market participants and activities not previously regulated. Most of it is adopted into the FCA's Handbook.

Our Markets in Financial Instruments Directive II (MiFID II) Course explains the new MiFID II rules and what is required to comply with these rules.

About this Course

Available as part of our FCA Compliance Library.

Learning Objectives

This course will prepare your employees to:

Identify the aims and objectives of MiFID II
Appreciate the measures being introduced to improve the governance regime, including product governance, remuneration, HFT, safeguarding client assets, trading and reporting obligations
Take appropriate action to protect and give value to investors in relation to the provision of information and advice, suitability assessments, inducements, research, etc
Maintain and keep appropriate records for financial transactions in line with regulatory requirements

Latest Course Updates

Course redesigned with a more modern feel
Full review conducted by an FCA expert
Text & image updates throughout the course

Course Outline

Welcome

What is MiFID II?

- Why is it important for you?

Product governance and intervention

- What this means for product manufacturers
- What this means for product distributors
- What do you think: FCA intervention
- You make the call: Product governance rules

Inducements

- You make the call: What are the rules on the inducements?

Investment research

- RPA restrictions

Suitability & complex products

- Appropriateness
- You make the call: Suitability & appropriateness tests
- Equivalent tests
- The rules on switching

Information disclosure to clients

- Scenario: Eva provides information

Investment advice

- You make the call: Is it a personal recommendation or not?

Record keeping

- You make the call: Record keeping rules

Remuneration policy

Safeguarding of client assets

- You make the call: Is it a breach or not?

High frequency algorithmic trading (HFAT) & direct electronic access

- Systems & controls for HFT & direct electronic access
- You make the call: The rules on HFT & direct electronic access

Commodities and derivatives

Transaction reporting

- Scenario: The rules on transaction reporting

Trading obligations

Best execution

- Systematic internaliser
- Publication requirements for investment firms
- Publication requirements for liquidity providers
- You make the call: Delivering the best possible result for clients

Internal Capital & Risk Assessment (ICARA)

Outsourcing

Summary

Affirmation

Assessment

Course Specifications

Structure

Approximately 40-minute long e-learning course followed by a 10-question assessment.

Audience

Suitable for all staff - examples and interactivities designed for staff at all levels. No previous knowledge or experience is required.

Design

SHARD-compliant, responsive display on all devices, accessibility on screen readers, visual design controlled via a client style sheet.

Compatibility

All Windows, Mac OSX, iOS, Android (Flash-free for mobile compatibility). AICC and SCORM 1.2-compliant, suitable for both hosted and deployed SCORM or AICC.