# L_2022188EN.01009801.xml

| 15.7.2022 | EN | Official Journal of the European Union | L 188/98 |
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15.7.2022

EN

Official Journal of the European Union

L 188/98

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COMMISSION IMPLEMENTING REGULATION (EU) 2022/1220

of 14 July 2022

laying down implementing technical standards for the application of Directive 2014/65/EU of the European Parliament and of the Council with regard to the format in which branches of third-country firms and competent authorities have to report the information referred to in Article 41(3) and (4) of that Directive

(Text with EEA relevance)

THE EUROPEAN COMMISSION,

Having regard to the Treaty on the Functioning of the European Union,

Having regard to Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (1), and in particular Article 41(6) thereof,

Whereas:

| (1) | It is necessary to ensure that the European Securities and Markets Authority (ESMA) and the competent authorities concerned receive all information necessary to supervise branches of third-country firms, and to ensure that such information is processed in an efficient and swift manner. The information referred to in Article 41(3) and (4) of Directive 2014/65/EU should therefore be submitted in a language that is customary in the sphere of international finance. |
| --- | --- |

(1)

It is necessary to ensure that the European Securities and Markets Authority (ESMA) and the competent authorities concerned receive all information necessary to supervise branches of third-country firms, and to ensure that such information is processed in an efficient and swift manner. The information referred to in Article 41(3) and (4) of Directive 2014/65/EU should therefore be submitted in a language that is customary in the sphere of international finance.

| (2) | Article 39(2) of Directive 2014/65/EU requires that branches of third-country firms that wish to provide investment services or to perform investment activities in the territory of a Member State, acquire prior authorisation of the competent authority of that Member State. Such branches are not allowed to provide investment services or perform investment activities in other Member States than the Member State where those branches received their authorisation. The European Commission can, however, adopt an equivalence decision in accordance with Article 47(1) of Regulation (EU) No 600/2014 of the European Parliament and of the Council (2) stating that the legal and supervisory arrangements of that third country with regard to investment firms are equivalent to those that apply in the Union. In such a case, the authorised branches of investment firms that fall under the scope of such an equivalence decision would continue to be supervised by the competent authority of the Member State in which those branches are established, irrespective of whether they provide cross border services or performs cross border activities. It is therefore necessary to ensure that the format for the reporting of the information referred to in Article 41(3) of Directive 2014/65/EU is also apt for the reporting on such cross-border services and activities of those branches. |
| --- | --- |

(2)

Article 39(2) of Directive 2014/65/EU requires that branches of third-country firms that wish to provide investment services or to perform investment activities in the territory of a Member State, acquire prior authorisation of the competent authority of that Member State. Such branches are not allowed to provide investment services or perform investment activities in other Member States than the Member State where those branches received their authorisation. The European Commission can, however, adopt an equivalence decision in accordance with Article 47(1) of Regulation (EU) No 600/2014 of the European Parliament and of the Council (2) stating that the legal and supervisory arrangements of that third country with regard to investment firms are equivalent to those that apply in the Union. In such a case, the authorised branches of investment firms that fall under the scope of such an equivalence decision would continue to be supervised by the competent authority of the Member State in which those branches are established, irrespective of whether they provide cross border services or performs cross border activities. It is therefore necessary to ensure that the format for the reporting of the information referred to in Article 41(3) of Directive 2014/65/EU is also apt for the reporting on such cross-border services and activities of those branches.

| (3) | According to Article 41(3) of Directive 2014/65/EU, branches of third-country firms that have been authorised in accordance with Article 41(1) of that Directive are to report to the competent authority of the Member State where that authorisation was granted, on an annual basis, the information laid down in that Article 41(3). In order to harmonise not only the format, but also the timing of reporting, it is necessary to include a timeframe when that information is to be provided to competent authorities. |
| --- | --- |

(3)

According to Article 41(3) of Directive 2014/65/EU, branches of third-country firms that have been authorised in accordance with Article 41(1) of that Directive are to report to the competent authority of the Member State where that authorisation was granted, on an annual basis, the information laid down in that Article 41(3). In order to harmonise not only the format, but also the timing of reporting, it is necessary to include a timeframe when that information is to be provided to competent authorities.

| (4) | This Regulation is based on the draft implementing technical standards submitted to the Commission by ESMA. |
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(4)

This Regulation is based on the draft implementing technical standards submitted to the Commission by ESMA.

| (5) | ESMA has conducted open public consultations on the draft implementing technical standards on which this Regulation is based, analysed the potential related costs and benefits and requested the advice of the Securities and Markets Stakeholder Group established in accordance with Article 37 of Regulation (EU) No 1095/2010 of the European Parliament and of the Council (3), |
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(5)

ESMA has conducted open public consultations on the draft implementing technical standards on which this Regulation is based, analysed the potential related costs and benefits and requested the advice of the Securities and Markets Stakeholder Group established in accordance with Article 37 of Regulation (EU) No 1095/2010 of the European Parliament and of the Council (3),

HAS ADOPTED THIS REGULATION:

Article 1

Format of the information to be reported annually to competent authorities by branches of third-country firms

1.   The branch of a third-country firm authorised in accordance with Article 41(1) of Directive 2014/65/EU shall use the format set out in Annex I to report the information referred to in Article 41(3) of that Directive. However, where the third-country firm is subject to an equivalence decision as referred to in Article 47(1) of Regulation (EU) No 600/2014, the branch of such third-country firm shall use the format set out in Annex II for those services and activities that are covered by such equivalence decision.

2.   The information referred to in paragraph 1 shall be submitted in a language customary in the sphere of international finance.

3.   The information referred to in paragraph 1 shall be submitted by 30 April of each year and shall cover the period from 1 January to 31 December of the preceding calendar year. The information provided shall be accurate as of 31 December of the preceding year.

Article 2

Format of the information to be reported to the European Securities and Markets Authority (ESMA) on request by competent authorities

For the purpose of Article 41(4) of Directive 2014/65/EU, competent authorities shall report the following fields from Annex I and II to ESMA:

| 1. | Reporting Period: 1a and 1b and, where applicable, 19a and 19b; |
| --- | --- |

1.

Reporting Period: 1a and 1b and, where applicable, 19a and 19b;

| 2. | Name of the third-country firm and the branch: 2a and 2d and, where applicable, 20a and 20d; |
| --- | --- |

2.

Name of the third-country firm and the branch: 2a and 2d and, where applicable, 20a and 20d;

| 3. | Investment services, investment activities and ancillary services provided by the branch: 3a, 3b, 3c, 3d, 3e, 3f, 3g and 3h and, where applicable, 21a, 21b, 21c, 21d, 21e, 21f, 21g and 21h; |
| --- | --- |

3.

Investment services, investment activities and ancillary services provided by the branch: 3a, 3b, 3c, 3d, 3e, 3f, 3g and 3h and, where applicable, 21a, 21b, 21c, 21d, 21e, 21f, 21g and 21h;

| 4. | Number of clients and counterparties and number of staff of the branch: 4a, 4b, 4c, 4d and, where applicable, 22a, 22b and 22c; |
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4.

Number of clients and counterparties and number of staff of the branch: 4a, 4b, 4c, 4d and, where applicable, 22a, 22b and 22c;

| 5. | Turnover and aggregated value of the assets of the branch: 5a, 5b, 5c and, where applicable, 23a, 23b and 23c. |
| --- | --- |

5.

Turnover and aggregated value of the assets of the branch: 5a, 5b, 5c and, where applicable, 23a, 23b and 23c.

Article 3

Entry into force

This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.

Official Journal of the European Union

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, 14 July 2022.

For the Commission

The President

Ursula VON DER LEYEN

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(1)  
  OJ L 173, 12.6.2014, p. 349.

1

(2)  Regulation (EU) No 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Regulation (EU) No 648/2012 (OJ L 173, 12.6.2014, p. 84).

2

(3)  Regulation (EU) No 1095/2010 of the European Parliament and of the Council of 24 November 2010 establishing a European Supervisory Authority (European Securities and Markets Authority), amending Decision No 716/2009/EC and repealing Commission Decision 2009/77/EC (OJ L 331, 15.12.2010, p. 84).

3

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ANNEX I

Format for submitting the information referred to in Article 41(3) and 41(4) of Directive 2014/65/EU (1)

| # | Field | Sub-fields |
| --- | --- | --- |
| 1a | Reporting period | The reporting start date for the calendar year
  (YYYY-MM-DD) |
| 1b | The reporting end date for the calendar year
  (YYYY-MM-DD) |
| 2a | Name and contact details of the third-country firm, including the details of the branch, of the person in charge of submitting the information, and of the authorities of the third country responsible for the supervision of the third-country firm | Full corporate name of the branch and the Legal Entity Identifier code (LEI) |
| 2b | Address of the branch
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 2c | Contact details of the branch including email address, phone number and website details |
| 2d | Full legal name of the third-country firm and, where available, the Legal Entity Identifier (LEI)
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 2e | Registered address for the head office of the third-country firm
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 2f | Contact details of the third-country firm including email address, phone number, and website details |
| 2g | Country of the head office of the third-country firm
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 2h | Name, address and country of the authority responsible for the supervision of the third-country firm in the third country. When more than one authority is responsible for the supervision of the third-country firm, the details and the respective areas of competence per authority shall be provided
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 2i | Contact person full name |
| 2j | Contact person address |
| 2k | Contact person phone number |
| 2l | Contact person email address |
| 2m | Contact person function/title |
| 3a | Investment services, investment activities and ancillary services provided by the branch in the Member State where the branch is established, during the reporting period | The list of investment services, investment activities and ancillary services (as specified in Sections A and B of Annex I to Directive 2014/65/EU) provided by the branch in the Member State where it is established |
| 3b | The list of categories of financial instruments (as specified in Section C of Annex I to Directive 2014/65/EU) in relation to which such services and activities have been performed |
| 3c | Where the branch provides portfolio management, the total value of the assets under management for clients in the Member State where the branch is established at the end of the reporting period |
| 3d | Where the branch provides portfolio management, the average value of the assets under management for clients in the Member State where the branch is established over the reporting period |
| 3e | Where the branch provides investment advice, the total value of the assets in relation to which investment advice has been provided to clients in the Member State where the branch is established at the end of the reporting period |
| 3f | Where the branch provides investment advice, the average value of the assets in relation to which investment advice has been provided to clients in the Member State where the branch is established during the reporting period |
| 3g | Where the branch provides the ancillary service of safekeeping and administration on financial instruments for the account of clients or is holding client funds, the total value of the assets (including cash) held by the branch for clients in the Member State where the branch is established at the end of the reporting period |
| 3h | Where the branch provides the ancillary service of safekeeping and administration on financial instruments for the account of clients or is holding client funds, the average value of the assets (including cash) held by the branch for clients in the Member State where the branch is established during the reporting period |
| 4a | Number of clients and counterparties and number of staff of the branch in the Member State where the branch is established, during the reporting period | The total number of clients and counterparties of the branch in the Member State where it is established |
| 4b | The breakdown of the total number of clients and counterparties of the branch in the Member State where it is established per investment service, investment activity or ancillary service provided in that Member State |
| 4c | The numbers of retail clients, professional clients and eligible counterparties (as set out in Directive 2014/65/EU) to whom the branch is providing investment services, investment activities or ancillary services in the Member State where it is established. |
| 4d | The breakdown of the number of staff of the branch in the Member State where it is established per investment service, investment activity or ancillary service provided in the Member State. |
| 5a | Turnover and aggregated value of the assets of the branch in the Member State where the branch is established, during the reporting period | The turnover generated by the branch and the aggregated value of the assets corresponding to the investment services, investment activities and ancillary services provided in the Member State where the branch is established |
| 5b | The breakdown of the turnover of the branch in the Member State where it is established per investment service, investment activity and ancillary service provided in that Member State |
| 5c | The breakdown of the turnover of the branch in the Member State where it is established per category of client as set out in Directive 2014/65/EU |
| 6 | Where the branch deals on own account, information on the exposure of the third-country firm during the reporting period to counterparties in the Member State where the branch is established | The monthly minimum, average and maximum exposure to counterparties in the Member State where the branch is established |
| 7 | Where the branch underwrites financial instruments and/or places financial instruments on a firm commitment basis, information about the value of the financial instruments originating from counterparties in the Member State where the branch is established and is underwritten or placed on a firm commitment basis, during the reporting period | The total value and number of financial instruments originating from counterparties in the Member State where the branch is established and underwritten or placed on a firm commitment basis by the branch |
| 8a | Composition of the management body of the third-country firm | The list of members of the management body of the third-country firm |
| 8b | For each member of the management body, the member’s full name, country of domicile and contact details |
| 8c | The position at which each member of the management body is appointed |
| 9a | Key function holders for the activities of the branch | The list of key function holders for the activities of the branch |
| 9b | For each key function holder, the person’s full name, country of domicile and contact details |
| 9c | The position at which each key function holder is appointed |
| 9d | The reporting lines between the key function holders and the third-country firm’s management body |
| 10 | Information about complaints received by the branch or by the third-country firm in relation to the activities of the branch in the Member State where the branch is established and during the reporting period | The number of complaints received by the branch or by the third-country firm in relation to the activities of the branch in the Member State where it is established, together with:






  — | a breakdown for the five financial instruments generating the highest number of complaints; |

#

Field

Sub-fields

1a

Reporting period

The reporting start date for the calendar year

(YYYY-MM-DD)

1b

The reporting end date for the calendar year

(YYYY-MM-DD)

2a

Name and contact details of the third-country firm, including the details of the branch, of the person in charge of submitting the information, and of the authorities of the third country responsible for the supervision of the third-country firm

Full corporate name of the branch and the Legal Entity Identifier code (LEI)

2b

Address of the branch

(to be provided in case of any change to the information previously reported to the competent authority)

2c

Contact details of the branch including email address, phone number and website details

2d

Full legal name of the third-country firm and, where available, the Legal Entity Identifier (LEI)

(to be provided in case of any change to the information previously reported to the competent authority)

2e

Registered address for the head office of the third-country firm

(to be provided in case of any change to the information previously reported to the competent authority)

2f

Contact details of the third-country firm including email address, phone number, and website details

2g

Country of the head office of the third-country firm

(to be provided in case of any change to the information previously reported to the competent authority)

2h

Name, address and country of the authority responsible for the supervision of the third-country firm in the third country. When more than one authority is responsible for the supervision of the third-country firm, the details and the respective areas of competence per authority shall be provided

(to be provided in case of any change to the information previously reported to the competent authority)

2i

Contact person full name

2j

Contact person address

2k

Contact person phone number

2l

Contact person email address

2m

Contact person function/title

3a

Investment services, investment activities and ancillary services provided by the branch in the Member State where the branch is established, during the reporting period

The list of investment services, investment activities and ancillary services (as specified in Sections A and B of Annex I to Directive 2014/65/EU) provided by the branch in the Member State where it is established

3b

The list of categories of financial instruments (as specified in Section C of Annex I to Directive 2014/65/EU) in relation to which such services and activities have been performed

3c

Where the branch provides portfolio management, the total value of the assets under management for clients in the Member State where the branch is established at the end of the reporting period

3d

Where the branch provides portfolio management, the average value of the assets under management for clients in the Member State where the branch is established over the reporting period

3e

Where the branch provides investment advice, the total value of the assets in relation to which investment advice has been provided to clients in the Member State where the branch is established at the end of the reporting period

3f

Where the branch provides investment advice, the average value of the assets in relation to which investment advice has been provided to clients in the Member State where the branch is established during the reporting period

3g

Where the branch provides the ancillary service of safekeeping and administration on financial instruments for the account of clients or is holding client funds, the total value of the assets (including cash) held by the branch for clients in the Member State where the branch is established at the end of the reporting period

3h

Where the branch provides the ancillary service of safekeeping and administration on financial instruments for the account of clients or is holding client funds, the average value of the assets (including cash) held by the branch for clients in the Member State where the branch is established during the reporting period

4a

Number of clients and counterparties and number of staff of the branch in the Member State where the branch is established, during the reporting period

The total number of clients and counterparties of the branch in the Member State where it is established

4b

The breakdown of the total number of clients and counterparties of the branch in the Member State where it is established per investment service, investment activity or ancillary service provided in that Member State

4c

The numbers of retail clients, professional clients and eligible counterparties (as set out in Directive 2014/65/EU) to whom the branch is providing investment services, investment activities or ancillary services in the Member State where it is established.

4d

The breakdown of the number of staff of the branch in the Member State where it is established per investment service, investment activity or ancillary service provided in the Member State.

5a

Turnover and aggregated value of the assets of the branch in the Member State where the branch is established, during the reporting period

The turnover generated by the branch and the aggregated value of the assets corresponding to the investment services, investment activities and ancillary services provided in the Member State where the branch is established

5b

The breakdown of the turnover of the branch in the Member State where it is established per investment service, investment activity and ancillary service provided in that Member State

5c

The breakdown of the turnover of the branch in the Member State where it is established per category of client as set out in Directive 2014/65/EU

6

Where the branch deals on own account, information on the exposure of the third-country firm during the reporting period to counterparties in the Member State where the branch is established

The monthly minimum, average and maximum exposure to counterparties in the Member State where the branch is established

7

Where the branch underwrites financial instruments and/or places financial instruments on a firm commitment basis, information about the value of the financial instruments originating from counterparties in the Member State where the branch is established and is underwritten or placed on a firm commitment basis, during the reporting period

The total value and number of financial instruments originating from counterparties in the Member State where the branch is established and underwritten or placed on a firm commitment basis by the branch

8a

Composition of the management body of the third-country firm

The list of members of the management body of the third-country firm

8b

For each member of the management body, the member’s full name, country of domicile and contact details

8c

The position at which each member of the management body is appointed

9a

Key function holders for the activities of the branch

The list of key function holders for the activities of the branch

9b

For each key function holder, the person’s full name, country of domicile and contact details

9c

The position at which each key function holder is appointed

9d

The reporting lines between the key function holders and the third-country firm’s management body

10

Information about complaints received by the branch or by the third-country firm in relation to the activities of the branch in the Member State where the branch is established and during the reporting period

The number of complaints received by the branch or by the third-country firm in relation to the activities of the branch in the Member State where it is established, together with:

—

a breakdown for the five financial instruments generating the highest number of complaints;

| — | a breakdown for the five most frequent topics of the complaints; |
| --- | --- |

—

a breakdown for the five most frequent topics of the complaints;

| — | the number of complaints handled over the reporting period |
| --- | --- |

—

the number of complaints handled over the reporting period

| — | the arrangements in place to diligently treat the complaints |
| --- | --- |

—

the arrangements in place to diligently treat the complaints

11a

Description of the marketing activities of the branch or of the third-country firm in relation to the activities of the branch in the Member State where the branch is established and during the reporting period

A description of the marketing strategy of the branch or of the third-country firm used in the Member State where the branch is established in relation to the activities of the branch, including details about its geographical scope and the marketing means the third-country firm used (such as any agents, roadshows, telephone calls, websites)

11b

The list of trading names used by the branch of the third-country firm in the Member State where the branch is established, together with, for each trading name:

| — | the categories of financial instruments in relation to which it is used; and |
| --- | --- |

—

the categories of financial instruments in relation to which it is used; and

| — | the categories of clients in relation to which it is used |
| --- | --- |

—

the categories of clients in relation to which it is used

11c

For any agents or similar entities used by the branch of the third-country firm in that Member State, the name of the individual or entity together with the address and contact details

11d

The list of websites used by the branch in the Member State where the branch is established, together with, for each website, its URL

12a

Description of the investor protection arrangements of the third-country firm available to the clients of the branch in the Member State where the branch is established, including the rights of those clients resulting from the investor-compensation scheme referred to in Article 39(2), point (f), of Directive 2014/65/EU

(to be provided in case of any change to the information previously reported to the competent authority)

Information and reporting to clients

Description of the arrangements set up by the third-country firm as regards its information and reporting obligations to clients and implementing measures for the operations of the branch in the Member State where it is established

12b

The language(s) the branch will use with its clients in the Member State where the branch is established

12c

Suitability and appropriateness

Description of the arrangements of the third-country firm to assess suitability or appropriateness, as the case may be, when the branch provides services to clients in the Member State where it is established

12d

Best execution

Where the branch executes orders for its clients in the Member State where it is established, description of the arrangements set up to execute client orders on terms most favourable to the clients

12e

Client order handling rules

Where the branch handles client orders, description of the arrangements set up by the branch for the prompt, fair and expeditious execution of client orders with a focus on the operations of the branch in the Member State where the branch is established

12f

Product governance arrangements

Where the third-country firm manufactures and/or distributes, via its branch, financial instruments, description of the product governance arrangements set up by the third-country firm for the operations of the branch in the Member State where the branch is established

12g

The arrangements of the third-country firm to identify, prevent and manage conflicts of interest

Description of the measures set up by the third-country firm, acting through its branch, to identify and to prevent or manage conflicts of interest that arise in the course of providing investment and ancillary services, including those arising from the remuneration policy of the persons involved in the provision of investment services, investment activities and ancillary services provided in the Member State where the branch is established

12h

The arrangements of the third-country firm to handle complaints

Description of the procedure set up by the third-country firm acting through its branch, and to be followed by clients of the branch for lodging a complaint

12i

The department responsible for handling the complaints of clients of the branch

12j

The language(s) clients must lodge their complaints

12k

The relevant courts (in case of litigation) referred to in any contractual arrangements between the third-country firm acting through its branch and its clients in the Member State where the branch is established

12l

The alternative dispute resolution entity/ies competent to deal with disputes involving clients in the Member State where the branch is established and the third-country firm

12m

The third-country firm’s membership of an investor compensation scheme

The description of the third-country firm’s membership of an investor compensation scheme including whether clients and counterparties of the branch will be eligible to such scheme, its scope, a description of the eligibility conditions and the amounts and financial instruments covered by the scheme

12n

The arrangements of the third-country firm to protect and manage client funds and assets

The description of any client fund or client asset safeguarding arrangements (in particular, where financial instruments and funds are held in a custodian, the name of the custodian, and related contracts) put in place in the Member State where the branch is established

12o

Other arrangements

The description of any other arrangements that the third-country firm may deem relevant to the provision of services and performance of the activities of the branch in the Member State where the branch is established in an honest, fair and professional manner that promotes the interests of clients

13a

Information on the outsourcing arrangements of the third-country firm applicable to the operations of the branch

(to be provided in case of any change to the information previously reported to the competent authority)

The list and description of the outsourced functions (or those intended to be outsourced)

13b

The description of the resources (in particular, human and technical, and the internal control system) allocated to the control of the outsourced functions, services or activities insofar as they are related to the operations of the branch in the Member State where it is established

14

Information on the arrangements (including IT arrangements) set up by the third-country firm applicable to the activities of the branch for algorithmic trading, for high frequency trading and for direct electronic access

(to be provided in case of any change to the information previously reported to the competent authority)

Description of any arrangements and resources (in particular human and IT resources) that the third-country firm may have put in place and/or allocated for the activities of its branch in the Member State where the branch is established for algorithmic trading, high frequency trading and direct electronic access and for the control of such activities

15a

Information on the activities of the compliance function (or equivalent)

Regulatory changes

Description of the management and implementation of material changes and developments in regulatory requirements during the reporting period which impact the investor protection arrangements for the activities of the branch of the third-country firm

15b

Findings

The number of controls performed on-site and outsourced and a summary of major findings of the compliance function on the operations of the third-country firm insofar as they are relevant to the operations of the branch

15c

Actions taken or to be taken (including following complaints or deviation from compliance function’s recommendations addressed to senior management) to address identified failures or risks of failures by the third-country firm insofar as they relate to the operations of the branch

15d

Other

Any other information that the branch may find relevant to mention

16a

Information on the activities of the internal audit function (or equivalent)

Findings

A summary of major findings of the internal audit function on the operations of the third-country firm insofar as they are relevant to the operations of the branch

16b

Actions taken or to be taken globally (including timeline and organisational units of the third-country firm involved) to address identified failures or risks of failures by the third-country firm insofar as they relate to the operations of the branch

17a

Information on the activities of the risk management function (or equivalent) and the risk management policy of the third-country firm

Risk management policy

A summary of the risk management policy of the third-country firm insofar as it relates to the operations of the branch and the arrangements applied by the branch for the services and activities carried out by the branch

(to be provided in case of any change to the information previously reported to the competent authority)

17b

Findings

A summary of major findings of the risk management function on the operations of the third-country firm globally and actions taken or to be taken to address those findings

18

Any other information that the branch of a third-country firm may find relevant to communicate to the competent authority of the Member State where it is established.

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(1)  Any information with regard to the provision of cross-border services by branches of third-country firms is covered by Annex II.

---

ANNEX II

Format for submitting information referred to in Article 41(3) and 41(4) of Directive 2014/65/EU in case the Commission has taken an equivalence decision as referred to in Article 47(1) of Regulation (EU) No 600/2014

In addition to the information required under Annex I of the present Implementing Regulation, third-country firms that also provide investment services and activities in the European Union, in accordance with Article 47(3) of Regulation (EU) No 600/2014 through the third-country equivalence regime (if effectively recognised as such under Article 47(1) of Regulation (EU) No 600/2014), shall also include the following fields in their report to the competent authority, as required under Article 41(3) of Directive 2014/65/EU:

| # | Field | Sub-fields |
| --- | --- | --- |
| 19a | Reporting period | The reporting start date for the calendar year
  (YYYY-MM-DD) |
| 19b | The reporting end date for the calendar year
  (YYYY-MM-DD) |
| 20a | Name and contact details of the third-country firm, including the details of the branch, of the person in charge of submitting the information, of the authorities of the third country responsible for the supervision of the third-country firm | Full corporate name of the branch and Legal Entity Identifier code (LEI) where available |
| 20b | Address of the branch
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 20c | Contact details of the branch including email address, phone number and website details |
| 20d | Full legal name of the third-country firm and Legal Entity Identifier (LEI) where available
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 20e | Registered address for the head office of the third-country firm
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 20f | Contact details of the third-country firm including email address, phone number, and website details |
| 20g | Country of the head office of the third-country firm
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 20h | Name, address and country of the authority responsible for the supervision of the third-country firm in the third country. When more than one authority is responsible for the supervision of the third-country firm, the details and the respective areas of competence per authority shall be provided
  (to be provided in case of any change to the information previously reported to the competent authority) |
| 20i | Contact person full name |
| 20j | Contact person address |
| 20k | Contact person phone number |
| 20l | Contact person email address |
| 20m | Contact person function/title |
| 21a | Investment services, investment activities and ancillary services provided by the branch in each Member State other than the one where it is established, during the reporting period | The list of investment services, investment activities and ancillary services (as specified in Sections A and B of Annex I to Directive 2014/65/EU) provided to eligible counterparties and professional clients within the meaning of Section I of Annex II to Directive 2014/65/EU, in each Member State other than the one where the branch is established |
| 21b | The list of categories of financial instruments (as specified in Section C of Annex I to Directive 2014/65/EU) in relation to which such services and activities have been performed |
| 21c | For each Member State other than the one where the branch is established and in which the branch provides portfolio management, the total value of the assets under management for clients in the Member State at the end of the reporting period |
| 21d | For each Member State other than the one where the branch is established and in which the branch provides portfolio management, the average value of the assets under management for clients in the Member State over the reporting period |
| 21e | For each Member State other than the one where the branch is established and in which the branch provides investment advice, the total value of the assets in relation to which that service has been provided to clients in the Member State at the end of the reporting period |
| 21f | For each Member State other than the one where the branch is established and in which the branch provides investment advice, the average value of the assets in relation to which that service has been provided to clients in the Member State over the reporting period |
| 21g | For each Member State other than the one where the branch is established and in which the branch provides the ancillary service of safekeeping and administration on financial instruments for the account of clients or is holding client funds, the total value of the assets (including cash) held by the branch for clients in the Member State at the end of the reporting period |
| 21h | For each Member State other than the one where the branch is established and in which the branch provides the ancillary service of safekeeping and administration on financial instruments for the account of clients or is holding client funds, the average value of the assets (including cash) held by the branch for clients in the Member State over the reporting period |
| 22a | Number of clients and counterparties of the branch in Member States other than the one where the branch is established and globally, during the reporting period | The total number of clients and counterparties of the branch in the European Union (excluding the Member State where it is established). |
| 22b | The total number of clients and counterparties of the third-country firm globally |
| 22c | For each Member State other than the Member State where the branch is established and in which the branch provided any investment services, investment activities or ancillary services, the total number of clients and counterparties of the branch in that other Member State, together with:






  — | a breakdown of this number per investment service, investment activity or ancillary service provided in each Member State; and |

#

Field

Sub-fields

19a

Reporting period

The reporting start date for the calendar year

(YYYY-MM-DD)

19b

The reporting end date for the calendar year

(YYYY-MM-DD)

20a

Name and contact details of the third-country firm, including the details of the branch, of the person in charge of submitting the information, of the authorities of the third country responsible for the supervision of the third-country firm

Full corporate name of the branch and Legal Entity Identifier code (LEI) where available

20b

Address of the branch

(to be provided in case of any change to the information previously reported to the competent authority)

20c

Contact details of the branch including email address, phone number and website details

20d

Full legal name of the third-country firm and Legal Entity Identifier (LEI) where available

(to be provided in case of any change to the information previously reported to the competent authority)

20e

Registered address for the head office of the third-country firm

(to be provided in case of any change to the information previously reported to the competent authority)

20f

Contact details of the third-country firm including email address, phone number, and website details

20g

Country of the head office of the third-country firm

(to be provided in case of any change to the information previously reported to the competent authority)

20h

Name, address and country of the authority responsible for the supervision of the third-country firm in the third country. When more than one authority is responsible for the supervision of the third-country firm, the details and the respective areas of competence per authority shall be provided

(to be provided in case of any change to the information previously reported to the competent authority)

20i

Contact person full name

20j

Contact person address

20k

Contact person phone number

20l

Contact person email address

20m

Contact person function/title

21a

Investment services, investment activities and ancillary services provided by the branch in each Member State other than the one where it is established, during the reporting period

The list of investment services, investment activities and ancillary services (as specified in Sections A and B of Annex I to Directive 2014/65/EU) provided to eligible counterparties and professional clients within the meaning of Section I of Annex II to Directive 2014/65/EU, in each Member State other than the one where the branch is established

21b

The list of categories of financial instruments (as specified in Section C of Annex I to Directive 2014/65/EU) in relation to which such services and activities have been performed

21c

For each Member State other than the one where the branch is established and in which the branch provides portfolio management, the total value of the assets under management for clients in the Member State at the end of the reporting period

21d

For each Member State other than the one where the branch is established and in which the branch provides portfolio management, the average value of the assets under management for clients in the Member State over the reporting period

21e

For each Member State other than the one where the branch is established and in which the branch provides investment advice, the total value of the assets in relation to which that service has been provided to clients in the Member State at the end of the reporting period

21f

For each Member State other than the one where the branch is established and in which the branch provides investment advice, the average value of the assets in relation to which that service has been provided to clients in the Member State over the reporting period

21g

For each Member State other than the one where the branch is established and in which the branch provides the ancillary service of safekeeping and administration on financial instruments for the account of clients or is holding client funds, the total value of the assets (including cash) held by the branch for clients in the Member State at the end of the reporting period

21h

For each Member State other than the one where the branch is established and in which the branch provides the ancillary service of safekeeping and administration on financial instruments for the account of clients or is holding client funds, the average value of the assets (including cash) held by the branch for clients in the Member State over the reporting period

22a

Number of clients and counterparties of the branch in Member States other than the one where the branch is established and globally, during the reporting period

The total number of clients and counterparties of the branch in the European Union (excluding the Member State where it is established).

22b

The total number of clients and counterparties of the third-country firm globally

22c

For each Member State other than the Member State where the branch is established and in which the branch provided any investment services, investment activities or ancillary services, the total number of clients and counterparties of the branch in that other Member State, together with:

—

a breakdown of this number per investment service, investment activity or ancillary service provided in each Member State; and

| — | a breakdown per category of client as set out in Directive 2014/65/EU |
| --- | --- |

—

a breakdown per category of client as set out in Directive 2014/65/EU

23a

Turnover and aggregated value of the assets of the branch in Member States other than the one where the branch is established and of the third-country firm globally, during the reporting period

The turnover of the branch in the Union (not including the Member State where it is established) and the aggregated value of the assets corresponding to the services and activities provided by the third-country firm in the Union (not including the Member State where it is established)

23b

The global turnover of the third-country firm

23c

For each Member State other than the one where the branch is established and in which the branch provided any investment services, investment activities or ancillary services, the turnover and the aggregated value of the assets corresponding to such investment services, investment activities and ancillary services, together with:

| — | a breakdown per investment service, investment activity or ancillary services provided in the Member State; and |
| --- | --- |

—

a breakdown per investment service, investment activity or ancillary services provided in the Member State; and

| — | a breakdown per category of client as set out in Directive 2014/65/EU |
| --- | --- |

—

a breakdown per category of client as set out in Directive 2014/65/EU

24a

Where the branch deals on own account, information on the exposure of the third-country firm to counterparties in the Union (not including the Member State where the branch is established), during the reporting period

For each Member State other than the one where the branch is established and in which the branch deals on own account, the monthly minimum, average and maximum exposure to counterparties in that Member State

24b

The monthly minimum, average and maximum exposure to counterparties in the Union (not including the Member State where the branch is established)

25a

Where the branch underwrites financial instruments and/or places financial instruments on a firm commitment basis, information about the value of the financial instruments originating from counterparties in the Union (other than in the Member State where the branch is established) and is underwritten or placed on a firm commitment basis during the reporting period

For each Member State other than the one where the branch is established and in which the branch provides underwriting of financial instruments and/or placing of financial instruments on a firm commitment basis, the total value of financial instruments originating from counterparties in the Member State and underwritten or placed on a firm commitment basis by the branch

25b

The total value of financial instruments originating from counterparties in the Union (other than in the Member State where the branch is established) and underwritten or placed on a firm commitment basis by the branch

26

Information about complaints received by the branch and/or by the third-country firm in relation to the activities of the branch in the Union (other than in the Member State where the branch is established), during the reporting period

The number of complaints received by the branch and/or by the third-country firm in relation to the activities of the branch in Member States other than the one where the branch is established, together with:

| — | a breakdown per Member State; |
| --- | --- |

—

a breakdown per Member State;

| — | a breakdown for the five financial instruments generating the highest number of complaints; |
| --- | --- |

—

a breakdown for the five financial instruments generating the highest number of complaints;

| — | a breakdown for the five most frequent topics of the complaints; |
| --- | --- |

—

a breakdown for the five most frequent topics of the complaints;

| — | the number of complaints handled in the reporting period |
| --- | --- |

—

the number of complaints handled in the reporting period

| — | the arrangements in place to diligently treat the complaints |
| --- | --- |

—

the arrangements in place to diligently treat the complaints

27a

Description of the marketing activities of the branch or of the third-country firm in relation to the activities of the branch in the Union (other than in the Member State where the branch is established), during the reporting period

A description of the marketing strategy of the third-country firm used in the Union (other than in the Member State where the branch is established) in relation to the activities of the branch, including details about its geographical scope and the marketing means the third-country firm used (such as any agents, roadshows, telephone calls, websites)

27b

The list of trading names used by the third-country firm in the Union (other than in the Member State where the branch is established), together with, for each trading name:

| — | the list of Member States in which it is used; |
| --- | --- |

—

the list of Member States in which it is used;

| — | the categories of financial instruments in relation to which it is used; and |
| --- | --- |

—

the categories of financial instruments in relation to which it is used; and

| — | the categories of clients in relation to which it is used |
| --- | --- |

—

the categories of clients in relation to which it is used

27c

For any agents or similar entities used by the third-country firm in the Union (other than in the Member State where the branch is established) the name of the individual or entity together with the address and contact details

27d

The list of websites used by the third-country firm in the Union (other than in the Member State where the branch is established), together with, for each website, its URL

28a

Description of the investor protection arrangements of the third-country firm available to the clients of the branch in the Union (other than in the Member State where the branch is established), including the rights of those clients resulting from the investor-compensation scheme referred to in Article 39(2), point (f) of Directive 2014/65/EU

(to be provided in case of any change to the information previously reported to the competent authority)

Information and reporting to clients

The description of the arrangements of the third-country firm to ensure that it complies with its information and reporting obligations to clients under Articles 24 and 25 of Directive 2014/65/EU and implementing measures for the operations of the branch in the Union (other than in the Member State where the branch is established)

28b

The language(s) the branch will use with its clients in the Union (other than in the Member State where the branch is established)

28c

Suitability and appropriateness

The description of the arrangements of the third-country firm to ensure that it complies with its obligations to assess suitability or appropriateness, as the case may be, when the branch provides services to clients in the Union (other than in the Member State where the branch is established)

28d

Best execution

Where the branch executes orders for its clients in the Union (other than in the Member State where the branch is established), the description of the arrangements to ensure that it executes client orders on terms most favourable to the clients

28e

Client order handling rules

The description of the arrangements of the third-country firm which provide for the prompt, fair and expeditious execution of client orders with a focus on the operations of the branch in the Union (other than in the Member State where the branch is established)

28f

Product governance arrangements

Where the third-country firm manufactures and/or distributes financial instruments in the Union (other than in the Member State where the branch is established), description of the product governance arrangements set up by the third-country firm for its operations in the Union.

28g

The arrangements of the third-country firm to identify, prevent and manage conflicts of interest

The description of the measures the third-country firm has put in place to identify and to prevent or manage conflicts of interest that arise in the course of providing investment and ancillary services, including those arising from the remuneration policy of the persons involved in the provision of investment services, investment activities and ancillary services provided in the Union (other than in the Member State where the branch is established)

28h

The arrangements of the third-country firm to handle complaints

A description of the procedure that clients of the third-country firm in the Union (other than in the Member State where the branch is established) need to follow to lodge a complaint

28j

The department responsible for handling the complaints of clients of the branch

28k

The language(s) clients must lodge their complaints

28l

The relevant courts (in case of litigation) referred to in any contractual arrangements between the third-country firm and its clients in the Union (other than in the Member State where the branch is established)

28m

The alternative dispute resolution entity/ies competent to deal with cross-border disputes involving clients in the Union (other than in the Member State where the branch is established)

28n

The third-country firm’s membership of an investor compensation scheme

The description of the third-country firm’s membership of an investor compensation scheme including whether clients and counterparties of the branch in the Union (other than in the Member State where the branch is established) will be eligible to such scheme, its scope, a description of the eligibility conditions and the amounts and financial instruments covered by the scheme

28o

The arrangements of the third-country firm to protect and manage client funds and assets

The description of safeguarding arrangements for any client fund or client asset in the Union (other than in the Member State where the branch is established) (in particular, where financial instruments and funds are held in a custodian, the name of the custodian, and related contracts)

28p

Other arrangements

The description of any other arrangements that the third-country firm may deem relevant to the provision of services and performance of the activities of the branch in the Union (other than in the Member State where the branch is established) in an honest, fair and professional manner that promotes the interests of clients

29a

Information on the outsourcing arrangements of the third-country firm applicable to the operations of the branch

(to be provided in case of any change to the information previously reported to the competent authority)

The list and description of the outsourced functions (or those intended to be outsourced) for the provision of the branch’s investment services and performance of its activities in the Union (other than in the Member State where the branch is established)

29b

The description of the resources (in particular, human and technical, and the internal control system) allocated to the control of the outsourced functions, services or activities insofar as they are related to the operations of the branch in the Union (other than in the Member State where the branch is established)

30

Information on the arrangements (including IT arrangements) set up by the third-country firm applicable to the activities of the branch for algorithmic trading, for high frequency trading and for direct electronic access

(to be provided in case of any change to the information previously reported to the competent authority)

Description of any arrangements and resources (in particular human and IT resources) that the third-country firm may have put in place and/or allocated for the activities of its branch in the Union (other than in the Member State where the branch is established) for algorithmic trading, high frequency trading and direct electronic access and for the control of such activities

31

Any other information considered by the competent authority necessary to enable comprehensive monitoring of the activities of the branch in the Union

---