Knowledge Base

← Collective Investment / Third-Party Asset Management

Questions

Which document must be documented and approved by the AMF for credit institutions providing portfolio management services on an ancillary basis?

The management contract
The activity program
The annual report
The execution policy

Which body grants authorization to portfolio management companies exercising portfolio management as their primary activity?

The ACPR
The Banque de France
The AMF
ESMA

What is the essential characteristic that distinguishes the management mandate from collective management?

The discretionary nature of decisions
The AMF authorization requirement
The individualized nature of the portfolio
Formalization through a contract

What is one of the agent's disclosure obligations toward the client under a management mandate?

Inform the client every time the market fluctuates
Alert the client in case of a portfolio decline exceeding 10%
Send a monthly statement detailing all transactions
Consult the client before each investment decision

The agent may retain inducements received from third parties without passing them on to the client under the MiFID II directive.

True
False

The agent may make investment decisions without consulting the client for each transaction under a portfolio management mandate.

True
False

Categorize items by dragging them to the appropriate zones

Items to categorize:

Duty to act in the client's best interest
AMF sanctions in case of breach
Best execution obligation
Inducements returned to the client
Categories:

Agent's obligations

Practical implications

Definition of the portfolio management mandate

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