Knowledge Base

← Ethics, Compliance, and Ethical Organization of Institutions

Questions

Which directive requires financial instrument manufacturers to establish a product approval process?

CRD IV
MiFID II
Dodd-Frank Act
Basel III

Which assessment criterion for members of the management body verifies that the candidate possesses the theoretical knowledge and practical experience corresponding to the position?

Reputation criterion
Conflicts of interest management criterion
Knowledge and experience criterion
Independence of judgement criterion

The responsibility of the management body can be entirely delegated to third parties for certain tasks.

True
False

Supporting documents for notification to the ACPR:

Click to see answer

Distributors must refine the target market definition solely based on their own clientele without consulting the manufacturers.

True
False

Categorize items by dragging them to the appropriate zones

Items to categorize:

Define oversight arrangements
Verify the absence of convictions
Ensure effective and prudent management
Possess theoretical and practical knowledge
Prevent conflicts of interest
Categories:

Responsibilities of the management body

Requirements for members

According to the CRD IV directive, what requirement does it impose regarding the collective competence of the management body?

Have at least one member with experience in finance
Possess sufficient understanding of the institution's activities and complementary skills
Outsource all technical functions
Focus solely on regulatory compliance

According to Article 9 of the MiFID II directive, what is the primary responsibility of the management body in terms of governance?

Supervise only financial operations
Define and supervise oversight arrangements, ensure effective and prudent management, guarantee separation of functions and prevent conflicts of interest
Focus solely on regulatory compliance
Outsource all governance functions