Country Manual Products – Türkiye – BRP Update 2024
BRP has updated its Country Manual Products for Türkiye
| Source of changes | Answers |
|---|---|
| Law / Regulation | No |
| New Position of the Authorities | No |
| Evolution of Expert’s Interpretation | Yes |
Definitions & Concepts, Regulatory Overview and Behaviour Template
The Country Manual has been reviewed to ensure that the content of all the documents remains accurate and up to date.
Material changes
The changes/modifications are as follows:
- In alignement with the Country Manual Private Banking (CM PB), the provision of Macroeconomic information/reports, Investment research and Financial analysis documents/reports as well as Generic Recommendation Lists is only permitted on a one-to-one and occasional basis onshore in Türkiye (at target).
- It is highlighted that any provision of execution only services by foreign (unlicensed) service providers onshore in Türkiye (at target) and on a cross-border basis into Türkiye (remote) triggers local licensing requirements. It is therefore only permitted to accept unsolicited client orders in Türkiye (at target) if they are transmitted to the service provider’s country of establishment for execution. Accordingly, the CM P BT provides the answer “Grey zone/YES – If the order is transmitted to the service provider’s country of establishment for execution” in the relevant onsite and cross-border scenarios.
- In further alignment with the CM PB, the active provision of any investment advice is now only permitted within the framework of a written “advisory agreement” both onshore in Türkiye (at target) and on a cross-border basis into Türkiye (remote) (referred to as “current market practice”).
- In this this context, it should be noted that based on guidance from our local counsel, the “current market practice” has been amended. The “current market practice” now not only requires that (i) the advice is provided within the framework of a written “advisory agreement” covering the relevant financial products, based on a request of the relevant client, but also that (ii) these financial products are in line with the financial status and preferences of the clients, and (iii) there is no conflict of interest.
- In order to better reflect the regulatory framework for national product intervention measures in relation to the distribution and sale of derivatives, the CM P BT answers both onsite and cross-border scenarios with “Grey zone/YES”.
Non-Material changes
For more information, please contact us: info@brpsa.com
Geneva, February 20th, 2024