Erscheinung:09.01.2014 BaFin publishes revised MaComp Circular
On 9 January 2014, the Federal Financial Supervisory Authority (BaFin) published the fourth revised version of Circular 4/2010 (WA) (MaComp Circular). The Circular was amended to reflect the implementation of the ESMA "Guidelines on remuneration policies and practices (MiFID)" in BaFin's administrative practice.
Contents of the new provisions
The MaComp (Minimum Requirements for the Compliance Function and Additional Requirements Governing Rules of Conduct, Organisation and Transparency pursuant to Sections 31 et seq. of the Securities Trading Act (Wertpapierhandelsgesetz – WpHG) for Investment Services Enterprises) comprise all publications concerning the conduct of business rules set out in sections 31 et seq. of the WpHG.
The new Module BT 8 contains provisions regarding remuneration in investment services enterprises. These provisions are to put a stop to remuneration intended to provide incentives for employees to disregard clients' interests or to breach the conduct of business rules set out in sections 31 et seq. of the WpHG.
The new provisions enter into force on 30 January 2014, but BaFin will grant a transitional period for their implementation.
Further information
In addition to the revised Circular, BaFin also published a letter to the financial services and credit institutions, which contains further details on the amendments. Furthermore, BaFin has provided an overview of the amendments made to already existing parts of the MaComp. (All documents are only available in German.)
