Investment Services Act (Tied Agents)

Suppliment tal-Gazzetta tal-Gvern ta’ Malta Nru. 18,518, 11 ta’ Dicembru, 2009

Taqsima B

L.N. 356 of 2009

INVESTMENT SERVICES ACT

(CAP. 370)

Investment Services Act (Tied Agents)

(Amendment) Regulations, 2009

IN exercise of the powers conferred by article 12 of the

Investment Services Act, the Minister for Finance, the Economy and

Investment acting on the advice of the Malta Financial Services

Authority has made the following regulations:-

The title of these regulations is the Investment Services Citation.

Act (Tied Agents) (Amendment) Regulations, 2009 and they shall be

read and construed as one with the Investment Services Act (Tied S.L. 370.14

Agents) Regulations, hereinafter referred to as "the principal

regulations".

In regulation 2 of the principal regulations, immediately Amends

after the definition "European investment firm" there shall be inserted regulation

the principal

regulations.

the following new definition

" "European right" means the entitlement of a person to

establish a branch, or provide services in a Member State or

EEA State other than that in which it has its head office -

(a) in accordance with the Treaty as applied in

the Member States or EEA States; and

(b) subject to the requirements of the Directive

and subject to any regulations made under the Act and, or

Investment Services Rules issued by the competent

authority in terms of article 6 of the Act, implementing

such requirements as may be applicable;".

Regulation 3 of the principal regulations shall be amended Amends

regulation 3 of

as follows

the principal

regulations.

(a)

in subregulation (1) thereof

(i) for the words "European investment firms

may appoint tied agents", there shall be substituted the

words "European investment firms exercising a European

right may appoint tied agents"; and

(ii) for the words "and services offered by the

investment services licence holder" there shall be

substituted the words "and services offered by the

investment services licence holder or the European

investment firm";

(b) in subregulation (2) thereof, for the words "subject

to these regulations, be established" there shall be substituted

the words "subject to these regulations and the European

Passport Rights for Investment Firms Regulations, where

applicable, be established".

Regulation 4 of the principal regulations shall be amended

as follows

(a)

subregulation (1) thereof shall be deleted;

(b) subregulations (2) and (3) thereof shall be

renumbered as subregulations (1) and (2) respectively; and

(c)

immediately after subregulation (2), as renumbered,

there shall be added the following new subregulation (3)

"(3) Tied agents established in Malta and

registered in terms of regulation 9 shall be exempt from the

provisions of article 3 of the Act.".

For regulation 5 of the principal regulations, there shall be

substituted the following

"5. An investment services licence holder may appoint a

tied agent in a Member State or EEA State which provides for

the appointment of tied agents in terms of Article 23 of the

Directive only if such tied agent is registered in the public

register which the Member or EEA State concerned has

established for this purpose.".

Immediately after regulation 11 of the principal

regulations, there shall be added the following new regulation

"12. The provisions of these regulations

shall apply mutatis mutandis to a European

credit institution as defined in regulation 2 of

the European Passport Rights for Credit

Institutions Regulations, authorised under the

Directive to provide investment services and

seeking to appoint a tied agent in terms of the

Directive. Reference to the term "European

investment firm" shall be deemed to be a

re feren ce t o t he t erm " Eur op ea n cred i t

institution".".