CNMV’S Technical Guide 4/2017 for the assessment of the knowledge and competence of staff giving information and advice to investors

The present memorandum (memo) provides a key points summary of Technical Guide 4/2017 of the CNMV (Spanish Securities Market Authority), dated 27 June 2017, with a focus on how financial institutions subject to its provisions should manage its staff training.

1. Introduction

Under Article 193 of the Securities Market (Recast) Act - which implemented Article 13(2) of Directive 2004/39 (MiFID1) - and Instrument 1/2014 of the CNMV, the legislator and the competent authority, respectively, have been requiring staff training within financial institutions to ensure that such staff acts honestly, impartially and professionally in the best interests of clients...