What is MiFID II?
MiFID II is a regulatory initiative that affects financial services companies in Europe and their customers
Why is MiFID II important?
MiFID II and MiFIR will ensure fairer, safer and more efficient markets and facilitate greater transparency for all participants.
The protection of investors is strengthened through the introduction of new requirements such as the provision of additional identification information.
To whom does MiFID II apply?
MiFID II applies to those financial services businesses undertaking MiFID business anywhere in the EU as well as those providing services cross-border. This includes investment firms, trading venues, and firms from outside Europe providing investment services or performing investment activities into the EU (either on a services basis or via a branch).
What is the impact of MiFID II legislation to Capital Index and its clients?
The main impact for Capital index’s clients is the obligation to provide a National Client identifier for transaction reporting.
What is my National Client Identifier?
A National Identifier will be based on your Nationality and will be state issued. The regulators have provided a set of guidelines that outline which state issued document are required and acceptable. For example, for a UK national the National Client Identifier is a UK National Insurance Number. For a Spanish national the National Client Identifier is a Tax Identification Code.
How can I submit my National Client Identifier to allow Capital Index to verify it?
Please email firstname.lastname@example.org with your National Client Identifier.
What should I do if I do not hold the National Client Identifier that you have requested?
Please email email@example.com to discuss your National Client Identifier options.
What will Capital Index use my National Client Identifier for and will the information be shared?
Capital Index will only use your National Client Identifier for the Markets in Financial Instruments Regulation (MiFIR) reporting required under MiFID II. Capital Index will have to provide this information to our regulator, the United Kingdom Financial Conduct Authority, about your transactions. This information will be held securely and will be solely used for reporting purposes.
What happens if I do not submit my National Client Identifier?
If we have been unable to verify your NCI you may be prohibited from trading on your Capital Index account until we receive the required information. Please therefore provide us with this information at your earliest convenience as we would not like you to miss out on any trading opportunities.
Where can I find more information on MiFID II?
Please see the following sources for more information: