Financial Services (Investment and Fiduciary Services)
FINANCIAL SERVICES (CAPITAL ADEQUACY OF INVESTMENT FIRMS) REGULATIONS 2007
whose transactions are executed and settled under the responsibility of a clearing institution which guarantees them.
An investment firm to which this regulation applies, shall remain
subject to all operational risk provisions specified in Schedule 5 of the FSCACI Regulations
Further exemption on own funds.
17.(1) An investment firm to which regulation 16(2) or (3) or regulation 36(8) to (11) applies, shall hold own funds equivalent to one quarter of its preceding financial year’s fixed overheads.
(2) The Authority may authorise the adjustment of the requirement of sub- regulation (1) in the event of a material change in the investment firm’s business since the end of its preceding financial year.
(3) Where a firm has not completed a year’s business, the requirement in sub-regulation (1) shall be a quarter of the fixed overheads figure projected in its business plan unless an adjustment to that plan has been required by the Authority.
PART VI Application of requirements on a consolidated basis
Waiving of consolidation of capital requirements.
18.(1) Where the Authority supervises a group on a consolidated basis it may waive the application of capital requirements on a consolidated basis provided that–
every European investment firm in such a group uses the calculation of own funds given in regulation 12;
every investment firm in such a group falls within the categories in regulation 16(2) to (4);
every European investment firm in such a group meets the requirements in regulations 14 and 16 on an individual basis and at the same time deducts from its own funds any contingent liability in favour of investment firms, financial institutions, asset management companies and ancillary services undertakings which would otherwise be consolidated;
© Government of Gibraltar (www.gibraltarlaws.gov.gi)
Repealed Subsidiary 2007/002