X hits on this document

PDF document

Repealed by LN. 2013/198 as from 1.1.2014 - page 88 / 94

260 views

0 shares

0 downloads

0 comments

88 / 94

1989-47

Financial Services (Investment and Fiduciary Services)

Repealed Subsidiary 2007/002

FINANCIAL SERVICES (CAPITAL ADEQUACY OF INVESTMENT FIRMS) REGULATIONS 2007

SCHEDULE 7

Trading

PART A

Regulations 7 and 29.

Trading Intent.

1. Positions or portfolios held with trading intent shall comply with the following requirements

  • (a)

    there shall be a clearly documented trading strategy for the position/instrument or portfolios, approved by senior management, which shall include expected holding horizon;

  • (b)

    there shall be clearly defined policies and procedures for the active management of the position, which shall include the following

  • (i)

    positions entered into on a trading desk;

  • (ii)

    position limits are set and monitored for appropriateness;

  • (iii)

    dealers have the autonomy to enter into/manage the

position within agreed limits and according to the approved strategy;

  • (iv)

    positions are reported to senior management as an integral part of the investment firm’s risk management process; and

  • (v)

    positions are actively monitored with reference to market information sources and an assessment made of the marketability or hedge ability of the position or its component risks, including the assessment of, the quality and availability of market inputs to the valuation process, level of market turnover, sizes of positions traded in the market; and

(c)

there must be clearly defined policy and procedures to monitor the position against the investment firm’s trading strategy including the monitoring of turnover and stale positions in the investment firm’s trading book.

© Government of Gibraltar (www.gibraltarlaws.gov.gi)

Document info
Document views260
Page views260
Page last viewedSat Dec 10 15:12:48 UTC 2016
Pages94
Paragraphs2606
Words31302

Comments