Requirement (MIFID)
Article 51 Retention of records
Requirements MIFID - DIRECTIVE 2006/73/EC
Description
Description
1. Member States shall require investment firms to retain all the
records required under Directive 2004/39/EC and its implementing
measures for a period of at least five years.
Additionally, records which set out the respective rights and
obligations of the investment firm and the client under an
agreement to provide services, or the terms on which the firm
provides services to the client, shall be retained for at least the
duration of the relationship with the client.
However, competent authorities may, in exceptional circumstances,
require investment firms to retain any or all of those
records for such longer period as is justified by the nature of the
instrument or transaction, if that is necessary to enable the
authority to exercise its supervisory functions under Directive
2004/39/EC.
Following the termination of the authorisation of an investment
firm, Member States or competent authorities may require the
firm to retain records for the outstanding term of the five year
period required under the first subparagraph.
2. The records shall be retained in a medium that allows the
storage of information in a way accessible for future reference by
the competent authority, and in such a form and manner that the
following conditions are met:
(a) the competent authority must be able to access them
readily and to reconstitute each key stage of the processing
of each transaction;
(b) it must be possible for any corrections or other amendments,
and the contents of the records prior to such
corrections or amendments, to be easily ascertained;
(c) it must not be possible for the records otherwise to be
manipulated or altered.
3. The competent authority of each Member State shall draw
up and maintain a list of the minimum records investment firms
are required to keep under Directive 2004/39/EC and its
implementing measures.
4. Record-keeping obligations under Directive 2004/39/EC
and in this Directive are without prejudice to the right of
Member States to impose obligations on investment firms
relating to the recording of telephone conversations or electronic
communications involving client orders.
5. Before 31 December 2009 the Commission shall, in the light
of discussions with the Committee of European Securities
Regulators, report to the European Parliament and the Council
on the continued appropriateness of the provisions of
paragraph 4.
Comment
Applies to Article 13(6) of Directive 2004/39(EC