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10 July 2008

Industry Associations issue principles for managing the provider-distributor relationship


The Joint Associations Committee has issued voluntary, non-binding principles to address issues related to the distribution of structured products to investors.

The Joint Associations Committee has issued voluntary, non-binding principles to address issues related to the distribution of structured products to investors. The issues include transparency, disclosure of risk, conflict management, fees, tax consequences and reliance on credit ratings.

 

The principles seek to address issues that financial services firms have in practice found helpful to consider when performing the function of either provider or distributor in connection with the process of delivering structured products to retail investors.

 

The Principles are the product of a global working group of firms, taking in the views of both distributors and providers and supported by a coalition of trade associations: European Securitisation Forum (ESF), International Capital Market Association (ICMA), International Swaps and Derivatives Association (ISDA), London Investment Banking Association (LIBA) and Securities Industry and Financial Markets Association (SIFMA).

 

Press release

Principles



© ICMA


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