The Cyprus Securities and Exchange Commission has issued a further reminder to Cyprus Investment Firms it supervises regarding the procedures to be followed by firms intending to provide investment services or undertake investment activities in countries outside the EEA.
Investment firms intending to provide investment services or undertake investment activities in such countries must notify CySEC by letter of their intention to do so. The letter should include a list of all non-EEA countries in which the firm intends to provide services or undertake activities, giving details for each country whether it is authorised by the host-country regulatory authority or whether it has legal confirmation that no authorisation is required. It is the firm's responsibility to ensure that it holds the requisite authorisations.
If regulatory authorisation is required in the overseas country it must be obtained before any activities commence. If the overseas country does not require such authorisation, the firm concerned must provide CySEC with confirmation from a lawyer or a legal firm qualified to practice there that no authorisation is required. A copy of the authorisation from the overseas country or of the confirmation that no authorisation is required should be forwarded to CySEC.
Information on activities in non-EEA countries should also be filed via the CySEC web portal, and changes must be notified to CySEC in writing. In addition, investment firms must list on their websites the non-EEA countries in which they provide services or undertake activities.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.