Amendments To The Law On The Financial Instruments Market

Original Language Title: Grozījumi Finanšu instrumentu tirgus likumā

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Read the untranslated law here: https://www.vestnesis.lv/ta/id/246380


The Saeima has adopted and the President promulgated the following laws: the law on the financial instruments market to make the law on the financial instruments market (the Saeima of the Republic of Latvia and the Cabinet of Ministers rapporteur, 2004, no. 2; 2005, 10, 14; 2006, nr. 14. No; 2007, 10, 22 no; 2008, 13, 14, 23 no; 2009, 7., no. 22; Latvian journal, 2011, no 16) the amendments are as follows: 1. Article 1: expressions of paragraph 14 and 15 by the following: "14) emission prospectus: a document that contains detailed information about the issuer and issued transferable securities for which the public and the authors wants the public offer; 15): a document, prospectus, which contains detailed information about the issuer and issued transferable securities which the person seeking the admission of transferable securities on a regulated market, wants to include regulated market; "; Express 38 as follows: "38) qualified investors — investors who on the set of this law in the second paragraph of article 124.1 or meet the second or fifth part of these requirements and criteria, as well as persons who, pursuant to this law, the provisions of article 124.2 recognised as eligible counterparties;"; to supplement the article with a 66, 67 and 68 as follows: "66) company with reduced market capitalization, a company whose financial instruments included in the regulated market and the market capitalisation of the mean value, calculated at the previous three calendar year end financial instruments quotation results is less than the equivalent of 100 000 000 euro in dollars at the rate established by the Bank of Latvia; 67) key information — essential structured information provided to investors in the securities purchase decision and which contains: a) a brief description of the issuer and the guarantor the most representative indicators, including information about their assets, liabilities, financial position and risks relating to the issuer and the guarantor, b) a brief description of the risks relating to transferable securities and investments in transferable securities of this type, as well as information about the secured rights in those securities , c) public offer rules and information on all costs borne by the investor in connection with the acquisition of securities, d) reasons for a public offering and public offer results in net income, e) description of the admission of transferable securities on a regulated market;
68) the holding of financial instruments — financial instrument for the holding and administration on behalf of clients, including financial instruments transactions to be carried out to ensure the necessary holding of funds and other financial instruments related to the administration of holding or delivery of services. "
2. in article 3: Add to the second part of paragraph 6 by the following: "6) structured financial products that guarantee the investor rules part of the initial investment, which includes derivative financial instruments, or which is linked to the one of profitability in this part, paragraph 4 of the financial derivatives assets database if there is a possibility that the investor may lose some of the original investment."; the seventh part of the present paragraph 8 by the following: ' 8) securities that are included in the public offer, if calculated over 12 months the total consideration of the offer in the European Union of less than eur 5 000 000, the equivalent in dollars by the Bank of Latvia the rate; "; replace the seventh part of paragraph 10, the words "and the number of the offer is less than eur 50 000 000 and the number of" with the words "of the offer to the public in the European Union of less than eur 75 000 000. 3. Make the fourth paragraph of article 3.1, the following: "(4) in respect of the issuers shares and debt securities of issuers whose debt securities the denomination per unit of less than 1000 euro equivalent in local currency at the rate of the Bank of Latvia and which is obliged to provide the mandatory information, the Member State of origin are: 1) the Member State where the issuer has its registered office, if it is registered in the Member State; 2) of the second paragraph of this article referred to in paragraph 3, the Member State of origin, where the issuer is registered in a foreign country. " 4. Turn off 3.2 article. 5. in article 4: make the first paragraph by the following: "(1) in the cases specified in the law, financial and capital market Commission (hereinafter the Commission) to issue administrative acts. The order in which the Commission manages administrative provisions, establishes the administrative procedures for issuing regulatory legislation. "; replace the second paragraph, the words "financial and capital market Commission" with the word "Commission". 6. To supplement the law with article 4.1 as follows: "article 4.1. The obligation of submission of information (1) the Commission, by monitoring compliance with the requirements of this Act, have the right to request from the financial instruments market information and documents about their activities. (2) the financial instruments market participants shall provide the information requested within the time limits set by the Commission. These requirements refuse, including citing commercial secrets. " 7. in article 14: adding to the seventh paragraph by paragraph 3 by the following: "3) shows that the emissions may interfere with the interests of investors." to complement the ninth part of the second sentence, the words "and sends a copy of the prospectus, the European Securities and markets authority". 8. Supplement article 15 with the fourth paragraph as follows: "(4) the requirement to produce a prospectus of emissions does not apply to transferable securities that are sold on, if on them according to this law, article 20.1 is available valid emission prospectus and the issuer or the emission prospectus preparation the person agrees with it for future use, concluding a written agreement with your financial intermediary. This agreement shall be submitted to the Commission within six working days before the offer to the public. " 9. in article 16: make the first parts 3, 4 and 5 of paragraph by the following: "3) the transferable securities offered, allotted or to be granted in connection with the merger or Division of the company, subject to the condition that the public in a document is available containing information which is recognised by the Commission as equivalent to be included in the emission prospectus in accordance with European Union legislation; 4) shares for which the present shareholders dividends in shares of the same category, subject to the condition that the document is available to the public, containing information on the number and nature of the shares and the reasons for and details of the tender of the conditions; 5) transferable securities which are current or former company executives or employees give or offer, plans to assign it to the employer or an associated company if its management (commercial seat) or registered office in the European Union, and if a document is available to the public, containing information on the number of transferable securities and of the nature and reasons for the offer and the detailed provisions thereof; " Add to article 1.1 part as follows: "(11) of the first subparagraph of paragraph 5 shall also apply to companies, whose registered office is not located in the European Union, if it is included in the transferable securities on a regulated market in the European Union or the foreign market. As regards commercial companies whose transferable securities are included in the foreign market, the provisions of this paragraph apply only if such securities have equivalent information available, including the first part of this article referred to in paragraph 5, the information contained in the document, and the European Commission has adopted a decision on the recognition of the foreign market for regulated market in the European Union. The document referred to in this paragraph shall be drawn up in a language which is accepted by the Commission, or in the language of international finance. "; make the second paragraph as follows: "(2) the requirement to produce a prospectus of emissions does not apply to the public offer: 1) expressed only qualified investors; 2) in each Member State clearly expressed less than 150 natural or legal persons, other than qualified investors; 3) where transferable securities, the minimum purchase amount for each investor is at least 100 000 euro in lats equivalent at the rate of the Bank of Latvia and are not allowed any one obtaining transferable securities, which resulted in the transferable securities owned by more than one person; 4) in which the transferable securities offered in a nominal value equal to or greater than the equivalent of 100 000 euro in dollars at the rate established by the Bank of Latvia; 5) expressed on transferable securities for which the total consideration calculated in the European Union within 12 months is equal to or less than the equivalent of 100 000 euro in dollars at the rate established by the Bank of Latvia. " to supplement the article with the third part as follows: "(3) if the offer is expressed only qualified investors, investment firm or a credit institution, upon request, provide to the issuer the issuer list of individuals who meet qualified investors requirements and criteria. When you create a list, issuer of the information submitted, including the people who meet these requirements and criteria, or investment firms or credit institutions customers who have given their consent to participate in a public offering. " 10. To supplement the law with article 16.1 the following: ' article 16.1. Offer document preparation the obligation of making the offer to the public of transferable securities included in this quote, if calculated over 12 months the total consideration of the offer is from 100 000 to 5 000 000 euro euro equivalent in local currency at the rate of the Bank of Latvia, requesting a public offering is prepared and published the offer document in accordance with the provisions of Commission regulations, if one does not use this law article 15 provided for in the second paragraph of the law. " 11. Express article 17, paragraph 3, third subparagraph of the introductory paragraph by the following: 3), in which a short summary, without the use of special terminology and the language in which was originally prepared for the emission prospectus, reflects the key information. Detailed summary information prepared in accordance with accepted European Commission legislation. The summary highlights the warning that: ". 12. Express 17.1 the third part as follows: "(3) If the final terms of the offer are not included in the base prospectus or in the appendices, each offered to the public before the start of the quotation as soon as possible, be made available to investors, shall be submitted to the Commission and shall inform them of the host Member State concerned the competent institution. The final rules provide only the securities note information that can not be included in the appendices of the base prospectus. Preparing the final rules or base prospectus supplements, applied this law, article 17 of the sixth part. " 13. Express 17.3 article the second sentence as follows: "in this case, the securities note shall provide information that typically involve a registration document if the Commission ever since it was established in the latest registration document, there have been significant changes that might affect investors ' assessments, unless such information is provided in accordance with article 18 of this law provides for additions to the." 14. Article 18: replace the first paragraph, the words "the submission to the Commission" with the words "logging" in the Commission; to make the fourth subparagraph by the following: "(4) If investors prior to the issue of the prospectus supplement publication has already agreed to purchase transferable securities or subscribe to them, they have the right to two working days after the emission prospectus supplement publication to withdraw their consent, if the first paragraph of this article, the new circumstances significant errors or inaccuracies relating to the information included in the prospectus of issuance, is prior to the expiry of the offer and the securities posted financial instruments account of the investor. The public offer prospectus of emission requested appendices to the agreement of withdrawal of investors you can specify a different period of not less than two working days. " 15. Add to article 19 paragraph 4 with the following: "4) information of the guarantor if the guarantor is a member." 16. Make 20 article sixth as follows: "(6) of the emission prospectus of the persons responsible investor may demand damages if he is your choice is done only on the basis of the summary or translation, except when the summary is misleading or inconsistent with other parts of the prospectus of the issue or if it together with the other parts of the emission prospectus does not provide key information enabling investors to decide on the acquisition of securities." 17. in article 20.1: make the first paragraph by the following: "(1) the emission prospectus is valid for 12 months following its registration in the Commission, subject to compliance with article 18 of this law."; to make the fourth subparagraph by the following: "(4) the emission prospectus is valid, if it consists of the registration document containing information is restored to this law or in article 17.3 which is updated in accordance with article 18 of this law in the emission prospectus requirements for the securities note and the summary. The registration document referred to in article 17 of this law, the third subparagraph in point 1 is valid for 12 months following its registration in the Commission. " 18. Article 21: replace the fourth subparagraph of paragraph 2, the words "and" by "or"; to make a fifth by the following: "(5) the issuer or for the preparation of the emission prospectus, which publishes the emission prospectus in accordance with the fourth paragraph of this article, paragraph 1, it shall be published in electronic form in accordance with the fourth paragraph of article 2. The Commission shall be entitled to request to be published a notice indicating how emission prospectus has been made available to the public and that the public can get it. " 19. in article 22: Add to the first paragraph, after the word "bodies" with the words "and the European Securities and markets authority"; to complement the second paragraph with the words "and the European Securities and markets authority"; Add to article 2.1 part as follows: "(21) the Commission in its homepage on the internet at public issue prospectus of the proofs of the origin of the other competent authorities of the Member States have submitted to the Commission, if possible, provide a link to the homepage of the internet, where the originating Member State competent authority has published emission prospectus."; to make the third part of the second sentence as follows: "the competent authorities of the host Member State and the European Securities and markets authority may only bring to the competent authorities of the Member State of origin's attention to any new information need."; to make the fourth part of the introductory paragraph as follows: "(4) the Commission shall submit to the issuer or the person responsible for drawing up the prospectus of the issue, the host Member State competent authority and the European Securities and markets authority with proof that the emission prospectus is drawn up in accordance with the requirements laid down in the legislation in force on the preparation of the prospectus and the contents of the agenda, and that a copy of the prospectus of the issue in the following order:"; Supplement fifth after the word "Declaration" with the words "sent by the host Member State competent authority". 20. in article 24.1: Add to the second paragraph, the words "and the European Securities and markets authority"; adding to the third paragraph after the words "the European Commission" with the words "and the European Securities and markets authority". 21. Replace article 25 in the fourth and fifth paragraphs, the words "Commission of the European Union" by the words "the European Securities and markets authority". 22. Article 34: Supplement to the second part of the article as follows: "(2) the Commission shall inform the European Securities and markets authority, the license for organizing the regulated market has been cancelled."; believe the current text of article about the first part. 23. To complement the second subparagraph of article 56.1 the third sentence with the words "and the European Securities and markets authority". 24. Replace article 44, second paragraph, the number and the word "Euro" to the number 50 000 and 100 000 euro, the word "the". 25. the express article 44.3 second sentence as follows: "in this case, the securities note shall contain the information normally provided in the registration document if since the time when was registered the latest registration document, there have been significant changes that might affect investors ' assessments, unless such information is provided in accordance with article 45 of this law provides for additions to the." 26. Replace article 45, first paragraph, the words "the submission to the Commission" with the words "approval of the Commission". 27. Express article 46 of the sixth subparagraph by the following: "(6) Of the listing the persons responsible investor may demand damages if he is your choice is done only on the basis of the summary or translation, except when the summary is misleading, contrary to other parts of the prospectus of the issue or if it together with the other parts of the emission prospectus does not provide key information enabling investors to decide on the acquisition of securities." 28. the express article 47 paragraph 4 by the following: "4) the transferable securities offered, allotted or to be granted in connection with the merger or Division of the company, subject to the condition that the public in a document is available containing information which is recognised by the Commission as equivalent to be included in the prospectus in accordance with European Union legislation;". 29. Article 48: turn off the first part of paragraph 3; Add to article 1.1 part as follows: "(11) an issuer which is the Member State of origin of the Republic of Latvia, in addition to the first paragraph of this article documents submitted to the rules on internal information holders list creation and maintenance, as well as the arrangements for the internal information holders list includes persons may carry out transactions with financial instruments or the issuers child trade instruments."; to complement the seventh subparagraph with the sentence as follows: "at the same time the Commission shall send a copy of the prospectus, the European Securities and markets authority." 30. in article 29.9: replace the first part of the word "publication" with the words "Commission of registration"; to make the fourth subparagraph by the following: "(4) a prospectus is valid, if it consists of the registration document containing information is updated in accordance with this law or in article 44.3 45 requirements the securities note and the summary. The registration document referred to in article 17 of this law, the third subparagraph in point 1 is valid for 12 months following its registration in the Commission. " 31. Article 49: Add to the first paragraph, after the word "bodies" with the words "and the European Securities and markets authority"; to complement the second paragraph with the words "and the European Securities and markets authority"; Add to the second sentence of the third paragraph after the words "competent institution" with the words "and the European Securities and markets authority"; to make the fourth part of the introductory paragraph as follows: "(4) the Commission shall submit to the issuer or the person responsible for drawing up the prospectus, the host Member State competent authority and the European Securities and markets authority, proof that a prospectus prepared in accordance with the legislation in force on the preparation of the prospectus and a copy of the prospectus referred to in the following order:"; make the fifth subparagraph, the first sentence as follows: "in the fourth paragraph of this article that the receipt, which is sent to the host, the competent institution of the Member State, be accompanied by a translation of the summary on the preparation and content of which conformity with the original text of the prospectus is responsible by the issuer or the person responsible for the preparation of the prospectus."; to supplement the article with the seventh subparagraph by the following: "(7) the Commission, in its homepage on the internet public prospectus for proofs of the origin of the other competent authorities of the Member States have submitted to the Commission, if possible, provide a link to the homepage of the internet, where the originating Member State competent authority has published emission prospectus." 32. in article 49.1: replace the fourth subparagraph, the words "public offer" with the words "the requesting person seeking the admission of transferable securities on a regulated market"; replace the fifth part number and the word "Euro" to the number 50 000 and 100 000 euro, the word "the". 33. Article 51: replace the third subparagraph of paragraph 3, the word "and" by "or"; to make the fourth subparagraph, the first sentence as follows: "(4) the issuer or the person asking for the admission of securities to regulated markets and publish the prospectus in accordance with the third subparagraph of article 1 or 2 point, publish the prospectus in electronic form in accordance with the third paragraph of article 3." 34. Article 54: replace the number in the ninth paragraph and the words "Euro 50 000" with the number and the word "100 000 euro"; Add to article 9.1 of the part as follows: "(91) the ninth part of this article, the rules on the place of the general meeting shall also apply to the choice of the persons who owns transferable securities whose denomination per unit of at least eur 50 000 equivalent in dollars after the Bank of Latvia rates, or if the value of debt securities is expressed in another currency than euro, the denomination per unit of at least eur 50 000 equivalent and these securities before 31 December 2010 are included in the regulated market in the European Union until the day when these securities are deleted. These provisions are in force in the Member State where the issuer's designated persons belong to these debt securities, all the necessary information is available. " 35. Make 55.1 the third and fourth subparagraph by the following: "(3) if the Commission finds that the issuer does not comply with this law, section D of chapter II, it shall communicate those facts, the competent institution of the Member State of origin and the European Securities and markets authority. (4) If, despite the fact that the Commission has informed the competent institution of the Member State of origin in accordance with the third paragraph of this article, or because such measures prove ineffective, the issuer continues to violate this law, section D of chapter II, the Commission shall, after notification to the home Member State of the competent institution is entitled to take all necessary measures to protect the interests of investors, as well as to inform the European Commission and the European Securities and markets authority in accordance with article 147 of this law. " 36. Replace 56.1 of the first paragraph of article 3, the word "essential" by the word "significant". 37. in article 56.2: turn off third-part 2; to make a fifth by the following: "(5) where the second subparagraph of article 3, 4, 5 and 7, third paragraph, of this law and 56.1 of the first paragraph of article 3, 4, 6, 8 and 9 the information referred to in paragraph a corporation whose transferable securities are included in the regulated market, if the delivered an annual report or other publicly available document, statement of corporate governance can include a reference to indicate that this information is publicly available." 38. To exclude article 57.1. 39. in article 58: replace paragraph 2 in the number, and the name "50 000 euro" with a number and the word "100 000 euro"; to complement the article, paragraph 3 as follows: "3) issuers that have issued only debt securities whose nominal value of one bond is at least 50 000 euro in lats equivalent according to the Latvian Bank rate or if the debt securities are issued in another currency than the euro, one of the nominal value of debt securities at the date of the issue of at least 50 000 euro equivalent, and which have been included in the securities on a regulated market in the European Union before 31 December 2010 to the day When these securities are cleared. " 40. Article 59: Add to the second part of the paragraph following the 1.1 and 1.2: ' 11), the Management Board of the issuer, a member of the Council, the members of the Audit Committee or the issuer prokūrist filed a notice of resignation; 12 sworn auditor) the issuer filed a notice of discontinuation of cooperation; " to make the second part of paragraph 5 by the following: "5) Court ruling on the legal protection of the process of initiation to the issuer, its parent company or a company involved in a consolidation and a court ruling on the application of the legal protection process to the issuer, its parent company or a company involved in a consolidation;" Add to the second part of paragraph 5.1 by the following: "51) the Court ruling on out-of-court redress process to the issuer, its parent company or a company involved in a consolidation;" make the other parts 6, 7 and 8 of the following: ' 6) the Court ruling on the initiation of proceedings by the issuer, or its parent company controlled the company, declaring insolvency or bankruptcy of the issuer, the completion of the process, its parent company or companies involved in the consolidation; 7) Court ruling on the transition from the issuer, its parent company or a company involved in a consolidation in the insolvency proceedings to outlaw the legal protection process; 8) declaring insolvency or bankruptcy of the issuer or the completion of the process the consolidation of society involved in the customer (if the customer is a legal person) or declaring insolvency or bankruptcy of the initiation of the issuer, its parent company or companies involved in the consolidation of the customer (if the debtor is a natural person), if the issuer, its parent company or companies involved in the consolidation of the amount of the claim against the debtor is important; " to express the second part of paragraph 10 by the following: ' 10) the issuer's intention of regulated market financial instruments included include in another regulated market, as well as the issuer of a financial instrument issued by the inclusion of another regulated market or off of another regulated market, including the issuer's decision to choose another Member of their Member State of origin; " to make the second part of paragraph 19 by the following: "19) issuer's intention to carry out a reorganization;"; make the third paragraph as follows: "(3) for the purposes of this article a significant volume of transactions or investment is involved in the consolidation of the issuer or the transaction or investment companies, which paid for the assets or the amount of the receivable, including the asset or financial instrument, or the market value of debt obligations of the issuer or the borrowing of money in an expression is at least 10 percent of the equity of the issuer under the sworn auditor last audited consolidated accounts."; Add to article 3.1 part as follows: "(31) for the purposes of this article, participating in the consolidation of the public considered a society in which the issuer as the parent company directly or indirectly (through one or more subsidiaries of the group participation) has an impact, and which therefore, in accordance with the consolidated accounts be the consolidation of the law, the issuer in preparing consolidated accounts." 41. the express article 60, the first paragraph by the following: "(1) the provisions of this chapter concerning the reporting obligation and the consequences of not reporting refers to the person who acquires or disposes of the voting shares of a corporation whose shares are included in the regulated market of the Republic of Latvia." 42. in article 64.1: replace the seventh part number and the word "Euro" to the number 50 000 and 100 000 euro, the word "to"; to supplement the article with the ninth subparagraph by the following: "(9) in the seventh part of this article, the requirements also apply to persons who owns transferable securities whose denomination per unit of at least eur 50 000 equivalent in dollars after the Bank of Latvia rates, or if the value of debt securities is expressed in another currency than euro, the denomination per unit of at least 50 000 euro equivalent, and these securities were listed on the regulated market in the European Union before the year 2010 31 December up to the date of these securities are cleared. " 43. Supplement article 64.2 of the first subparagraph following the words "send the minimum information" with the words "their Member State of origin". 44. Article: 64.3 to supplement the first part with 8.1 points as follows: ' 81) check whether the required information is prepared in accordance with article 59 of this law in the fifth paragraph, the requirements and whether it truly and honestly reflect information about the issuer, its business and corporate governance; " Add to the second paragraph, the words "and the European Securities and markets authority"; adding to the third paragraph after the words "the European Commission" with the words "and the European Securities and markets authority". 45. Article 86: make the first part and the second part of the introductory paragraph as follows: "(1) an issuer of financial instruments which are admitted to trading on a regulated market in the Republic of Latvia and the Member State of origin which is the Republic of Latvia, shall develop internal rules on insider information to create lists of holders pursuant to the provisions of this article. These internal rules, the issuer shall promptly submit to the Commission at its request. (2) an issuer which is the Member State of origin, the Republic of Latvia no later than the date on which its financial instruments are included in the regulated market of the Republic of Latvia, shall establish internal information holders list. The list includes information about the issuer: "; the third part of the present paragraph 3 by the following: "3) year and the date on which the person who is included in the internal information holders list, issuer's internal information is available;" Supplement to the sixteenth article of the following wording: "(16) the issuer of the financial instruments which are included in the regulated market of the Republic of Latvia, but which is not the Member State of origin of the Republic of Latvia, the internal information holders creates and maintains the list according to their Member State of origin of the procedures laid down in the legislation." 46. To supplement the article with the 3.1 part 53.5 as follows: "(31) giving notice after the last transaction, by which the person during a calendar year the total volume of transactions exceeding 5000 euro equivalent in local currency at the rate of the Bank of Latvia, the notification shall contain information about each transaction, indicating its type (purchase, sale), date, location, size and price." 47. off the third subparagraph of article 87. 48. Article 90: Supplement to article 2.1 and 2.2 of the following paragraph: "21) the deadline to request the issuer of this law in accordance with the procedure laid down in article 64.2 make public information that it provides distribution in accordance with article 87 of this law, the first paragraph; 22) require the person to submit a statement to the Commission in accordance with the requirements of article 86.1 of the Act; "; turn off paragraph 5, the word "debit". 49. Supplement article 92 to 3.1 and 3.2 part as follows: "(31) central depository is entitled to delegate to the third paragraph of this article 1, 3, and 4 above, if such delegation aimed at the settlement of transactions in financial instruments to provide the European Union and has received the Commission's authorisation. (32) If the Central Depositary delegates of the third paragraph of this article 1, 3, and 4 of the functions mentioned in the European Central bank, central bank of the Member State or organization which functions include settlement of transactions in financial instruments of the European Union within the framework of the provision of this law in the fifth subparagraph of article 142.1 outsourcing contract requirements apply proportionate to the outsourcing provider's status or activity provider outsourcing regulatory laws of the European Union. " 50. Add to article 99 of the eighth part of paragraph 2 with the words "except for article 92 of this law in the cases listed in sections 3.1".
51. the express article 106 of the fifth subparagraph of paragraph 2 as follows: "2) which is financial stability and financial resources mining rule of law might well documented. Considering the part of the owners (shareholders) financial stability, if the person is not a credit institution or insurance company, takes into account whether the person has enough free capital; ". 52. Article 107: adding to paragraph 3, the second subparagraph of point "b" after the word "accounting" by the words "including financial instruments and transactions with financial instruments linked to the cash accounting"; Add to paragraph 3 of the second paragraph of point "d" after the word "instruments" with the words "and with the financial instrument transactions related money"; make the third paragraph as follows: "(3) investment brokerage company, if it does not intend to hold financial instruments, financial instruments and submitted with transactions in financial instruments linked to the cash accounting procedures regulatory framework and financial instruments and transactions with financial instruments linked to the cash accounting database protection." 53. Supplement article 108 to the sixth part as follows: "(6) the Commission on the issue of the licence for the investment brokerage firm shall inform the European Securities and markets authority." 54. Supplement article 111 with 1.1 part as follows: "(11) the Commission on the investment brokerage firm to withdrawal of the licence issued shall inform the European Securities and markets authority." 55. Express 121 first paragraph of article 2 and paragraph 3 as follows: "2) foreign currency risk, settlement risk and commodities risk capital requirement; 3) debt securities and equity position risk capital requirements for the trading book exposures and, if you have received permission from the Commission to exceed the limit of large exposures of the trading book exposures to such excess capital requirements; ". 56. To make the first paragraph of article 123.1 as follows: ' (1) in addition to this law, the requirements of article 121 investment brokerage company evaluate their activities and possible risks inherent to cover the necessary capital and ensure its functioning and the potential risks inherent to cover the necessary capital would be adequate, as well as the elements and structure of this capital. " 57. in article 126.2: make the first paragraph by the following: "(1) to determine the appropriateness of investment services customer interest, investment firm or a credit institution from a customer or potential customer asks details of his experience and knowledge with regard to the provision of investment services in the course of the transactions, if the investment firm or a credit institution providing investment services other than investment advice in financial instruments or financial instruments in the management of the individual in accordance with the mandate of investors." Add to article 1.1 part as follows: "(11) in order to determine whether an investment service that is advice on investments in financial instruments or financial instruments in the management of the individual in accordance with the mandate of investors meet customers ' interests, investment firm or a credit institution from a customer or potential customer asks details of his experience and knowledge with regard to the provision of investment services to the transactions concluded in the course of, the goals he wants to achieve with the transactions concerned and financial situation. "; replace the second paragraph, the words "and the first part of paragraph 1," with the number and the word "1.1"; replace the third paragraph, the words "and the first part of paragraph 2" with the words "the first part"; to make the ninth subparagraph by the following: "(9) If, in giving advice on investments in financial instruments or financial instruments in the management of the individual in accordance with the mandate of the investors, the investment brokerage firm or credit institution has acquired 1.1 of this article, the information referred to in part a, it is not empowered to recommend to the client or potential client financial instruments or make his management of individual financial instruments in accordance with the mandate of investors." to replace the tenth paragraph, the words "and the first part of paragraph 2" with the words "first" and the words "and the first part of paragraph 2"-with the words "first part"; Express noon introductory part the following wording: "(12) if the investment firm or a credit institution provides the customer only this law, article 3 of the fourth part 1 or 2 of paragraph investment services with or without this law, article 3 of the fifth subparagraph 1., 3., 4., 5., 7., 8. contribution requirement referred to in points, it does not require the customer to this article, the information referred to in the first subparagraph, if all the following conditions are met :”;
Add to article 12.1 of the part as follows: "(121) If investment firm or a credit institution provides investment services to the customer, together with article 3 of this law the fifth part of the contribution referred to in paragraph 2 of the additional services, determining the suitability of an investment service customer interest, it takes into account the financial structure of the products, the provision of this additional investment."
58. in article 127.1: replace the first part of the word "good" with the word "name"; replace the second part of paragraph 2, the word "and" with the word "or". 59. Supplement article 129.1 seventh subparagraph with the words "using accounts with different names the third party accounting documents or similar measures that provide the same level of protection ". 60. the express article 129.2 the following: ' article 129.2. Sworn auditor's report on customer funds and the financial instrument for keeping investment brokerage company and a credit institution ensure that sworn auditor at least once a year, check that the measures taken are sufficient to comply with article 125 of this Act 4.1, 4.2, 4.3 and in the fifth subparagraph, article 129 and 129.1. Sworn auditor shall submit to the Commission a written report of the examination referred to in this article. " 61. Express 133.6 article as follows: "article 133.6. Notification of transactions in financial instruments (1) investment firms and credit institutions, which deal with financial instruments, according to the European Commission Regulation No. 1287/2006 article 12 and 13 requirements as soon as possible, but no later than the end of the following working day shall report to the Commission on the results of transactions in financial instruments irrespective of whether the transaction is concluded or on a regulated market outside a regulated market. (2) the first part of this article, the reporting obligations set out in the applicable to any financial instruments that are included in any of the regulated markets and the financial instruments that are not included in the regulated market, but are related to financial instruments that are included in the regulated market. (3) the notice shall include the European Commission Regulation No. 1287/2006 table 1 of annex I to this information, which is relevant to the type of financial instruments to which the transaction was carried out. (4) the Commission shall issue rules and regulations on the procedure for providing information on transactions with financial instruments. (5) in the third paragraph of this article, the information specified on the transactions with financial instruments, investment brokerage company and a credit institution shall be kept for at least 10 years. (6) in the first part of the reporting obligations referred to in the investment brokerage firms and credit institutions can be the name of the regulated market or multilateral trading systems provider, through which the deal is closed, or the transactions approved by the Commission of the compatibility or reporting system. If the transactions the Commission directly reported to the organiser of the regulated market, multilateral trading system maintainer or Commission approved the transaction compatibility or reporting system, the investment brokerage firm and the credit institution are exempt from the obligation laid down in the first subparagraph. (7) in the first part of the reporting obligations referred to in the investment brokerage firm and the credit institution may delegate to a third party. The obligation to report transactions with financial instruments in the event of delegation the investment brokerage firm followed this law, but the law of credit institutions by the credit — requirements for outsourcing. " 62. Replace article 133.7 Fourth, seventh and eighth paragraph, the words "the Committee of European securities regulators" with the words "the European Securities and markets authority". 63. Add to article 139 of the ninth, tenth, eleventh, twelfth, thirteenth and fourteenth part as follows: "(9) the Commission shall evaluate the investment brokerage firm strategies, procedures and measures it implemented to comply with this law, other laws and regulations and the provisions of the Commission decision, as well as assess the investment brokerage firm to right and possible risks. (10) the Commission determined that this article is the ninth in the part assessment and its regularity, depending on the investment brokerage firm size, systemic importance, perform the operation (transaction) volume, diversity and complexity. The Commission shall not less frequently than once a year, review and update this article ninth shall be referred to the information contained in the assessment. (11) on the basis of the assessment, the Commission shall assess whether the investment brokerage firm strategy, procedures and measures to ensure an adequate management of the risk or investment brokerage company's equity is sufficient for its operation and the potential risks inherent to cover and whether it is necessary to set a higher capital levels than specified in this law, the first subparagraph of article 121. To determine the investment brokerage firm for the operation of the existing and potential risks to cover the required equity capital, the Commission shall take into account: 1) in accordance with the requirements of article 123.1 of the Act made in the investment brokerage firm assessment of qualitative and quantitative results; 2) in accordance with this law, the first paragraph of article 124 of the requirements of paragraph 11 of the investment brokerage company established internal control system; 3) in accordance with the requirements of this article in the Commission's assessment results. (12) the ninth part of this article shall include assumptions about when the investment brokerage firm may incur substantial losses not included in the trading book exposure to interest rate risk, and observations on the circumstances under which such losses might arise. (13) the Commission shall determine the order in which you want the investment brokerage firm in the economic value of the reduction of sudden and unexpected changes in interest rates. (14) If the thirteenth part of this article that suggests that the calculation of investment brokerage company's economic value will decrease by 20 or more percent of the equity, the investment brokerage company shall take measures to ensure the conformity of the equity trading book exposures not included in the interest rate risk. " 64.140. Article: Add to the second and fifth paragraph after the words "the European Commission" with the words "and the European Securities and markets authority"; Add to the introductory part of the ninth paragraph, after the word "decision" with the words "informing the European Securities and markets authority"; make the eleventh subparagraph by the following: "(11) the Commission has the right to apply to the other Member State registered investment brokerage company, which is registered in the Republic of Latvia the organising members of the regulated market and make transactions on a regulated market without the opening of the branch, having informed the supervisory authorities of the Member State concerned." 65. Supplement article 140.1 second subparagraph with the words "and the European Securities and markets authority". 66. Express article 144.1 sixth subparagraph by the following: "(6) if the Commission of the Act 55. in accordance with the procedure laid down in article has received information on the regulated market organizer's decision to suspend a financial instrument, or to exclude from the regulated market of the financial instrument, which is included in the other Member State of the regulated market, or if the Commission has adopted this decision, it shall immediately inform the management authority of the Member State concerned and the European Securities and markets authority." 67. To supplement article 146. fifth paragraph after the word "information" with the words "the European Securities and markets authority, a European systemic risk Board". 68. Article 147 of the be expressed as follows: "article 147. The Commission's obligation to provide information to the European Commission and the European Securities and markets authority (1) the Commission shall inform the European Commission of: 1) licence investment services and investment for the provision of additional services to the investment brokerage company, which is registered in the company's foreign subsidiaries; 2) where to get the essential participation of the Republic of Latvia registered the investment brokerage firm becomes established in a foreign subsidiary companies; 3) share buy bids, expressed the target companies whose shares are released for public circulation in Latvia. (2) the first subparagraph of this article, 1. and 2. in the cases referred to in paragraph 1, the Commission shall forward to the European Commission for information about the structure of the group, which includes the investment brokerage company. (3) the Commission shall inform the European Commission, as well as the other Member States of the interim financial statements, which the Corporation whose shares are admitted to trading on a regulated market, prepare and distribute in accordance with the procedure laid down in this Act, and article 62 of this law, the application of the fourth subparagraph. (4) the Commission shall inform the European Commission and the European Securities and markets authority: 1) the cases referred to in this law, the third paragraph of article 24, in the fourth paragraph of article 55.1 and the third paragraph of article 64.3; 2) activities it has conducted pursuant to this law, the second paragraph of article 56.1 and 140. the second and fifth; 3) when it, in accordance with article 63 of this law is provided for in the first subparagraph recognised as equivalent to the information that an issuer whose registered office is abroad, provided in accordance with their national legislation; 4) General the difficulties in providing investment services or via the provision of investment services abroad, contact the investment brokerage firm, which the Commission received the license to the contribution of investment or additional services. (5) the Commission shall inform the European Securities and markets authority: 1) licence investment brokerage firm investment service or investment for the provision of additional services in the Republic of Latvia, specifying its investment service or investment type of requirement for the provision of investment brokerage company has received a license, as well as on the withdrawal of the licence or the licence of a particular investment service and contribution to additional services; 2) information exchange agreements concluded by the Commission with foreign financial instruments market supervisory bodies, other institutions, agencies or bodies; 3) restrictive measures and penalties imposed for the Commission of violations of this law are applied. If the Commission's public information on market participant applying restrictive measures, or sanctions, it shall immediately inform the European Securities and markets authority. Once a year the Commission shall send to the authority a summary for all market participants during the year the restrictive measures and sanctions. (6) the Commission has the right to inform the European Securities and markets authority on cases where a management authority of another Member State does not provide information at the request of the Commission or incentive does not provide information in appropriate (reasonable) time limit, or, despite the request of the Commission, "Commission in the territory of that Member State to carry out an inspection or examination to attend the Commission's authorized representatives, or not responding to such a request in the appropriate (reasonable) limit." 69. in article 148: replace the first part of the word "issuer" by the word "acts" of the public offer; make the second paragraph as follows: "(2) false or misleading statutory distribution of information the Commission is entitled to the issuer or the person who has requested the admission of securities to a regulated market, warn or impose a fine of up to 10 000 LVL."; Express 7.1 part as follows: "(71) on the statement on corporate governance the preparation not in accordance with the requirements of article 56.2 of the Act or not publishing this law in accordance with the procedure laid down in article 56.2, the Commission is right to warn the issuer or impose fines of up to 10 000 LVL."; to supplement the article with the thirteenth part as follows: "(13) if the financial instruments market participant fails to comply with this law, the requirements of article 4.1, the Commission is entitled to make that person a warning or impose fines of up to 10 000 lats." 70. To supplement the transitional provisions 47 and 48 points with the following: "(F) section 47. This law requirements apply to those on this law, article 3 of the second paragraph of point 6 of the aforementioned financial instruments concluded by July 1, 2012. 48. Until 2012 December 31, the investment brokerage firm, which has received permission from the Commission risk weighted value calculation to apply to the internal ratings based approach or the permission of operational risk capital requirements to apply to the calculation of the developed approach for measuring equity is at least 80 percent of the minimum equity capital, calculated using the applied to the simpler approach of credit risk and operational risk capital requirements in accordance with the Commission's minimum capital requirements. " 71. Add to the informative reference to European Union directives, with 28 and 29 the following: "28) of the European Parliament and of the Council of 24 November 2010, the EU directive 2010/73/amending Directive 2003/71/EC on the prospectus to be published when securities are offered to the public or admitted to trading and 2004/109/EC on the harmonisation of transparency requirements in relation to information about issuers whose securities are admitted to trading on a regulated market; 29) of the European Parliament and of the Council of 24 November 2010, the EU directive 2010/78/amending Directive 98/26/EC, 2002/87/EC, 2003/6/EC, 2003/41/EC, 2003/71/EC, 2004/39/EC, 2004/109/EC, 2005/60/EC, 2006/48/EC, 2006/49/EC, and 2009/65/EC in respect of the European supervisory authority (European banking authority), the European supervisory authority (European insurance and occupational pensions authority) and the European supervisory authority (European Securities and markets authority) powers. "
The Parliament adopted the law of 22 March of 2012.
The President a. Smith in 2012 on April 11.