MIFID II, the new EU Drective aimed at ensuring greater transparency and consumer protection in the provision of investments serviced, was the subject of a conference organised recently by the Malta Law Academy jointly with the Commercial Law Department at the University of Malta entitled ‘MIFID II – Burdens, Challenges or Opportunities?’
Different speakers dealt with a variety of aspects related to the new directive. Andre Zerafa from Ganado Advocates spoke about ‘The services of investment advice and execution – differences and pitfalls’, Laragh Cassar from Cassar Camilleri Advocates addressed the topic ‘The reverse solicitation exemption under MIFID II’, Katya Tua from Mamo TCV Advocates discussed ‘The Impact of MIFID II on cases brought before the Arbiter for Financial Services’ and Louis Degabriele from Camilleri Preziosi Advocates concluded with the topic ‘The new MIFID II inducements and fees regime’.
The talks were followed by a panel discussion moderated by Edward Grech from the MFSA with the participation of David Curmi from Curmi & Partners and Edward Rizzo from Rizzo, Farrugia Stockbrokers.
Mr Rizzo noted that many investors are still broadly unaware of the implications of MiFID II. They generally view this as added bureaucracy without fully appreciating the protection and the advantages that MIFID II has introduced. On the other hand, Mr Curmi said that only IT can help support financial services practitioners deal with the increased workload and monitoring that they have to carry out on a daily basis. In view of the additional investment required in IT and human resources to comply with MiFID II, financial services practitioners would need to start charge advisory fees for investors requesting advice.
First blockchain platform for marine insurance
EY, Guardtime, A.P. Møller-Maersk, Microsoft and insurance industry leaders Willis Towers Watson, XL Catlin, MS Amlin and ACORD announced that members of the marine industry are using Insurwave, a blockchain platform to support marine hull insurance. In an increasingly complex and ever-evolving risk landscape, businesses will use the platform to transform how they manage risk across their organisation, and how they work with brokers and (re)insurers.
Ronald Attard, EY Malta managing partner, said: “Blockchain is now at the centre stage of technological innovation with the potential to impact today’s, and even more so, tomorrow’s business processes and functions. That blockchain impacts your business is now a question of when, not if. The joint venture between EY and Guardtime is solid proof of EY’s cutting-edge competence in the blockchain space.”
CPE seminar
The Department of Accountancy at the University of Malta, in collaboration with Malta University Consulting Ltd, is holding a CPE seminar on ‘Tax: Budget Measures Implementation Act 2018’ at the University Residence, Robert Mifsud Bonnici Street, Lija.
This seminar, which qualifies for two hours (Core Competencies) of Continued Professional Education, is scheduled for June 20 from 3 to 5pm. The speaker is Roderick Borg, an accountant by profession.
For more information one may call 2124 0746 or e-mail maria.bugeja@muhc.com.mt.
Guide to Malta post-Brexit
In an effort to showcase what the Maltese jurisdiction can offer and why it should be regarded as a viable solution to EU fund structuring and distribution, Finance Malta together with member organisations, Chetcuti Cauchi Advocates, BOV Fund Services, Camilleri Preziosi Advocates and Apex Funds Services, recently hosted three distinct panel sessions at the Reform Club, Pall Mall in London. The event was extremely well attended and saw the participation of over 80 delegates from different industry organisations seeking to relocate to different jurisdictions following Brexit.
Finance Malta chairman Kenneth Farrugia commented: “Picking the right EU jurisdiction now that Brexit has been unleashed is going to be crucial, not just for start-up managers but also for established industry players in the UK who will need a ‘Plan B’ to ensure continued use of passporting rights to distribute their funds to EU investors.”
Mr Farrugia added: “Brexit is likely to prove beneficial for EU jurisdictions, including Malta, which continues to experience growth of its funds industry, not just on the fund licensing side but, increasingly, through the number of AIFMs being set up on the island.”
The first panel during the seminar discussed the legal and fund structure consideration, while the second discussed operational considerations and how Malta’s service provider infrastructure stack up; the third and final panel discussed the marketing and distribution of Maltese funds.
New MBB president
Simon De Cesare is the new president of the Malta Business Bureau (MBB), succeeding David Zahra, who has now been appointed MBB vice-president.
Mr De Cesare said: “I am pleased to have been given this opportunity to contribute towards the local business community. I look forward to my term as president, to preside over the organisation to further sustain its growth and give my best to achieve more results as well as new opportunities for the benefit of Maltese businesses. In the meantime, I will continue supporting MBB’s drive to implement EU projects, as I believe that this is one of the best ways of putting EU policy into practice, as well as of promoting opportunities with local business.”
Mr De Cesare is the CEO of the Eden Leisure Group.