FTI Treasury Regulation
FTI Finance Limited, trading as FTI Treasury, is regulated by the Central Bank of Ireland
FTI Finance Limited was authorised under the Investments Intermediaries Act, 1995 in December 1995, and subsequently by the EU Markets in Financial Instruments Directive (MiFID I) on 1 November 2007 and MiFID II package of rules in January 2018.
The MiFID II legislative framework in the EU is aimed at regulating financial markets in the bloc and improving protections for customers. Certain financial services to third parties provided by FTI Treasury fall within its scope, and our authorisation to provide these regulated services is described below. All other services provided by FTI are unregulated services.
The firm is authorised to provide the following services:
MiFID Investment Services
- Reception and transmission of orders in relation to one or more financial institutions
- Execution of orders on behalf of clients
- Portfolio management
- Investment advice
MiFID Ancillary Services
- Advice to undertakings on capital structure, industrial strategy, and related matters and advice and services relating to mergers and the purchase of undertakings
- Foreign exchange services where these are connected to the provision of investment services
- Investment research and financial analysis or other forms of general recommendations relating to transactions in financial instruments.
FTI Treasury is classified as low risk under the CB’s Probability Risk and Impact System (PRISM) and is a CRD IV exempt FOR firm.
FTI Treasury has a separate suite of board approved compliance & risk policies in place in line with Central Bank of Ireland regulations.
FTI Treasury aims to implement guidelines issued by the Central Bank of Ireland appropriate to the nature, scale and complexity of FTI Treasury.
Pillar 3 Disclosure
Under the EU Capital Requirement Directive (CRD) Pillar 3 requires regulated firms to publicly disclose information relating to their risks, capital adequacy, and policies for managing risk with the aim of promoting market discipline. FTI Finance Limited’s Pillar 3 Disclosure Report is available upon written request from the Compliance Officer, FTI Finance Limited, International House, 3, Harbourmaster Place, IFSC, Dublin 1. Ireland.
Information required under the EU Sustainable Finance Disclosure Regulation
Sustainable Finance Disclosure Regulation (Regulation (EU) 2019/2088) seeks to introduce rules for Financial Market Participants (‘FMP’s’) and Financial Advisers (‘FA’s’) with regards to the integration of sustainability risks into their processes, as well as the provision of sustainability-related information in financial products.
The regulation requires FMP’s and FA’s to consider sustainability risks across various aspects of their operations, including disclosures, integration into policies, investment process, product governance and wider internal processes and systems.
The term ‘sustainability risk’ refers to an environmental, social or governance (‘ESG’) event or condition that could cause an actual or a potential negative impact on the value of an investment.
Sustainability Factors are defined as environmental, social and employee matters, respect for human rights, anti-corruption and anti-bribery matters. FMP’s and FA’s have an option to consider the principal adverse impacts of investment decisions on sustainability factors in their advice processes.
The FTI Finance Service Model
FTI Treasury provides non-discretionary investment services via its ‘Execution of orders on behalf of clients’ authorisation. An ‘execution-only’ service is a term that is used for a platform that does not offer advice when allowing investors to select which products or funds to invest in.
FTI Treasury has limited discretion when managing surplus cash arising from client’s liquidity operations. FTI Treasury can choose within a narrow range of investment products (cash and/or MMF’s with high rated banks) and counterparties, all defined by the client.
By nature of the services provided, FTI Finance does not consider the principal adverse impacts on sustainability factors of investment decisions or investment advice provided by external regulated investment intermediaries.
Remuneration Policy
FTI Finance has a board approved remuneration policy. There are no commission / investment performance incentive arrangements for employees.