Information regarding Financial Markets Infrastructure Act (FinfraG/FMIA)
For Clients holding a corporate account: Your classification and obligation
Against the background of the increasing pressure and demand for a regulation in the trading in Over-the-Counter (OTC) and Exchange-Traded-Derivatives market, Switzerland issued in 2015 the Financial Market Infrastructure Act (“FinfraG/FMIA”) and its Ordinances, which came into force on 1 January 2016. The new legislation is the equivalent to the Dodd-Frank Act in the US and the European Market Infrastructure Regulation (EMIR) in the European Union.
Derivatives subject to FinfraG/FMIA are generally subject to the clearing, reporting, risk mitigation, and platform trading obligations. The exact nature of these FinfraG/FMIA obligations, which may apply, to derivative transactions concluded between you and Habib Bank AG Zurich (hereinafter the “Bank”) depends on your classification under FinfraG/FMIA. FinfraG/FMIA differentiates between the following categories of Counterparties: Large or Small Financial Counterparties or Large and Small Non-Financial Counterparties (please refer to the definitions in Appendix I for further interpretation). Please note that these obligations will apply to you even if you are domiciled in a non-Swiss jurisdiction.
Please note that we consider you based on the information available to us to be a Small Non-Financial Counterparty. In general, both, OTC and exchange traded Derivatives are in scope of FinfraG/FMIA. A Small Non-Financial Counterparty will become subject to certain risk mitigation obligations in case certain derivatives in scope of FinfraG/FMIA are not subject to the clearing and the trade reporting obligation. The Bank will fulfil these reporting and risk mitigation obligations under FinfraG/FMIA for (but limited to) your account relationship.
Please be so kind to inform us at your earliest convenience if this classification is not correct and/or whenever your classification will change in the future. You are kindly requested to fill in in such a case the form “Counterparty Classification” (“Form”) to be signed by a signatory registered with us. The Form can be downloaded here:
>> Counterparty Classification
Please send the Form to Habib Bank AG Zurich, Attention: Account Opening Department, Weinbergstrasse 59, CH-8006 Zurich.
We recommend that you get professional advice in case you have any queries related to FinfraG/FMIA in general and your obligations thereunder.
Should the information be useful for your purposes, please note that the Bank is classified as an FC- under FinfraG/FMIA and our Legal Entity Identifier (LEI) is: 2138004YBSJVUUIRA750.
Thank you very much for your appreciated cooperation.
Habib Bank AG Zurich
Appendix I: FinfraG - Notes and definitions (for Small NFC)
Appendix II:Counterparty Classification Form