Daiwa Capital Markets Europe Limited is authorised and regulated by the Financial Services Authority and a member of the London Stock Exchange.

Our clients and counterparties may wish to refer to the following policies which address various regulatory matters:

 

1) Policies
Conflicts of Interest Summary

Daiwa Capital Markets Europe Limited (Daiwa Europe) is part of the Daiwa Securities Group Inc, an independent full-service securities group providing an extensive range of financial services centred on retail, wholesale and investment banking business and asset management business. Daiwa Securities Capital Markets Co Ltd, parent company of Daiwa Europe, is the investment banking arm of the Daiwa Securities Group, responsible for providing corporate clients and institutional investors with sales & trading and investment banking services.

We continue to recognise that in the normal course of our business, circumstances may arise that could result in our interests conflicting with the interest of, or with the duties we owe to, our clients. These could include conflicts between the interests of Daiwa Europe, or other group companies and our clients, or between the interests of different clients.

Daiwa Europe has always sought to ensure that conflicts are identified and managed at an appropriate level. Procedures have therefore been established to protect the interests of our clients and ensure that all parties are treated fairly and reasonably. In particular, arrangements exist to control the flow and use of non-public, price sensitive information, the execution of client orders, staff’s personal account dealing and their receipt of gifts or other inducements from clients or suppliers.

Where necessary, we segregate the activities of staff working in areas where conflicts of interest may arise. Where we feel that our procedures in themselves may be insufficient to manage the risk we will look to disclose the potential conflict to our client and obtain their agreement to precede. Ultimately we will decline to act where we feel the risks cannot be managed or mitigated. Daiwa Europe may share information regarding investment banking relationships with other group companies. The list of group companies is available on our website.

The risks and associated controls relating to conflicts of interest have been documented internally in the Conflicts of Interest Matrix. This Matrix details the potential conflicts of interest in each department and the controls in place to mitigate these risks. The Conflicts of Interest Matrix is subject to regular review.

Summary of Order Execution Policy

 

2) Basel II Pillar 3 Disclosures
Daiwa Capital Markets Europe Limited adopted the Pillar 1 standardised approach to credit risk and operational risk with effect from 1 January 2008 and were subject to the Pillar 2 and Pillar 3 requirements from that date.

The Company's Pillar 3 disclosures on capital and risk management are available below. This information will be updated, at a minimum, on an annual basis.

Pillar 3 disclosures for the year ended 31 March 2009

Pillar 3 disclosures for the year ended 31 March 2008

 

3) CISI Professional Code
The company is a corporate member of the Chartered Institute for Securities and Investment and has adopted its Professional Code

 

 

4) Treasury Markets Practices Group
Please see below for information about Daiwa Capital Markets Europe Limited's adoption of the Treasury Markets Practices Group's recommendations for US securities fails.

Adoption of Treasury Markets Practices Group's recommendations