The AFM has launched this investigation in response to a significant increase in the use of the national regime, a growing number of retail clients receiving services under this regime, and a rise in reports suggesting potential non-compliance by parties operating under this regime. The focus of the investigation will be on assessing compliance with key regulatory obligations, including the prohibition of commission, robust know-your-customer (KYC) procedures, and transparency around costs charged to investors.
The outcome of this study could have meaningful implications for firms operating under the national regime. If the AFM identifies serious instances of non-compliance or regulatory risks, it may take further supervisory action or propose amendments to the current regulatory framework to better safeguard investor interests and ensure market integrity.
Financial service providers and investment firms making use of the national regime are therefore advised to thoroughly evaluate their internal procedures and ensure they meet all applicable regulatory standards. The AFM has indicated that firms selected for the exploratory investigation will be notified individually.
For further details, please refer to the AFM’s official news release on the investigation (available in Dutch only via the following link).