Circular C518 (“the Circular”) dated 22/06/2022 introduces the Prudential Form 165-03 ‘Prudential Supervision Information’ and Prudential Form 165-04 ‘Application form for prudential permissions’.
The Cyprus Securities and Exchange Commission (the ‘CySEC’) wishes to inform the Cyprus Investment Firms (the ‘CIFs’) about the introduction of the new Prudential Forms 165-03 and 165-04 and the need for submission to CySEC.
The key takeaways from CySEC’s C518 circular can be found below:
- Prudential Form 165-03 ‘Prudential Supervision Information’
- Form 165-03 replaces Form 144-14-11. New information incorporates changes introduced with the implementation of the IFR/IFD prudential framework for investment firms.
- All CIFs should complete Form 165-03 once a year and submit it to CySEC via the Transaction Reporting System (‘TRS’) until 30th of June each year.
- Only for this year, Form 165-03 for the year ended 31/12/2021 should be submitted by the 30th of July 2022.
- Prudential Form 165-04 ‘Application form for prudential permissions’
- The purpose of the new prudential Form 165-04 is to facilitate CIFs when requesting CySEC’s permission, with reference to the Regulation (EU) 2019/2033 (‘IFR’), Regulation (EU) 575/2013 (‘CRR’) and Law L.165(I)/2021 (‘the Prudential Law’), where applicable, in the following areas:
- Application for interim profit recognition; and
- Application for liquidity reduction.
Thus, the CIFs that wish to request CySEC’s permission, for any of the areas mentioned above, should complete only the relevant Section(s) of Form 165-04 for which the permission is requested and submit it to CySEC via TRS. The remaining sections, not applicable for the CIF, should be left empty.
- It is highlighted that CySEC’s Circular C305 regarding interim profit recognition continues to remain in force but CySEC’s permission should only be requested via the submission of Form 165-04 via TRS.
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