The Financial Regulator recently published a Consultation Paper on Telephone Records and Electronic Communications under the European Communities (Markets in Financial Instruments) Regulations 2007.
The Financial Regulator is seeking views on the introduction of obligations relating to the recording of telephone conversations and electronic communications involving client orders under Regulation 40(6) of the MiFID Regulations. Under the MiFID Regulations, there are no requirements on MiFID firms to record telephone lines. However, Regulation 40(6) does allow the Financial Regulator, after consultation with the Minister for Finance, to impose additional obligations on investment firms relating to the recording of telephone conversations or electronic communications involving client orders.
The Financial Regulator is proposing that, from 1 May 2010, MiFID firms should record all telephone calls (including mobile phones) and electronic communications involving client orders and maintain the recordings for a period of at least two years and until the record is no longer of any relevance to any complaint, disciplinary action or investigation.
The closing date for submissions is 18 September 2009.
See Consultation Paper below.
Consultation Paper (0.25 MB, Adobe PDF)