“A confirmation of our professionalism”
Zanders is granted a license by the Netherlands Authority For the Financial Markets
Zanders has received a license from the AFM for the provision of advice on financial instruments, including foreign operations. “I see the AFM license mainly as a confirmation of our professionalism,” says Zanders partner Bart-Jan Wittenberg.
“The license allows us to broaden and deepen our services as our customers are in need of increasingly specific advice,” Wittenberg explains. Zanders applied for the license from the AFM, which promotes conscientious financial services to consumers and ensures a fair and efficient functioning of capital markets, because the consultants felt they were being increasingly limited in their advisory capabilities. Wittenberg adds: “This license will change that.”
Professionalism
Before the AFM grants a license, some of the requirements it needs to check include whether the daily policymakers have sufficient expertise, if their integrity is beyond doubt and that all required processes are organized. The organization’s solvency is also assessed. Zanders did not have to implement any major changes to meet the requirements imposed by the AFM on license-holders. “We had everything in order,” says Wittenberg. “Our level of professionalism was good, and we had the right processes and procedures. We only had to address a small number of things. Such as, for example, the screening of potential clients and tightening up compliance. In addition, the AFM sets certain requirements regarding the screening of employees.” Zanders must now provide regular reports on these and many other things. In addition, the AFM can now come by for solicited and unsolicited checks.
“This ‘professionalization’ also makes strong demands on the maintenance of our knowledge,” said Wittenberg. “A lot is changing in the financial world. We are expected to constantly keep abreast of all the latest developments, changes and innovations. We were doing that anyway, so this wasn’t really a problem. The license confirms that our organization operates in the correct, professional manner.”
Advice in financial instruments
The AFM license covers the provision of the service “advice in financial instruments” to non-professional and professional customers. This means that Zanders is now allowed to provide advice at the instrument level on financial and capital market instruments, investment funds and the use of specific derivatives to hedge financial risks.
“The license allows us to broaden and deepen our services as our customers are in need of increasingly specific advice,” Wittenberg explains. Zanders applied for the license from the AFM, which promotes conscientious financial services to consumers and ensures a fair and efficient functioning of capital markets, because the consultants felt they were being increasingly limited in their advisory capabilities. Wittenberg adds: “This license will change that.”
Professionalism
Before the AFM grants a license, some of the requirements it needs to check include whether the daily policymakers have sufficient expertise, if their integrity is beyond doubt and that all required processes are organized. The organization’s solvency is also assessed. Zanders did not have to implement any major changes to meet the requirements imposed by the AFM on license-holders. “We had everything in order,” says Wittenberg. “Our level of professionalism was good, and we had the right processes and procedures. We only had to address a small number of things. Such as, for example, the screening of potential clients and tightening up compliance. In addition, the AFM sets certain requirements regarding the screening of employees.” Zanders must now provide regular reports on these and many other things. In addition, the AFM can now come by for solicited and unsolicited checks.
“This ‘professionalization’ also makes strong demands on the maintenance of our knowledge,” said Wittenberg. “A lot is changing in the financial world. We are expected to constantly keep abreast of all the latest developments, changes and innovations. We were doing that anyway, so this wasn’t really a problem. The license confirms that our organization operates in the correct, professional manner.”
Advice in financial instruments
The AFM license covers the provision of the service “advice in financial instruments” to non-professional and professional customers. This means that Zanders is now allowed to provide advice at the instrument level on financial and capital market instruments, investment funds and the use of specific derivatives to hedge financial risks.
“We also run our Corporate Finance services, which include advice on securities and capital structures and advice on mergers and acquisitions through the AFM regulation,” says Wittenberg. “This means we can now also be called to account by the AFM for these components. This shows how the AFM license affects the entire organization. It is an important step in further improving our services to our customers. The license shows that Zanders is a reputable and reliable service provider that works for reputable and reliable customers.”
Do the clients notice any difference now that Zanders is under the attentive gaze of the AFM? Wittenberg says: “What our customers mostly notice is that we are able to offer much deeper and broader advice. Unfortunately, there will also be a slight increase in costs. Yet we now offer a much more complete package. Furthermore, for our clients it is of course a nice idea that an independent third party is watching.”
About the AFM
The Netherlands Authority For the Financial Markets (AFM) promotes fairness and transparency within financial markets. The AFM is the independent supervisor of the conduct of the savings, investment, insurance and loans market sectors. The AFM promotes the provision of conscientious financial services to customers and ensures a fair and efficient functioning of capital markets. The aim of the AFM is to strengthen the confidence of consumers and businesses in the financial markets, internationally as well. In this way, the AFM contributes to the prosperity and economic reputation of the Netherlands.
“We also run our Corporate Finance services, which include advice on securities and capital structures and advice on mergers and acquisitions through the AFM regulation,” says Wittenberg. “This means we can now also be called to account by the AFM for these components. This shows how the AFM license affects the entire organization. It is an important step in further improving our services to our customers. The license shows that Zanders is a reputable and reliable service provider that works for reputable and reliable customers.”
Do the clients notice any difference now that Zanders is under the attentive gaze of the AFM? Wittenberg says: “What our customers mostly notice is that we are able to offer much deeper and broader advice. Unfortunately, there will also be a slight increase in costs. Yet we now offer a much more complete package. Furthermore, for our clients it is of course a nice idea that an independent third party is watching.”
