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COB 3.5.5

An Authorised Firm must not Deal in Investments as Agent for a Client, either directly or indirectly, through any broker under a Soft Dollar Agreement, unless:

(a) the agreement is a written agreement for the supply of goods or services described in COB Rule 3.5.4, which do not take the form of, or include, cash or any other direct financial benefit;
(b) Transaction execution by the broker is consistent with any best execution obligations owed to the Client;
(c) the Authorised Firm has taken reasonable steps to ensure that the services provided by the broker are competitive, with no comparative price disadvantage, and take into account the interests of the Client;
(d) for Transactions in which the broker acts as principal, the Authorised Firm has taken reasonable steps to ensure that Commission paid under the agreement will be sufficient to cover the value of the goods or services to be received and the costs of execution; and
(e) the Authorised Firm makes adequate disclosure in accordance with Rules COB 3.5.6 and COB 3.5.7.
Derived from DFSA RM56/2008 (Made 1st July 2008). [VER14/07-08]