The Cyprus Securities and Exchange Commission (CySEC) today released a circular with revised criteria for “Significant CIFs.” Regulated financial services firm will now be defined as such and as a result, have higher levels of compliance checks.
According to the new definitions, CIFs with on and off-balance sheet assets on average greater than €100 million over the four‐year period immediately preceding the given financial year, will be considered as Significant CIF.
Requirements
Companies need to decide if they meet these requirements for a Singificant CIF and report their status to regulators withing four months of completion of the financial year.
All Cypriot financial services companies that meet the new criteria of Significant CIFs need to remuneration committee and a risk committee. These committees should be composed of members of the board of directors who do not perform any executive function in the CIF concerned.
The companies are also required to submit their new organisational structure with the CySEC.
The previous circular on Significant CIFs from 2017 defined such companies as having total annual assets of €43 million or commission income of €50 million or holding client money of over €35 million or client assets of €750 million.
Earlier this month, the Cypriot regulator announced enhancing its regulatory capability through new technologies
