Order Execution Arrangements

Order Execution Arrangements

Overview

The Markets in Financial Instruments Directive (MiFID), a European directive which aims to harmonise the operation of financial markets across Europe, requires that we provide clients with information concerning our execution policies in respect of transactions we undertake on your behalf.

The overriding requirement is that we must take all reasonable steps to obtain the best possible result, taking into account price, cost, speed, likelihood of execution and settlement, size, nature and any other consideration relevant to the execution of the order.

The weighting between these criteria may vary from order to order, but generally we will give the highest priority to price, speed of execution and likelihood of execution in deciding which of our selected execution venues is the most appropriate for your order.  Factors such as the size of the order, the type of investment and liquidity of that investment will also be considered in our endeavour to deliver the best overall result in executing client transactions.

Execution Venues

The execution venues we may use will be Regulated Markets including the London Stock Exchange and ISDX, Multilateral Trading Facilities (MTF) and Retail Service Providers (RSP). However in exceptional circumstances we reserve the right to use other venues if the nature of the order requires us to do so.

To the best of our ability we will not, without your specific consent, execute transactions in shares that are capable of being executed on a Regulated market or MTF, away from these venues.  These are known as Over The Counter (OTC) trades.  We will, however, on occasion offer clients the opportunity to participate in transactions where Beaufort Securities is acting as principal.  These transactions will be offered at or less than the closing offer price available on the relevant Regulated Market or MTF or the prevailing offer price at the time when Beaufort Securities no longer has a position, whichever is the earlier.  Thus a client will not purchase principal shares at a worse price on the day than would have been available on the relevant market.

Where available we may cross a client’s order with that of another opposing client. 

All the above orders will be deemed as executed ‘on exchange’ and will be reported as required to a regulated exchange.

Specific Instructions

If a client provides us with a specific instruction to deal for them it may prevent us from following our Order Execution Policy which is designed to get the best overall result for the execution of orders on a consistent basis.

Limit Orders

 Advisory clients will be able to place limit orders in the market only. These orders will either be left with the market to execute and will be generally ‘good till dealt’ or ‘good for the day’ or will be placed on an electronic trading facility of the Regulated Market.

Monitoring & Review

Beaufort Securities regularly reviews its Order Execution Policy and may add to or remove the venues where we execute our trades without reference to you.  Full Details of the execution venues currently employed by us will be made available upon request.

Any amendment to the Order Execution arrangements detailed above will be made on our website at www.beaufortsecurities.com and clients should monitor this site on a regular basis to establish if amendments have been made.  Clients may request a hard copy of this statement at any time.