IOSCO: Suitability requirements with respect to the distribution of complex financial products

IOSCO has published its final report on the above, which sets out principles relating to the distribution by intermediaries of complex financial products to retail and non-retail customers. These nine principles cover the following areas: classification of customers; general duties irrespective of customer classification; disclosure requirements; protection of customers for non-advisory services; suitability protections for advisory services (including portfolio management) compliance function and internal suitability policies and procedures; incentives and enforcement.