Treating Customers Fairly

Firms such as Saxo Capital Markets that are authorised and regulated by the FCA have to adhere to the key principle that requires a firm to “pay due regard to the interests of its customers and treat them fairly”.

Treating customers fairly (TCF) is central to the delivery of the FCA’s retail regulatory agenda, which aims to ensure an efficient and effective market and thereby helping consumers achieve a fair deal.

The specific aims of the TCF initiative are twofold:

• Make it easier for clients to understand the features, benefits, risks and costs of the products which Saxo Capital Markets offer; and
• Reduce the offering of unsuitable products by adhering to best industry practice before, during and after the point of sale.

Leadership

Fair treatment of customers is central to the behavior and values of the Senior Management of Saxo Capital Markets. We communicate messages about the fair treatment of customers effectively, by ensuring that there are appropriate effective systems and controls which are monitored and assessed to ensure that the fair treatment of customers is delivered.

Strategy

Saxo Capital Markets has a clear vision and risk appetite which supports the fair treatment of customers. This is reflected within the formulation and implementation of our strategic decision making process.

Decisions

Decision making at all levels reflects the fair treatment of customers. Saxo Capital Markets uses staff, customer and other external feedback where appropriate, with timely action. The interests of customers are properly balanced against those of our shareholders.

Control

Saxo Capital Markets controls the management of information, which aims to ensure and demonstrate the fair treatment of customers. These controls are integral to Saxo Capital Markets’ risk assessment framework.

Training

The Senior Management of Saxo Capital Markets ensures that positive behaviors and attitudes that encourage the fair treatment of customers is a key criterion in the selection of staff. Managers use TCF performance indicators in the development of its employees by, identifying and acting on poor performance and rewarding good performance.

Rewards

Saxo Capital Markets’ reward framework throughout the business is transparent and supports the fair treatment of customers.

The FCA expects Saxo Capital Markets to be able to demonstrate that we are consistently delivering fair outcomes to our customers and the FCA will measure our performance against the following six TCF Outcomes:

• Consumers can be confident that they are dealing with firms where fair treatment of customers is central to the corporate culture
• Products and services marketed and sold in the retail market are designed to meet the needs of identified consumer groups and are targeted accordingly
• Consumers are provided with clear information and are kept appropriately informed before, during and after the point of sale
• Where consumers receive advice, the advice is suitable and takes account of their circumstances
• Consumers are provided with products that perform as firms have led them to expect and the associated service is of an acceptable standard and as they have been led to expect
• Consumers do not face unreasonable post-sale barriers imposed by firms to change products, switch provider, submit a claim or make a complaint

If you would like further information please email us at UKcompliance@saxomarkets.com or visit the FCA Website.