BEST EXECUTION, ALLOCATION AND MONITORING POLICY
PURPOSE OF THE POLICY?
The purpose of this policy is to meet our regulatory obligation under Section 103 of the Investment and Securities Act, 2007 and Rules 15.19, 15.23 & 15.37 of The Rules for Regulation as a Dealing Member of the Nigerian Stock Exchange Falcon Securities Limited is required to take all reasonable steps to seek to obtain, when executing orders on behalf of clients or decision to deal, the best possible results for its clients taking into account the criteria and factors set out in this policy.
This policy outlines all the reasonable steps taken by Falcon Securities Ltd to ensure we achieve best execution for all clients and that their order is handled in a fair, just, and timely manner.
This policy sets out Falcon Securities Limited execution methodology and approach in respect of client order execution when taking all reasonable steps to obtain the best possible results in accordance with the requirements of the appropriate regulatory bodies and best practices for its clients when executing or transmitting client orders.
We are also required to execute orders in a prompt, fair and expeditious manner, relative to other orders or the trading interest of the firm. This policy addresses our approach in respect of the aggregation and allocation of orders.
A summary version of this policy will be provided to each client whether Retail or Institutional client.
This policy applies to all trades in financial instruments executed or placed by the firm on the Nigerian Stock Exchange, NASD, FMDQ or any other capital market trade point recognised and authorised by the Securities and Exchange Commission.
In general, the concept of best execution is the act of obtaining a combination of price and commission (if any) in a transaction that is most favorable to the client under prevailing market conditions.
When executing trades on behalf of clients, the traders have a duty to select brokers, dealers, or banks that will enable the firm to obtain best execution for our clients and to comply with any applicable legal requirements. Consequently, the trader must, when executing trades, exercise due care, skill, judgement, and consideration for execution criteria when handling client order.