BEST EXECUTION, ALLOCATION AND MONITORING POLICY
(ORDER HANDLING)
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.
Policy
Purpose
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.
Scope
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.
Best Execution
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.