Pan-European financial advisory license opening World’s biggest single European Brokerage, Forex and investment advisory market of almost 500 million consumers and over 20 million businesses. One license for all Europe under the European MIFID Directive.
EU Directive 2004/39/EC on Markets in Financial Instruments Directive MiFID allows investment advisors, securities brokers, foreign exchange (Forex) service providers licensed in one European Union (EU) member state offer their services all across single European financial market of European Union and European Economic Area (EU/EEA). MiFID creates coherent regulation of financial and investment services in all EU/EEA.
One investment advisory, brokerage, Forex license for all Europe
MiFID licensed Brokerage, Forex and investment advisory companies allowed provide services to the clients in any other EU/EEA member state, including big national markets such as Germany and France, without any additional licensing. License passporting procedure is very simple and takes one month. Regulators from other EU member states are restricted to implement any additional regulations or barriers.
Lithuanian national regulation allows directors of the company, dealers and brokers to reside outside Lithuania enabling them to be near their clients.
Lithuanian licensed companies are allowed to be direct members of the stock exchanges, depositories and clearinghouses registered in any other EU jurisdiction without any restrictions. This creates safe, efficient and cost effective pan-European investment advisory, securities brokerage and Forex dealing vehicle opening single European financial market at low cost.
Modern financial infrastructure makes Lithuania and its capital Vilnius very attractive place for international investment companies. Attraction of the international investment and fund management companies is the publicly declared policy of the Lithuanian Government and Regulator. Business oriented regulatory approach and significantly lower finance institution incorporation, licensing and maintenance costs makes Lithuania preferred jurisdiction for investment advisers and manages targeting European market. Creator of the world’s first electronic stock market Nasdaq has strong presence in Lithuania and Baltics establishing Nasdaq Technology and Business Support Competence Center in Vilnius. Nasdaq Stock Exchanges in Tallinn, Riga and Vilnius form the Baltic Market, the core idea of which is to minimize the differences between the markets in order to facilitate cross-border trading. Central Securities Depository in Lithuania, Latvian and Estonian is also owned by Nasdaq providing high-level depository services. International banks SEB, Swedbank, DnB based in Lithuania together with local rivals provides world-class financial infrastructure for investors and FinTech start-ups. Possibility to outsource relatively cheap services from the local service providers gives strong competitive advantage comparing to other European jurisdictions.
Why Lithuania is top jurisdiction in Europe for brokerage and investment advisory licensing
- Fast licensing process.
- No particular requirement for company directors to reside in Lithuania.
- The documents can be submitted in English.
- Regulatory sand box. The Bank of Lithuania is committed to support star-ups and not to punish them during the first years of operation for minor infringements.
- Start-up visa. Special residence permits for the citizens of non-EU/EEA countries running innovative businesses in Lithuania.
- Possibility to be the direct members of stock exchanges, depositories and clearinghouses in any other EU jurisdiction.
Being part of ECOVIS International consulting network present in more than 80 counties around the world ECOVIS ProventusLaw currently is the most experienced financial licensing advisor in Lithuania. ECOVIS licensed more than 35 different finance institutions including big names deVere and Instarem (Nium), Contis Group setting up their European operations in Europe. ECOVIS ProventusLaw provides all the necessary services for the bank licensing, including preparation of licensing documentation, representation at the Bank of Lithuania (Regulator) during the licensing procedure, company incorporation, office registration, advice on IT, HR, AML compliance and other matters rising during the incorporation of investment business in Europe. After the licensing procedure completed, ECOVIS offers accounting, reporting, audit, compliance and legal services for the operational business.
More about FinTech companies registration and licensing in Lithuania – http://ecovis.lt/fintech/