Disclosure Requirements – Investment Funds – Netherlands

19.03.2019

Disclosure Category: 1

Clearstream Banking S.A (“CBL”) may be required under the Netherlands anti-money laundering and prevention of terrorism laws to disclose, upon request, in the case of holding investment funds in the Netherlands.

Consent

In order to comply with the applicable legislation, customers with holdings in Dutch investment funds or entering into transactions in the Netherlands market must consent, and are hereby deemed to consent, to the required legal disclosure. Such consent includes the appointment of the requestor (for example, the Fund Manager, Transfer Agent, Regulator) as their attorney-in-fact, under power of attorney, to collect from CBL the required information to be disclosed. Customers who do not grant such authority cannot hold such investment funds / financial instruments in their accounts with CBL.

Background and legal basis

Customers are advised that local laws and regulations may require CBL to disclose information on CBL customers and beneficial ownership to the authorised requestors (for example, the fund manager and its agents, the regulators).

Legal basis for disclosure requirement may arise from the following:

  • Know Your Customer (KYC) / Customer Due Diligence (CDD) requirements
  • Money Laundering and Terrorist Financing (Prevention) Act (Wwft)

Sanctions

The investment fund may refuse or even terminate the business relationship if CBL customers or ultimate beneficial owners fail to comply with the disclosure request.

Disclaimer

The information contained in the Disclosure Requirements is based on the legal opinion obtained by CBL that was issued on 9 December 2016. CBL believes the information to be correct as of that date but disclaims any responsibility as to the accuracy and completeness of the information after that date. In the case of discrepancy between the information provided by CBL and the local laws and regulations, the latter shall prevail. The Disclosure Requirements do not constitute legal advice and customers should seek advice from independent professional counsel.

Customers are responsible for ensuring compliance with the disclosure requirements and agree to indemnify and hold harmless, CBL, for any loss, expense, liability, damage or claims, whether direct or indirect, against or incurred by CBL arising out of or resulting from such non-compliance.