NatWest Corporates and Institutions

Foreign Exchange Means of Payment Exclusion

Please note that no part of this information constitutes advice from NatWest Markets to you. NatWest Markets does not owe any fiduciary duties to you in connection with this, and/or any related transaction and no reliance may be placed on NatWest Markets for any representation made by you. You should seek your own independent advice before making any representation.

Background

Previously there were differences across the EU in terms of how FX Forwards were treated for the purpose of MiFID and other financial regulations. The new rules (MiFID2) attempt to harmonise the treatment of FX forwards across the EU.

Those FX forwards used for the purposes of payment facilitation (eligibility criteria below) will not be classed as financial instruments. Rather they will be treated in the same way as spot FX, and will therefore not be subject to certain financial regulations (such as MiFID 2 and EMIR).

Please note that no part of this information constitutes advice from NatWest Markets to you. NatWest Markets does not owe any fiduciary duties to you in connection with this, and/or any related transaction and no reliance may be placed on NatWest Markets for any representation made by you. You should seek your own independent advice before making any representation.