AFM initiates consultations concerning the draft policy rule cash settled instruments and obligation to notify

The AFM has drawn up a draft policy rule in which the method for calculating the number of shares to which financial instruments relate has been included and in which circumstances a basket or index of shares come under the obligation to notify.

The AFM requests interested parties to comment on this draft of the policy rule. The AFM has the following questions in this connection:

  1. Do you agree to the purport and content of this policy rule?
    If not, what do you disagree with and for what reasons?
  2. Do you envisage problems in the implementation of this policy rule?
    If so, what problems do you envisage, for what reasons and how can this be prevented or resolved in your problems?
  3. What amendments do you consider necessary?

Consultation document

Please submit your responses via  stating 'consultation' before 16 December 2011 at the latest. You can download the consultation document here:

The Minister of Finance has indicated that it is up to the Netherlands for the Financial Markets (AFM) to determine what methods should be used to calculate the number of shares in the issuer to which the relevant financial instruments relate and in what circumstances a 'basket' or index of shares comes under the obligation to notify.

The legislative proposal to amend the Financial Supervision Act in connection with the introduction of an obligation of a notification to notify concerning the certain cash settled instruments was presented to the Lower House in May 2011. The current rules as described in Chapter 5.3 of the Financial Supervision Act concerning the notification of votes, capital, holdings and capital interests in issuers are expanded as a result of the proposal. The entry into effect is envisaged for 1 January 2012.


The AFM promotes fairness and transparency within financial markets. We are the independent supervisory authority for the savings, lending, investment and insurance markets. The AFM promotes the conscientious provision of financial services to consumers and supervises the honest and efficient operation of the capital markets. Our aim is to improve consumers’ and the business sector’s confidence in the financial markets, both in the Netherlands and abroad. In performing this task the AFM contributes to the prosperity and economic reputation of the Netherlands.

The AFM is committed to promoting fair and transparent financial markets.

As an independent market conduct authority, we contribute to a sustainable financial system and prosperity in the Netherlands.

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