New Measures Implemented by Crédit Agricole Monaco to Prevent Fraudulent Transactions

Crédit Agricole Monaco (CFM Indosuez Wealth) has introduced new measures to strengthen its commitment to transparency and fairness, aimed at preventing fraudulent transactions and conflicts of interest.

Regulatory Framework

The bank’s approach is guided by the Monegasque law, specifically Law No. 1.338 of September 7, 2007 on Financial Activities. The Sovereign Order No. 1.284 of September 10, 2007 implementing this law requires authorized companies to adhere to prudential and good conduct rules.

Defining Conflicts of Interest

A conflict of interest is any situation where a person or entity’s independence or integrity may be influenced by personal considerations or pressure from a third party. Potential conflicts can arise when the bank or its representatives stand to gain financially at the expense of clients, prioritize the interests of one client over another, or have overlapping professional activities.

Measures Implemented

To mitigate these risks, CFM Indosuez Wealth has established an organizational structure, internal procedures, and controls to detect and manage potential conflicts. The key measures implemented by the bank include:

• Identification of Potential Conflicts: The bank has identified situations likely to cause conflicts and put in place processes to detect and manage them.
• Segregation of Tasks: CFM Indosuez Wealth has segregated tasks and activities to minimize the potential for conflicts.
• Compliance Monitoring: The Compliance Department actively monitors for conflicts, particularly during committee meetings that govern the bank’s operations.
• Reporting Obligations: Members of the Board of Directors and Authorized Management must disclose any public or private mandates they hold and explain why they do not believe they are affected by conflicts of interest in their business dealings with the bank.

Principles and Procedures

In managing conflicts of interest, CFM Indosuez Wealth adheres to the principle of primacy of clients’ interests over those of the bank or its representatives. The Head of Compliance is responsible for implementing these principles and resolving conflicts through measures such as eliminating the conflict, abstention, or informing the client.

Client Notification

CFM Indosuez Wealth aims to inform its clients of the possibility of conflicts arising and provide them with a specialized function to ensure compliance with fundamental ethical principles.