Lambay Capital Limited

BACKGROUND Lambay’s status as a CRD IV Exempt FOR Firm Lambay is authorised by the Central Bank under the MiFID Regulations to perform the investment services of receipt and transmission of orders, execution of orders on behalf of clients, foreign exchange services and portfolio management. In light of the limited scope of its authorisation Lambay is a “CRD IV Exempt Firm.” As such, Lambay is not, prima facie, subject to the full range of EU risk reporting requirements. However, Article 95(2) of the CRR assigns to the Central Bank a discretion to continue to set the own funds requirements for a subset of CRD IV Exempt Firms as the own funds requirements that were binding on those firms at national level immediately prior to the coming into force of the CRR on 1 January 2014. Lambay is a member of this subset of firms, known as “CRD IV Exempt FOR Firms” because it is authorised to provide execution services and portfolio management. The Central Bank has exercised its Article 95(2) discretion and communicated this to firms. As a result of the Central Bank’s exercise of its discretion, CRD IV Exempt FOR Firms’ risk reporting obligations continue to reflect the requirements of Regulation 11(1) of the European Communities (Capital Adequacy of Investment Firms) Regulations 2006 S.I. No. 660 of 2006 (the “Capital Adequacy Regulations 2006”) which required a firm’s own funds to be determined in accordance with Directive 2006/48/EC.