3123. Non-executing Dealer Member best execution policies and procedures

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    1. A Dealer Member that engages another Dealer Member to provide execution services on its behalf may include in its policies and procedures for best execution a link to the executing Dealer Member’s best execution disclosure to comply with its obligations under clause 3122(1)(ii) and sections 3126 and 3129, provided that the non‑executing Dealer Member’s policies and procedures for best execution specifically address the following:
      1. the non‑executing Dealer Member must conduct an initial review of the best execution disclosure of the executing Dealer Member and a review when material changes are made to the disclosure, to provide reasonable assurance that the executing Dealer Member’s policies and procedures for best execution are complete and appropriate for its clients,
      2. the non‑executing Dealer Member must obtain an annual attestation from the executing Dealer Member that it has complied with and tested its  policies and procedures on best execution in accordance with sections 3119 through 3129, and 
      3. the non‑executing Dealer Member must follow‑up with the executing Dealer Member if it identifies trade execution results that are inconsistent with the executing Dealer Member’s best execution disclosure and document the results of its inquiry.

    There is no history log for this rule.

    There is no history log for this rule.