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Italy's securities regulator has issued a detailed response to a query regarding informational activities undertaken by an e-money institution operating in the country.
The Commissione Nazionale per le Società e la Borsa (Consob) issued a response to a question regarding “the activity of segnalazione di pregi carried out by a company authorised to operate as an electronic money institution (EMI) in conjunction with the provision of technological and payment infrastructure to the reported subjects”.
The query, submitted by an unnamed company, sought clarification on whether an e-money institution could provide information about the services of third-party partners, including investment firms and asset management companies, through its app.
The company described a model where its mobile app integrates third-party application solutions, allowing customers to access partner services without leaving the app.
This includes settling payments directly from e-money accounts held with the e-money institution for services such as mutual fund subscriptions and financial services.
The process involves a "gateway screen" that separates the e-money institution's app environment from that of the partners, ensuring clear identification of the service provider.
In its response, Consob has said that the operating model envisaged by the company in question would possess markedly promotional characteristics, as it would allow immediate and direct interaction with the user within a multi-phase process aimed at concluding the contract with the intermediary partner.
“In this sense, it would appear that overall there is an activity in which this company would become a necessary and essential subject for the (indirect) supply to its customers of the products/services of the partner entities,” the response says.
Consob concluded that this activity appears suitable to assume a "pre-negotiation/quasi-negotiation" nature typical of the promotional activity for which authorisation to provide the placement investment service is required.
The regulator emphasised that although informing customers about partner services is allowed, providing technological and payment infrastructure that enables direct engagement with these services could constitute promotional activity, and thus require authorisation for placement services.
