Transactions with eligible counterparties; authorisation to issue statutory instruments

(1) Investment services undertakings that provide principal broking business, investment and contract broking, and dealing on own account, together with ancillary investment services directly connected with them, to eligible counterparties, are not bound by the requirements of section 63(1), (3) to (10), (12), first and second sentences, section 64(1), first sentence, (3) to (8), section 69(1), sections 70, 82, 83(2) and section 87(2). The first sentence does not apply insofar as the eligible counterparty has agreed with the investment services undertaking, for all or particular transactions, to be treated as a professional client or as a retail client. Investment services undertakings must, in their relationship with eligible counterparties, communicate in a way that is honest, clear and not misleading, having regard to the form of the eligible counterparty and its business activity.
(2) Further provisions on subsection (1), in particular on the form and content of an agreement under subsection (1), second sentence, and on the manner of consent under section 67(4), second sentence, are laid down in Article 71 of Delegated Regulation (EU) 2017/565.