Investments

MiFID, Financial Information and Investment profiles

The European MiFID directive (Markets in Financial Instruments Directive) came into force on 1 November 2007.. The objective of this directive is to establish a harmonised regulatory framework for the trade in financial instruments.

Advantages of MiFID
  • More protection: as a client, you are better protected when making investment decisions.
  • More information: you receive clear and detailed information with every service, depending on your investment profile.
  • Optimal management: you are certain that the bank performs your orders in the best possible way.

Investment profiles

In connection with the MiFID regulations governing investor protection, ING Belgium has implemented several types of investment profile for its individual customers and Personal Banking. These are all classed as "non-professional customers" under these regulations, which means they benefit from the highest level of protection.

The test is based on a questionnaire which asks the customer about several subjects: their knowledge and experience of investments, their investment objectives and financial situation, and their investment horizon and their attitude to risk.

The result of the questionnaire determines your profile
  • You have a Conservative investment profile:
    Protection of your capital is essential for you. In order to benefit from a potential additional return, you are prepared to take a limited risk on your capital**. You want to avoid fluctuations.
    You have an investment horizon of at least 3 years.
    Your portfolio is mainly composed of bonds and cash, but may contain up to 20% of equities (and/or assimilated products).
  • You have a Moderated investment profile:
    Protection of you capital is important to you. In order to benefit from a potential additional return*, you are prepared to take moderate risks on your capital**, and you therefore accept moderate fluctuations.
    Your investment horizon is from 3 up to 5 years.
    Your portfolio is mainly composed of bonds and cash, but may contain up to 40% of equities (and/or assimilated products).
  • You have a Balanced investment profile:
    You are looking for a balance between stability and growth of your capital. With a view to a potential higher return*, you are willing to take a calculated risk on your capital** and you accept that this can fluctuate.
    Your investment horizon is at least 5 to 7 years.
    Your portfolio provides a balance between equities (50%) and bonds and cash (50%) (and/or assimilated products).
  • You have a Dynamic investment profile:
    You seek the growth of your capital in the long term. In order to achieve a potential high return*, you dare to take risks on your capital** and this can be to a large extent and suddenly.
    Your investment horizon is at least 7 years.
    Your portfolio is mainly composed of equities and for a limited part bonds and cash (and/or assimilated products).

The transactions are executed in connection with structural investment advice*** and as a result, must respect the asset weighting recommended in accordance with the customer's investment profile.

Notes:
  • The asset weighting is verified in the securities account. This involves checking the financial instruments held on the securities account, including investment plans. The following products are disregarded: Star Fund, branche/tak 21 and 23 insurance, and savings products.
  • Only orders made following the provision of advice are taken into account: transactions carried out by the customer via Home’Bank may influence the distribution of assets.
  • Analysis at the point of transaction always ensures compliance with the maximum authorised percentages.
  • Changes in the market value of instruments may affect the proportion of certain financial instruments in the portfolio. In addition, slight deviations from the maximum authorised percentages mentioned can be justified by circumstances.
  • Investment advice is provided either at the request of the customer or on the initiative of ING. ING gives its advice based on a selection of funds from its preferred partners, as well as a range of structured notes. ING does not proactively offer advice to customers on secondary market financial instruments or on primary issues and IPOs. These financial instruments may, however, be subscribed to if the customer expressly requests it. In this case, ING verifies the suitability of the financial instrument for the investment profile established, but does not then proactively monitor these products.

* In euros

** Upon maturity date

*** With the exception of occasional orders placed by telephone via our helpdesk (these transactions are executed on the basis of ad-hoc investment advice).

  • In the case of an investment plan or savings or investment insurance (branche/tak 21 or 23), transactions are executed in connection with ad hoc (periodic) investment advice. This is advice regarding the financial instrument concerned and the customer's investment profile. It does not, however, take into account the overall distribution of the customer's portfolio.
  • When a customer has no knowledge or experience of a particular type of instrument, ING Belgium will not sell them an instrument of this type via the face-to-face or PhoneʼBank channels.

In the case of a product that falls into the 'simple' category (according to current legislation from May 2014 relating to listed equities and collective investment undertakings), the customer can purchase the desired product in HomeʼBank via the 'execution only' service, and the suitability of such an investment is not verified.


Comparative table

The following table indicates the recommended asset percentages (the "average") and the maximum authorised percentages. These maximum percentages must never be exceeded as a result of the advice given.

Equities and/of assimilated products Bonds and cash and assimilated products
Minimum 0 80
Average 10 90
Maximum 20 100
Equities and/of assimilated products Bonds and cash and assimilated products
Minimum 0 60
Average 25 75
Maximum 40 100
Equities and/of assimilated products Bonds and cash and assimilated products
Minimum 0 35
Average 50 50
Maximum 65 100
Equities and/of assimilated products Bonds and cash and assimilated products
Minimum 0 0
Average 75 25
Maximum 100 100

Financial information brochures
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