On 11 October 2022, the Dutch Central Bank (De Nederlandsche Bank, DNB) published a news item in which it reminds investment firms and UCITS managers about their obligations in relation to the declaration no objection (verklaring van geen bezwaar, DNO) that holders of a qualifying holding in these regulated entities are required to obtain. It is prohibited in the Act on the Financial Supervision (Wet op het financieel toezicht) to acquire or increase a qualifying holding in an investment firm or UCITS manager without having first obtained a DNO from DNB. A (legal or natural) person is deemed to have a qualifying holding if it, directly or indirectly, holds or controls at least 10% or more of the capital or voting rights (or have an equivalent form of control) in an investment firm or UCITS manager. The primary purpose of this review is for DNB to assess the financial solidity and integrity of the parties with a qualifying holding.

DNB has recently noticed that it has become increasingly common for a party to acquire a qualifying holding in an investment firm or in a manager of UCITS without first having obtained a DNO. DNB has warned that it will follow-up with enforcement action if it finds that a party is in breach of the obligation to obtain a DNO. DNB calls on all (indirect) shareholders of investment firms and UCITS managers to check whether they have obtained a DNO and whether this DNO has the correct bandwidth (20, 33%, 50% or 100%) in relation to their holding. If this is not the case, this should be notified to DNB immediately.

In addition, investment firms and UCITS managers themselves have an obligation to annually notify DNB of their qualifying holders and any relevant changes in that regard. DNB expects investment firms and UCITS managers to comply with this obligation. If an investment firm or UCITS manager has so far not yet provided DNB with its notification for 2022 it should do so immediately.

Photo of Nikolai de Koning Nikolai de Koning

Nikolai de Koning is a financial services lawyer (advocaat) based in Amsterdam. Nikolai is experienced in financial services and banking law, as well as in data privacy (protection). He is experienced in advising on regulatory and compliance aspects relevant to financial…

Nikolai de Koning is a financial services lawyer (advocaat) based in Amsterdam. Nikolai is experienced in financial services and banking law, as well as in data privacy (protection). He is experienced in advising on regulatory and compliance aspects relevant to financial institutions, such as insurance companies, investment firms, clearing institutions and central counterparties. Nikolai also advises on Dutch licence and notification requirements and he assists companies in their licence or notification processes with the Dutch financial regulators. He also specialises in privacy issues arising out of online products, data protection and e-commerce.

Photo of Julia van der Grint Julia van der Grint

Julia van der Grint is a financial services lawyer based in Amsterdam.

She advises clients on a wide range of regulatory and compliance aspects relevant to financial institutions, such as investment firms, trading platforms, payment institutions, insurers, fund managers and clearing and settlement…

Julia van der Grint is a financial services lawyer based in Amsterdam.

She advises clients on a wide range of regulatory and compliance aspects relevant to financial institutions, such as investment firms, trading platforms, payment institutions, insurers, fund managers and clearing and settlement institutions. Julia has developed particular knowledge of blockchain and cryptocurrencies, and advises crypto-asset services providers, crypto exchanges, payments providers and financial institutions on the regulatory issues related to the deployment of these technologies. She also advises on Dutch licence application and notification requirements and assists companies in their licence or notification processes with the Dutch Authority for Financial Markets and the Dutch Central Bank. Additionally, she assists companies in their contacts with these supervisory authorities and represents companies in enforcement procedures.

In addition, she has previously advised banks, other financial institutions and corporates in an array of transactions, both domestic and cross-border. This includes, among others, advising lenders and lender-groups in corporate restructurings and other insolvency related matters.

Prior to joining the team as an associate, Julia gained experience with the Amsterdam office as a student worker.