(1) An investment firm shall ensure and demonstrate to the Bank on request that individuals giving investment advice or information about financial instruments, investment services or ancillary services to clients on behalf of the investment firm possess the necessary knowledge and competence to fulfil their obligations under Regulation 32 and this Regulation.

(2) The Bank shall publish criteria to be used by the Bank to assess the knowledge and competency of the individuals referred to in paragraph (1).

(3) When providing investment advice or portfolio management an investment firm shall obtain the necessary information about -

(a) the client's or potential client's knowledge and experience in the investment field relevant to the specific type of product or service offered to the client by the investment firm,

(b) the client's or potential client's financial situation, including his or her ability to bear losses, and