S.L. 370.46 Art. 18Prudential supervision of an investment firm. S.L. 370.10. 25

(1) The prudential supervision of an investment firm, including that of the activities it carries out in accordance the

European Passport Rights for Investment Firms Regulations shall be the responsibility of the competent authority when such an investment firm is licensed in Malta, without prejudice to those provisions of the CRD and MiFID which give responsibility to the European regulatory authorities of the host Member State.

(2) Sub-regulation (1) shall not prevent supervision on a consolidated basis in terms of regulation 3.

(3) Where the branch of an investment firm authorised in a Member State other than Malta, is established in Malta, any measures taken by the competent authority with respect to such branch shall not allow discriminatory or restrictive treatment on the basis that the investment firm to which the branch belongs is authorised in another Member State.

Part III - Supervision of Mixed Activity Holding Companies and their subsidiaries and of Mixed Financial Holding Companies