General Regulation


Marketing Intermediation in miscellaneous property

Intermediation in miscellaneous property

Published on December 3, 2014

Law n° 83-1 of 3 January 1983 on the development of investments and protection of retail savings sets out the rules governing marketing of miscellaneous assets. This system, completed by Law n° 2013-344 of 17 March 2014 on consumption, is codified in Articles L. 550-1 and following of the Monetary and Financial Code.
The AMF is in charge of regulating intermediaries in miscellaneous property. Depending on the characteristics of the product, it does so ex ante, meaning before any advertising or direct marketing of the product, or ex post.

Miscellaneous property subject to ex ante control by the AMF

In accordance with Article L. 550-1, Paragraph I of the Monetary and Financial Code, the system on intermediation in miscellaneous property applies to the following:

  • whoever, directly or indirectly, by means of advertising or direct marketing, regularly invites third parties to subscribe to life annuities or to acquire title to movable or immovable property where the acquirers do not perform the management thereof themselves or where the contract offers a buy-back or exchange option with revaluation of the capital invested,
  • whoever collects funds to that effect,
  • whoever is in charge of managing said property.

Prior to any advertising or direct marketing, an application file must be submitted to the AMF comprising, among other things, a document intended to provide all relevant information to the public on the proposed operation, on the person taking the initiative and on the manager (see Article L. 550-3 of the Monetary and Financial Code), in accordance with the COB instruction of March 1986. This document must include all the information necessary for investors to inform their investment decision (see Article 431-1 of the AMF General Regulation).

The AMF has a period of 30 days from the date of submission of the file, which it may extend to 60 days by a reasoned decision, to make any observations. Advertising and direct marketing many only be undertaken once the observations have been complied with or once the abovementioned period of time has expired. Regarding any advertising, the law provides that it must be clearly identifiable as such, present accurate, clear and non-misleading content and reasonably allow an understanding of the risks relating to the investment.

Miscellaneous property subject to ex post control by the AMF

Law n° 2013-344 of 17 March 2014 on consumption established a second category of intermediaries in miscellaneous property in order to regulate offers that do not fulfil the criteria of the first category which is subject to ex ante control by the AMF. Article L. 550-1, Paragraph II of the Monetary and Financial Code provides that whoever proposes to one or more clients or potential clients to acquire rights to one or more assets, emphasising the possibility of a direct or indirect financial return or having a similar economic effect, are also intermediaries in miscellaneous property.

Unlike the first category of miscellaneous property, the AMF does not control the information delivered to investors prior to marketing.

However, the AMF may request the advertising material at any time to check that it complies with the same requirements as the first category of miscellaneous property, meaning that it must:

  • be clearly identifiable as such;
  • present accurate, clear and non-misleading information;
  • allow a reasonable understanding of the risks relating to the investment.

Products excluded from the intermediation in miscellaneous assets systemThe rules relating to intermediation in miscellaneous property do not apply to proposals pertaining to:
>bank transactions;
>financial instruments and equities;
>transactions governed by the Insurance Code, by the Mutual Insurance Code and by the Social Security Code;
>acquisition of rights to housing and commercial or professional premises or land for the construction of such housing or premises.

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Legal information
Head of publications: The Executive Director of AMF Communication Directorate.
Contact: Communication Directorate – Autorité des marches financiers 17 place de la Bourse – 75082 Paris cedex 02