Order execution policy

1. Purpose

1.1 Introduction

1.1.1 The Markets in Financial Instruments Directive (“MiFID”) requires Thesis to provide our clients with appropriate information on our Policy for obtaining best execution that we will follow when placing orders with other entities for execution that results from our decision to deal in financial instruments on your behalf.

2. Our Obligation

2.1 Thesis is obliged to take all reasonable steps to obtain the best possible result for clients when placing an order for execution, taking into account the factors that can affect execution. We also have an obligation to implement procedures which provide for the prompt, fair and expeditious execution of client orders in relation to other client orders.

3. Scope

3.1 This Policy applies only to those customers that have been classified by Thesis as “Professional Clients” or “Retail Clients”, in accordance with the MiFID defined term. This Policy is not applicable to “Eligible Counterparties” or to clients that make their own trading decisions and trade completely at their own discretion.

3.2 The policy only applies to trading undertaken in respect of financial instruments in accordance with the MiFID defined term.

4. Specific Instructions

4.1 Where Thesis is given specific instructions with regards to the execution of an order, we will execute the order in accordance with the specific instructions given. Such instructions may prevent us from taking the steps set out in our policy to obtain the best possible result for the execution of your order in respect of the elements covered by those instructions. On such occasions executing your instructions satisfies our obligation to take reasonable steps to obtain the best possible result for the execution of your order.

5. Execution Factors

 5.1 The factors which must be accounted for in any best execution determination include:

  • price, which may include explicit transaction costs, bid-ask spread or net price;
  • implicit transaction costs or market impact;
  • potential speed of execution;
  • likelihood of execution and settlement;
  • size and nature of the order;
  • price momentum before and during order execution;
  • any other considerations relevant to the execution of the order.

5.2 The relative importance of these factors may change depending on the specific order at hand. We must consider these factors in light of:

  • Information about market conditions;
  • characteristics of the order;
  • nature of the financial product;
  • characteristics of the client’s investment objectives, attitude to risk, etc.;
  • characteristics of the potential execution venues.

5.3 Each of these factors will play a part in determining the priority of the execution factors for any specific order. While price will often have a priority ranking, the total consideration is a function of the priority given to the other factors.

6. The Role of Price

6.1 For a retail client, the best possible result will always be determined in terms of the “total consideration”. The total consideration represents:

  • The price of the financial instrument; and
  • The costs related to execution, which will include any expenses incurred by you which are directly related to the execution of your order. This can include:
    • Execution venue fees;
    • Clearing and settlement fees; and
    • Any other fees paid to third parties involved in the execution of the order.

6.2 Therefore when dealing for you or on your behalf, obtaining the best result in terms of total consideration will take precedence over the other execution factors listed above.

6.3 This means that speed, likelihood of execution and settlement, the size and nature of the order, market impact and any other implicit transaction costs will be given precedence over the immediate price and cost consideration only insofar as they are instrumental in delivering the best possible result in terms of the total consideration to you.

7. Execution Entities

7.1 Where we owe a client a Best Execution Obligation, we may place orders for execution using a variety of different entities. These will include ones that we believe will enable us to obtain on a consistent basis the best possible result on behalf of our clients. The nature of the product or instrument that is to be traded as part of an order will determine the individual entities that we may be able to use to execute the order. For specific products we may have access to only one type of entity or only a single entity.

7.2 Client orders may be executed through the following different types of entities open to Thesis including:

  • markets having regulated market status under MiFID;
  • trading platforms having multi-lateral trading facility (“MTF”) status under MiFID;
  • custodian’s broking arm;
  • subscriptions to fund or private equity in the name of the client or their custodian;
  • Unit Trust / ICVC operators/Authorised Corporate Directors;
  • Investment firms offering broking facilities;
  • other OTC sources of liquidity such as:
  • order crossing networks and electronic trading platforms not having regulated market or MTF status under MiFID;
  • other broker dealers and market makers.

7.3 By using OTC sources of liquidity we will be executing client orders outside a regulated market or MTF. You may choose not to have us access OTC sources of liquidity, though this may restrict our ability to execute orders in certain types of instrument or product and/or to obtain the best possible result when executing those orders on your behalf.

7.4 Thesis will typically pass an order to your custodian or a broker for execution. In such cases we will only consider approved and vetted brokers that have execution arrangements that enable us to comply with our obligations to provide best execution and to act in the clients’ best interests.

8. Client Limit Orders

8.1 Unless a client expressly instructs otherwise, we are required to put on immediate public display all unexecuted limit orders in shares admitted to trading on a regulated market.

8.2 By consenting to this policy you are agreeing to Thesis making public your unexecuted client limit orders.

9. Monitoring and Reviewing

9.1 Thesis will monitor the effectiveness of its order execution arrangements and order execution policy in order to identify and, where appropriate, incorporate any amendments to procedures. We will assess, on a regular basis, whether the execution venues included in the order execution policy provided for the best possible result for its clients or whether it needs to make changes to its execution arrangements.

9.2 The order execution arrangements and policy will be reviewed at least annually or whenever a material change occurs.

10. Disclosure

10.1 The Order Execution Policy is provided to clients via the Thesis website. We must obtain the express permission of our clients, and this is reflected within the various agreements.

Appendix 1: Execution Venues

This must be consistent with those brokers approved under the Broker Approval & Due Diligence Policy.

Equities and ETFs:

  • A J Bell Securities Limited;
  • Winterflood Securities;
  • Stifel Nicolaus Limited (formerly Oriel Securities Limited);
  • Canaccord Genuity Limited;
  • Numis Securities Limited;
  • Peel Hunt LLP;
  • J P Morgan Securities Limited;
  • Fidante Capital (formerly Dexion Capital plc.)
  • Susquehanna Securities Limited
  • Bloomberg Tradebook Limited

Fixed Interest:

  • A J Bell Securities Limited;
  • Winterflood Securities;
  • Peel Hunt LLP.
  • Canaccord Genuity Limited;
  • J P Morgan Securities Limited;

Structured Products

  • Product Provider or 3rd party “supermarkets”


  • ADM Investor Services International Limited (ADMISI)

Collective Investment Schemes:

  • Orders for Collective Investment Scheme units/shares will generally be conducted directly with the fund’s administrator/custodian. We will regularly review this arrangement to ensure that it continues to minimise the total consideration for clients and remains consistent with the best possible result requirements.

Foreign Exchange:

  • AJ Bells Securities Limited

Click here for a pdf of the policy