EERP Code of Conduct
Approved by the Sole Administrator on 8 June 2026 · Version 1.0
PREAMBLE
European Equity Research Partners, S.L. (hereinafter, «EERP» or the «Company»), incorporated in Spain as a limited liability company, registered in the Commercial Registry of Valencia, with tax identification number (CIF) B88666292 and registered office at Plaza General Santes, 4, Bajo 2, 46160 Llíria (Valencia), has as its principal purpose the preparation, production and publication of financial analysis reports and equity research, in accordance with CNAE code 66.13, and the development of strategic, financial and communication consultancy activities for listed companies and IPOs, in accordance with CNAE code 70.20, with the express exclusion of regulated investment services that require authorisation as an investment firm under MiFID II.
This Code of Conduct (hereinafter, the «Code») constitutes the fundamental internal rule articulating the ethical, professional and regulatory-compliance principles applicable to all of EERP's activity, as well as to all natural and legal persons who, under any link whatsoever, participate in that activity or relate to the Company under conditions that justify their subjection to this Code.
EERP declares its voluntary, formal and express adherence to the European Union Code of Conduct for Issuer-Sponsored Research (hereinafter, the «EU Code»), established by the regulatory technical standards adopted pursuant to Article 24(3c) of Directive 2014/65/EU (hereinafter, «MiFID II»), as amended by Directive (EU) 2024/2811 (hereinafter, the «Listing Act Directive»). Those regulatory technical standards were adopted by the European Commission by means of the Commission Delegated Regulation of 21 May 2026 [document C(2026) 3226 final] and notified to the Council on 26 May 2026, being subject to the non-objection period of the European Parliament and of the Council in accordance with Article 13 of Regulation (EU) No 1095/2010. As at the date of approval of this Code, that Delegated Regulation has not yet been published in the Official Journal of the European Union nor has it entered into force —which will occur, where applicable, on the third day following that of its publication—, and therefore the «issuer-sponsored research» label is not yet legally operative. Consequently, EERP's adherence to the EU Code is of an anticipatory and preparatory nature, intended to ensure that EERP is in a position for its research to be distributed under that label as soon as the Delegated Regulation enters into force.
Likewise, EERP declares its full commitment to compliance with:
- • Regulation (EU) No 596/2014 on market abuse (hereinafter, «MAR»);
- • Commission Delegated Regulation (EU) 2016/958, laying down regulatory technical standards for the objective presentation of investment recommendations and the disclosure of particular interests and conflicts of interest (hereinafter, «Delegated Regulation 2016/958»);
- • Law 6/2023, of 17 March, on the Securities Markets and Investment Services (hereinafter, «LMV»), and its implementing regulations;
- • Regulation (EU) 2016/679, the General Data Protection Regulation (hereinafter, «GDPR»), and Organic Law 3/2018 on the Protection of Personal Data and the guarantee of digital rights (hereinafter, «LOPDGDD»);
- • Royal Legislative Decree 1/2010 approving the consolidated text of the Capital Companies Act (hereinafter, «LSC»);
- • Law 2/2023, of 20 February, regulating the protection of persons who report regulatory infringements (hereinafter, «Law 2/2023» or the «Whistleblower Law»);
- • Regulation (EU) 2024/1689 on Artificial Intelligence, in so far as applicable;
- • and any other European, Spanish or sectoral regulation applicable to EERP's activity.
This Code is approved within the framework of Article 27 of EERP's Articles of Association, which establishes the statutory commitment to structure the research activity in accordance with the EU Code, and is complemented by the Conflicts of Interest Policy, the preparation and maintenance of which is the responsibility of the Sole Administrator in accordance with Article 28 of those same Articles of Association.
EERP is aware that its operating model rests on internal coordination by the Company and on the outsourcing to qualified External Analysts of the substantive production of the analysis, without prejudice to the possibility that the Head of Research may exceptionally act as author of certain research pieces. This architecture, which is perfectly compatible with the applicable European regulation, requires a rigorous, contractually articulated compliance regime that guarantees that External Analysts comply with the same obligations of objectivity, independence and transparency as would be required of internal analysts, in accordance with Clause 2(4) of the EU Code. This Code articulates that regime.
TITLE I. GENERAL PROVISIONS
Article 1. Purpose and object of the Code
1.1. The purpose of the Code is to establish the ethical principles, professional standards, operating procedures and regulatory-compliance obligations applicable to all of EERP's activity in the field of financial analysis, the production of research, the issuance of investment recommendations and the provision of ancillary services.
1.2. The Code seeks to:
- (a) Guarantee the integrity, independence and objectivity of the analysis produced by EERP, regardless of whether the substantive production is carried out by contracted External Analysts or, exceptionally, by the Head of Research;
- (b) Ensure rigorous compliance with the applicable European and Spanish regulation, as well as with that of any other jurisdiction which, for reasons of operation, it is appropriate to observe;
- (c) Articulate EERP's effective adherence to the EU Code and, consequently, enable the research produced by EERP to be distributed under the «issuer-sponsored research» label by the investment firms that so wish;
- (d) Prevent, identify, manage and disclose the conflicts of interest inherent in the issuer-sponsored research model and in any other activity of the Company, including conflicts arising from the parallel business activities of the partners and from alliances with exchanges or other market infrastructures;
- (e) Protect the reputation, independence and assets of the Company and of its partners;
- (f) Establish a compliance framework that is enforceable, verifiable and auditable, both vis-à-vis the CNMV and vis-à-vis distributing investment firms, allied exchanges, issuer clients and recipient investors.
Article 2. Applicable regulatory framework
2.1. EERP is governed, in the conduct of its activity, by the following regulation, cited without prejudice to any other that may be applicable:
- (a) European financial-markets regulation: MiFID II and the Listing Act Directive; MAR and its implementing regulation, in particular Delegated Regulation 2016/958; the Delegated Regulation establishing the EU Code for issuer-sponsored research pursuant to Article 24(3c) MiFID II; Directive (EU) 2014/57 on criminal sanctions for market abuse; Regulation (EU) 2017/1129 on the prospectus, in so far as applicable.
- (b) Spanish regulation: the LMV and its implementing regulations; Royal Decree 217/2008, of 15 February, on the legal regime of investment firms, in so far as applicable by analogy or by indirect reference; the relevant Circulars and Communications of the CNMV; the LSC; Spanish commercial, tax, civil and labour legislation.
- (c) Horizontal regulation: GDPR and LOPDGDD; Law 2/2023; Regulation (EU) 2024/1689 on Artificial Intelligence; European and Spanish regulation on the prevention of money laundering and terrorist financing, to the extent applicable; the contractual and commercial legislation applicable to relations with External Analysts.
- (d) International regulation applicable where relevant: the rules of the foreign jurisdictions to which EERP distributes or intends to distribute research, in accordance with the International Distribution Policy, a separate document complementary to this Code.
2.2. In the event of a conflict between rules, the rule of higher rank shall prevail and, failing that, the most demanding rule from the standpoint of investor protection and market integrity.
Article 3. Definitions
For the purposes of this Code, the following terms shall mean:
- (a) «Analyst»: any natural person who produces the substance of the research published by EERP, in accordance with the definition in Article 1, point 3, of the Delegated Regulation establishing the EU Code. The following may act as Analysts: (i) External Analysts contracted on an ordinary basis and (ii), exceptionally, the Head of Research, in accordance with the regime of Title III.
- (b) «External Analyst»: an Analyst linked to EERP by means of a commercial contract for the provision of professional services, without an employment relationship with the Company, subject to the regime of Title VII of this Code.
- (c) «Editorial approval»: the internal-organic act by which the Head of Research validates and authorises the publication of a research piece produced by an External Analyst, with a written record being kept in EERP's internal records. Editorial approval is a necessary condition for publication but does not constitute authorship or co-authorship of the piece, and does not appear as a signature in the published piece.
- (d) «EU Code»: the European Union Code of Conduct for issuer-sponsored research, established pursuant to Article 24(3c) MiFID II and adopted by the European Commission by means of the Commission Delegated Regulation of 21 May 2026 [document C(2026) 3226 final], as at the date of approval of this Code pending publication in the Official Journal of the European Union and entry into force.
- (e) «Compliance Officer» or «internal Compliance Function»: the internal body responsible for EERP's regulatory compliance, constituted in accordance with the provisions of Title III.
- (f) «External Compliance Adviser»: the law firm specialising in financial markets and regulatory compliance appointed by the Sole Administrator, which provides support to the Compliance Officer and assumes specific functions in accordance with Title III.
- (g) «Issuer»: the legal person whose financial instruments are the subject of the research produced by EERP, whether under the issuer-sponsored research regime or as the subject of non-sponsored research.
- (h) «Investment Firm» or «IF»: an entity subject to MiFID II and authorised in accordance with the LMV or equivalent regulation in other Member States.
- (i) «Allied Exchange»: a stock exchange, organised market or other market infrastructure with which EERP has entered into a white-label licence agreement, strategic alliance or any other form of formal collaboration generating reciprocal commercial expectations.
- (j) «Head of Research»: a person appointed by EERP with structural responsibility for the analytical quality, methodological consistency and compliance with the Code and with the applicable regulation in each published research piece, in accordance with Title III. The Head of Research acts, on an ordinary basis, as editorial approver of the pieces produced by External Analysts and, exceptionally, may himself or herself act as the sole authoring Analyst of certain pieces.
- (k) «Inside Information»: that defined in Article 7 MAR.
- (l) «Issuer-Sponsored Research»: research paid for, wholly or partly, by an Issuer and produced in compliance with the EU Code, in accordance with the definition in Article 24(3b) MiFID II.
- (m) «Subject Person»: any natural or legal person linked to the subjective scope of the Code, in accordance with Article 4.
- (n) «Linked Person» of a Subject Person: the spouse or equivalent de facto partner; dependent children; relatives who have lived with the Subject Person for at least one year at the time of the relevant transaction; any legal person, trust, civil-law partnership or association whose management falls to the Subject Person or his or her close relatives, or which is directly or indirectly controlled by them, or whose economic interests are substantially equivalent to those of the Subject Person. This definition incorporates, without exhausting them, the notions of persons closely associated of Article 3(1)(26) MAR and of Article 4 of Delegated Regulation 2016/958, and is to be interpreted broadly so as to prevent circumvention of the Code's regime.
- (o) «Investment Recommendation»: information recommending or suggesting an investment strategy, in accordance with Article 3(1)(35) MAR.
- (p) «Research» or «Financial Analysis»: the analytical content that EERP produces and publishes, including, without limitation, initiation reports, quarterly updates, flash notes, financial models, investor presentations, and any other material meeting the characteristics established in Article 24(9a) MiFID II and in Article 36 of Delegated Regulation 2017/565.
- (q) «Non-Sponsored Research»: research produced by EERP on its own initiative or paid for by investors or other third parties, without total or partial financing by the Issuer analysed.
- (r) «Restricted List»: the internal list of securities over which full operational restrictions apply to Subject Persons in accordance with Title IX.
- (s) «Partner»: a holder of shares (participaciones) in EERP, regardless of whether the holding is held directly as a natural person or through a Spanish or foreign holding company.
- (t) «Covered Security» or «Covered Financial Instrument»: any financial instrument issued by an Issuer over which EERP has research in production, published or pending update.
- (u) «Watchlist»: the confidential internal list of securities over which EERP has commenced preliminary analysis or holds sensitive non-public information but has not yet published research, managed in accordance with Title VI.
Article 4. Subjective scope of application
4.1. The Code binds, without exception, the following Subject Persons:
- (a) The Sole Administrator of EERP, in his or her organic and, where applicable, professional capacity;
- (b) The Partners of EERP, whatever the form of their shareholding: as a direct natural person, through a Spanish holding company, or through a foreign holding company. Subjection to the Code is articulated through the Shareholders' Agreement;
- (c) The Head of Research, in such capacity, in accordance with the individual contract entered into with that person;
- (d) The employees of EERP, by virtue of their employment contract, in the event that the Company incorporates internal staff;
- (e) The External Analysts, by virtue of their commercial contract for the provision of professional services, in accordance with Title VII;
- (f) Contractors, consultants, providers of professional services and suppliers who have access to EERP's sensitive information, to research in preparation, or to the production tools, on the terms of their respective contracts;
- (g) Natural and legal persons acting under a white-label licence or any other form of use of EERP's brand or methodology, on the terms of their respective agreements;
- (h) Any third party to whom EERP entrusts, wholly or partly, the production of analysis, in accordance with Clause 2(4) of the EU Code.
4.2. Specific regime for legal persons that are Subject Persons. Where a Partner or Subject Person is a legal person (in particular, the domestic and foreign holding companies through which certain Partners participate in the capital of EERP), the civil, commercial and patrimonial obligations of the Code are enforceable against the legal person, without the Code seeking to extend, in civil-patrimonial terms, those obligations automatically to the natural persons who control that legal entity.
Notwithstanding the foregoing, the obligations that directly applicable European regulation imposes personally on the natural persons who act in or on behalf of those legal persons (in particular, the obligations of MAR, of Delegated Regulation 2016/958 and of the EU Code relating to personal account dealing, disclosure of interests, abstention from the use of inside information and the like) shall be complied with by those natural persons in their specific role, without the interposition of the legal person serving to circumvent them. This unavoidable minimum subjection of the natural person to directly applicable European regulation does not, in itself, give rise to civil-patrimonial liability of the natural person vis-à-vis EERP beyond that arising from the regulation itself.
The Shareholders' Agreement shall articulate in greater detail the regime of liability of the natural persons who control the partner holding companies vis-à-vis EERP for compliance with the Code, by means of mechanisms such as guarantees, personal sureties or specific enforceability clauses, on the terms agreed by the partners.
4.3. Subject Persons are responsible for procuring that their Linked Persons do not act in contravention of the regime of information barriers, personal account dealing and conflicts of interest established in this Code, to the extent that those Linked Persons may be affected by information, positions or interests controlled by the Subject Person.
Article 5. Objective scope of application
5.1. The Code applies to all activity of EERP that falls, directly or indirectly, within its corporate purpose, and in particular to:
- (a) The internal coordination, supervision and review of the research production process, as well as the decision on the allocation of coverage, editorial approval and publication;
- (b) The production of research by contracted External Analysts or, exceptionally, by the Head of Research;
- (c) The distribution of the research through any channel, whether its own or that of a third party;
- (d) The negotiation, formalisation and execution of contracts with Issuers, whether under the issuer-sponsored research regime or any other;
- (e) Relations with investment firms distributing the research;
- (f) Alliances with exchanges, organised markets and financial entities, including white-label licence agreements;
- (g) Financial communication services and investor relations;
- (h) Any ancillary, related or complementary activity to the corporate purpose set out in Article 2 of the Articles of Association.
5.2. The Conflicts of Interest Policy, the remaining internal policies developed in application of this Code, and the operating procedures approved by the Compliance Officer, complement and develop this Code without contradicting it.
Article 6. Binding nature and publicity
6.1. The Code is binding on all Subject Persons from the moment of its entry into force or, in the case of subsequent incorporation, from the moment of their link with EERP.
6.2. EERP shall publish the Code on its corporate website, in a version accessible to the public, in accordance with Article 28 of the Articles of Association. Any material amendment of the Code shall be published simultaneously, indicating the date of entry into force.
TITLE II. GUIDING PRINCIPLES
Article 7. Fundamental principles
The activity of EERP and the conduct of Subject Persons are governed by the following fundamental principles, which are interpreted in a demanding and joint manner:
7.1. Principle of independence. EERP produces research based exclusively on public information, on meetings with the Issuer's management whose content respects the MAR regime, and on the autonomous analytical judgement of the Analyst, without being subject to any instruction, suggestion or influence, direct or indirect, from the Issuer, from EERP's Partners, from distributing investment firms, from Allied Exchanges, or from any third party.
7.2. Principle of objectivity. The research presents the facts, the analyses and the conclusions in a fair, clear and non-misleading manner, in accordance with Article 24(3a) MiFID II and Article 3 of Delegated Regulation 2016/958. Facts are distinguished from opinions, sources are appropriately identified, and the assumptions of the models are made explicit.
7.3. Principle of honesty and integrity. Subject Persons act with honesty, good faith and professional rectitude in all their internal and external relations, avoiding any form of deception, manipulation, wilful concealment or fraud.
7.4. Principle of transparency. EERP discloses conflicts of interest, contractual relationships with Issuers, relevant remuneration agreements, alliances with Allied Exchanges and any other circumstance that may affect the perception of the objectivity of the research, in accordance with the disclosure regime of Delegated Regulation 2016/958 and of the EU Code.
7.5. Principle of professionalism. Subject Persons maintain the competences, knowledge and diligence necessary for the performance of their functions, in accordance with the standards of the financial analyst profession and the applicable regulation.
7.6. Principle of confidentiality. Subject Persons protect the confidential information obtained in the exercise of their function, whether relating to EERP, to the covered Issuers, to the recipient investors or to third parties.
7.7. Principle of avoidance of market harm. Subject Persons refrain from any conduct that may constitute market abuse under MAR, manipulation, improper use of inside information, front-running, tipping, unlawful communication of information or any other practice contrary to market integrity.
7.8. Principle of regulatory compliance. EERP and Subject Persons comply with the applicable regulation in full, in a non-formalistic manner. Doubtful interpretation of a rule is resolved in favour of the option most protective of the investor and of market integrity.
7.9. Principle of personal responsibility. Each Subject Person is individually responsible for compliance with the Code in his or her specific role. Membership of the organisation or outsourcing does not attenuate personal responsibility on the terms in which the applicable regulation imposes it.
7.10. Principle of functional separation. EERP maintains an effective separation between the commercial function (assumed by the Partners and, where applicable, by dedicated commercial staff) and the editorial function (Head of Research, External Analysts and the compliance function), so that the analytical decision is not affected by commercial considerations, in accordance with Title VI.
7.11. Principle of effective control of the subcontractor. EERP, as the entity responsible vis-à-vis the EU Code and vis-à-vis the distributing investment firms, exercises effective and documented control over the contracted External Analysts, guaranteeing that those External Analysts comply with the obligations of this Code and of the EU Code, in accordance with Clause 2(4) of the EU Code.
Article 8. Primacy of the principles
8.1. The guiding principles have interpretative and normative value. In case of doubt as to the conduct due in a specific situation, Subject Persons shall be guided by the principles and shall consult the Compliance Officer.
8.2. Merely formal compliance with the Code does not exempt from substantive compliance with the guiding principles. Conduct that respects the letter of the Code but contradicts its principles constitutes a breach of the Code.
TITLE III. GOVERNANCE STRUCTURE OF COMPLIANCE AND OF THE EDITORIAL FUNCTION
Article 9. Internal Compliance Officer: the Sole Administrator
9.1. EERP's internal Compliance function is performed by the Sole Administrator of the Company, in his or her capacity as Compliance Officer, in accordance with the statutory attribution of Article 28 of the Articles of Association.
9.2. The Compliance Officer is responsible for:
- (a) Ensuring compliance with the Code and with the applicable regulation;
- (b) Approving and keeping up to date the Conflicts of Interest Policy and other internal policies that develop the Code;
- (c) Maintaining the conflicts of interest register in accordance with Clause 1(2) of the EU Code;
- (d) Overseeing the regime of personal account dealing and of declaration of the parallel activities of the Partners;
- (e) Keeping the Watchlist and the Restricted List up to date;
- (f) Managing the internal reporting channel (whistleblowing) in accordance with Title XIV;
- (g) Investigating possible breaches of the Code and issuing the corresponding resolutions;
- (h) Coordinating the compliance training of Subject Persons;
- (i) Coordinating relations with the CNMV and with the distributing investment firms on compliance matters;
- (j) Reporting to the administrative body and to the General Meeting with the frequency that may be appropriate and, as a minimum, on an annual basis;
- (k) Coordinating with the External Compliance Adviser all matters requiring his or her intervention;
- (l) Verifying compliance with the Code by the contracted External Analysts, in accordance with Title VII;
- (m) Approving the disclaimers and disclosures included in each research piece;
- (n) Exercising the additional double validation when the Head of Research acts as the authoring Analyst of a research piece, in accordance with Article 18.5.
9.3. The Compliance Officer exercises his or her function independently of the commercial function.
9.4. Recusal regime. In those matters in which the Compliance Officer may have a direct or indirect conflict of interest, arising from his or her status as a Partner, from his or her family connection with other Partners, or from any other personal circumstance, the Compliance Officer shall recuse himself or herself and shall refer the matter to the General Meeting of Partners, which shall resolve it or appoint the person who is to resolve it; where an External Compliance Adviser has been appointed, that adviser may be entrusted with the function of ad hoc Compliance Officer for that matter. The recusal and the decision adopted shall be documented in the corresponding register and incorporated into the file.
Article 9 bis. Regime for the articulation of functions when they coincide in the same natural person
9 bis.1. This Code, as well as the Conflicts of Interest Policy and the other documents of EERP's normative corpus, have been drafted with a vocation of permanence and with the foreseeing that the functions they articulate may, over time, be concentrated in the same natural person or dissociated among different natural persons, as the operational and governance circumstances of the Company may advise at any given time.
9 bis.2. In particular, the functions of the Sole Administrator and of the internal Compliance Officer may, in accordance with Article 9 of the Code, fall to the same natural person —as is the case at the time of the initial approval of the Code— or be dissociated by the subsequent appointment, by the General Meeting of Partners or by the competent body, of a dedicated professional Compliance Officer distinct from the Sole Administrator.
9 bis.3. Where the same natural person simultaneously performs the functions of the Sole Administrator and of the internal Compliance Officer, the obligations of reporting, escalation, review, communication or information that this Code and the Conflicts of Interest Policy provide between one and the other shall be deemed fulfilled:
- (a) By means of the reasoned written documentation of the corresponding decisions, communications and reports, filed in the Conflicts Register or in the appropriate institutional archive;
- (b) By means of full compliance with the regime of reporting to the General Meeting of Partners provided for in Article 16 of the Code and in Article 50 of the Conflicts of Interest Policy;
- (c) By means of the substantive intervention of the External Compliance Adviser in accordance with Article 10 of the Code, where that Adviser has been appointed, as an additional counterweight.
9 bis.4. In the scenario of concentration of functions referred to in the preceding paragraph, the General Meeting of Partners constitutes the substantive mechanism of control and supervision of compliance by the Company and, where appointed, the External Compliance Adviser, without prejudice to the specific functions of the Internal Review Committee and of the whistleblowing channel.
9 bis.5. At the time the Company decides to dissociate the functions of the Sole Administrator and of the internal Compliance Officer, by appointing a distinct professional Compliance Officer, the obligations of reporting, escalation, review and communication between the two functions shall apply fully in accordance with the literal wording of the Code and of the Conflicts of Interest Policy, without the need for additional normative amendment.
Article 10. External Compliance Adviser
10.1. EERP may appoint, when it considers it necessary, an External Compliance Adviser, in the form of a law firm specialising in financial markets and regulatory compliance, appointed by the Sole Administrator.
10.2. The External Adviser provides support to the internal Compliance Officer and assumes specific functions in, at least, the following matters:
- (a) Interpretation of European and Spanish regulation on securities markets, MAR, MiFID II, the EU Code, GDPR and applicable money-laundering regulation;
- (b) Periodic review of the Code and of the internal policies;
- (c) Advice on relevant internal investigations;
- (d) Support in relations with the CNMV and other supervisory authorities;
- (e) Advice on the preparation and updating of the International Distribution Policy and on any jurisdictional extension of the activity;
- (f) Independent verification of compliance with the EU Code when so requested by the Compliance Officer, without prejudice to the possibility of additionally resorting to an independent external auditor in accordance with Article 2(3)(a) of the Delegated Regulation of the EU Code;
- (g) Assumption of the function of ad hoc Compliance Officer in the cases of recusal provided for in Article 9.4;
- (h) Management, where appropriate, of the internal whistleblowing channel on the terms of Title XIV;
- (i) Additional validation of the double review when the Head of Research acts as the authoring Analyst, at the request of the Compliance Officer, in accordance with Article 18.5.
10.3. The identity of the External Adviser is communicated internally to all Subject Persons and is updated with each change. Subject Persons may address the External Adviser in the cases provided for in Title XIV (whistleblowing channel) when the internal channel presents a conflict of interest with the internal Compliance Officer.
Article 11. Head of Research: structural function and modalities of action
11.1. The Head of Research is the structural element that guarantees the analytical quality, methodological consistency and compliance with the Code and with the applicable regulation in each research piece prior to its publication. The Head of Research forms part of the Company's editorial function and is excluded from the commercial function in accordance with Article 51.
11.2. As a general rule, the Head of Research:
- (a) Approves EERP's analytical methodology and its updates;
- (b) Assigns External Analysts to each coverage;
- (c) Coordinates and supervises the work of the contracted External Analysts;
- (d) Reviews, validates and editorially approves each research piece produced by External Analysts prior to its publication, no piece being publishable without his or her express approval;
- (e) Has editorial veto power over any publication;
- (f) Resolves discrepancies between External Analyst and supervisor in favour of analytical integrity;
- (g) Guarantees the effective separation between the commercial function and the editorial function in accordance with Title VI;
- (h) Reports to the Sole Administrator with the frequency established and, as a minimum, on a quarterly basis;
- (i) Cooperates with the Compliance Officer in all matters relating to compliance with the Code.
Article 12. Ordinary modality: editorial approval of pieces signed by External Analysts
12.1. In the ordinary modality of action, research pieces are produced by a contracted External Analyst, who signs the piece as sole author. The Head of Research performs, in relation to those pieces, the function of editorial approver.
12.2. Editorial approval by the Head of Research is an internal-organic act of validation of the analytical quality, methodological consistency and regulatory compliance of the piece, a necessary condition for its publication.
12.3. Editorial approval does not constitute authorship or co-authorship of the piece, and does not appear as a signature in the published piece. The name of the Head of Research does not appear as author or co-author of the pieces signed by External Analysts.
12.4. Editorial approval is documented in EERP's internal records, with a written record being kept of:
- (a) The piece that is the subject of approval;
- (b) The identity of the authoring External Analyst;
- (c) The date and time of editorial approval;
- (d) The observations, returns or requirements made by the Head of Research during the review process, where applicable;
- (e) The final decision of the Head of Research on publication.
12.5. The editorial approval records are accessible to the Compliance Officer, to the External Compliance Adviser, to the competent supervisory authorities and to the distributing investment firms on the terms required by the regulation or the contractual relationship, in accordance with Title XIII.
Article 13. Complementary modality: the Head of Research as authoring Analyst
13.1. Exceptionally, the Head of Research may act as the sole authoring Analyst of certain research pieces, in particular thematic research, academic papers, cross-coverage notes, sectoral overviews or pieces requiring his or her direct substantive intervention for reasons of qualification, sectoral knowledge or operational circumstances.
13.2. Where the Head of Research acts:
- (a) His or her name appears in the piece, with identification of his or her role and description of his or her qualification, in accordance with Article 2 of Delegated Regulation 2016/958;
- (b) He or she assumes all the obligations of the Analyst under the Code, MAR and Delegated Regulation 2016/958, including the personal disclosures applicable to his or her person in relation to the Issuer covered in that particular piece;
- (c) He or she is automatically excluded from any commercial solicitation, contractual negotiation or commercial management in respect of the Issuer covered in the signed piece, in accordance with Clause 2(3)(h) of the EU Code, without prejudice to his or her general exclusion from the commercial function in accordance with Article 51;
- (d) The piece is subject to the additional double validation regime of Article 18.5 prior to its publication;
- (e) The Compliance Officer expressly documents in the Conflicts Register the action of the Head of Research as authoring Analyst, the management measures adopted and the applicable exclusions.
13.4. The proportion and frequency with which the Head of Research acts as authoring Analyst are documented in the quarterly reporting to the Sole Administrator in accordance with Article 16 and, where applicable, in the annual reporting of the Compliance Officer.
Article 14. Guarantees of editorial stability and independence of the Head of Research
14.1. The guarantees of independence of the Head of Research include, as a minimum:
- (a) Impossibility of removal by unilateral decision of the Sole Administrator motivated by the analytical content of a research piece, by a specific recommendation, or by the pressure of an Issuer or a third party;
- (b) Direct access to the External Compliance Adviser in case of conflict;
- (c) Escalation mechanism to the Internal Review Committee and, if appropriate, to the administrative body or to the General Meeting;
- (d) Contractual clauses protecting his or her role and the consequences of inappropriate commercial pressure.
14.2. The specific guarantees of protected removal and the contractual protection mechanisms of the Head of Research shall be developed in the Shareholders' Agreement and in the individual contract of the Head of Research.
Article 15. Internal Review Committee
15.1. EERP does not constitute an Internal Review Committee, unless it is explicitly approved by the General Meeting of Partners.
15.2. So long as the Internal Review Committee is not constituted in accordance with the preceding paragraph, the functions that this Code attributes to that Committee shall be performed by the Compliance Officer, with the support of the External Compliance Adviser where appropriate. References to the Internal Review Committee contained in this Code shall be understood as made to the Compliance Officer while the Committee does not exist.
Article 16. Internal reporting and reporting to the administrative body
16.1. The Compliance Officer presents to the Sole Administrator and to the General Meeting of Partners. In the event that the Compliance Officer is himself or herself the Sole Administrator, he or she shall present it directly to the General Meeting of Partners. On an annual basis, a compliance report that includes:
- (a) Status of compliance with the EU Code, MAR, MiFID II and other applicable regulation;
- (b) Conflicts of interest identified, managed and disclosed;
- (c) Status of the map of parallel activities of the Partners and associated conflicts;
- (d) Status of conflicts arising from alliances with Allied Exchanges;
- (e) Personal account dealing incidents;
- (f) Internal investigations and disciplinary resolutions;
- (g) Relations with the CNMV and other authorities;
- (h) Proposals to amend the Code and the internal policies;
- (i) Training plan;
- (j) Specific report on pieces signed by the Head of Research as authoring Analyst during the financial year, in accordance with Article 13.
16.2. The Head of Research presents, on a quarterly basis, a report to the Sole Administrator on the status of coverage, the compliance of the contracted External Analysts, the historical distribution of recommendations (BUY/HOLD/SELL) both aggregated and broken down by contractual relationship with the Issuer, the pieces signed by him or her as authoring Analyst during the quarter and any relevant editorial incident.
Article 16 bis. General regime of appointments in the field of compliance and of the research activity
16 bis.1. The appointments of persons performing specific functions provided for in this Code and in the other documents of EERP's normative corpus are governed by the regime of this article, without prejudice to the non-derogable competences attributed by the Capital Companies Act and by the Articles of Association to the corporate bodies.
16 bis.2. As a general principle, the appointments of persons performing material functions in the field of compliance, internal governance or the research activity of EERP are not the exclusive competence of the Sole Administrator, but require institutional backing of the Partners in accordance with the regime of this article.
16 bis.3. The following appointments require a resolution of the General Meeting of Partners adopted by the reinforced majority established by the Articles of Association or the Shareholders' Agreement:
- (a) the initial appointment of the External Compliance Adviser in accordance with Article 10 of the Code, as well as its subsequent replacement;
- (b) the appointment of a dedicated professional Compliance Officer distinct from the Sole Administrator, in cases of dissociation of functions in accordance with Article 9 bis of the Code;
- (c) the appointment of the Head of Research in accordance with Title III of the Code;
- (d) any appointment falling on a person who is simultaneously a Partner of EERP, save for the case of the Head of Research who is a Partner, subject to the specific regime of this paragraph.
16 bis.4. The following acts require a resolution of the General Meeting of Partners adopted by absolute majority of the share capital:
- (a) where relevant, the constitution of the Internal Review Committee in accordance with Article 15 of the Code and the material amendments of its composition;
- (b) any other appointment that materially affects the compliance regime of the Company and that is not expressly classified in another paragraph.
16 bis.5. The following appointments are made by the Sole Administrator with the prior consent of the Partners party to the Shareholders' Agreement, expressed by the majority established in the Agreement, without the need for a formal resolution of the General Meeting:
- (a) the appointment of External Analysts in accordance with Title VII of the Code;
- (b) the appointment of auxiliary editorial, technical or operational figures not comprised in the preceding paragraphs;
- (c) the routine renewals of positions previously appointed in accordance with the preceding paragraphs, where they do not entail a substantial modification of the role or of the conditions of provision.
16 bis.6. The automatic attribution of the internal Compliance Officer to the Sole Administrator in accordance with Article 9 of the Code, where the functions coincide, does not require an additional act of appointment, without prejudice to the decision of express acceptance of the Sole Administrator in accordance with Article 9.
16 bis.7. Where there is reasonable doubt as to whether an appointment is to be classified in one or another paragraph of this article, or where an appointment not expressly provided for in this Code arises, the classification that best protects the integrity of the Company's compliance regime shall prevail and, in any event, the criterion of the External Compliance Adviser shall be heeded. Where the appointment materially affects the compliance regime, governance, editorial function or professional representation of the Company, it shall require a resolution of the General Meeting in accordance with paragraphs 3 or 4 of this article.
16 bis.8. Appointments are documented in the minutes of the General Meeting or in a reasoned decision of the Sole Administrator as the case may be, and are kept in the institutional archive. The express acceptance of the appointee is documented in writing as a condition of effectiveness of the appointment.
16 bis.9. The regime of this article applies without prejudice to the specific regimes of cessation, replacement and interim succession provided for in the respective articles of this Code and of the Conflicts of Interest Policy.
TITLE IV. PRODUCTION OF THE RESEARCH
Article 17. Research modalities
17.1. EERP produces research in two main modalities:
- (a) Issuer-Sponsored Research, paid for wholly or partly by the Issuer analysed, fully subject to the EU Code and to this Code, and which will meet the requirements to be labelled as such by the distributing investment firms;
- (b) Non-sponsored research, produced on EERP's own initiative or paid for by investors or other third parties distinct from the Issuer, subject to this Code and to MAR + Delegated Regulation 2016/958, but not to the specific regime of the EU Code.
17.2. Whatever the modality, all research pieces produced by EERP shall comply with the guiding principles of Title II, the standards of objectivity and independence, and the applicable disclosure obligations.
Article 18. Roles, authorship and editorial review
18.1. The production of each research piece is articulated in the following roles:
- (a) Authoring Analyst: the natural person who produces the substance of the research, formulates the investment thesis, prepares the financial model, proposes the recommendation and the target price, and signs the report as sole author. The following may act as authoring Analyst: (i) contracted External Analysts, in the ordinary modality, and (ii), exceptionally, the Head of Research, in accordance with Article 13.
- (b) Head of Research as editorial approver: where the piece is signed by an External Analyst, the Head of Research performs the function of editorial approver in accordance with Article 12. His or her name does not appear in the published piece as author or co-author.
- (c) Compliance Officer: verifies the mandatory disclosures, the consistency with the Watchlist and Restricted List, the correctness of the conflicts of interest documentation, and compliance with the EU Code.
- (d) Commercial function (Partners and, where applicable, dedicated commercial staff): strictly excluded from the process of production, editing and approval of the research. The commercial function receives only information on the scheduling of publications for the purposes of commercial coordination, in accordance with the information barriers regime of Title VI.
18.2. The editorial review addresses, as a minimum:
- (a) Internal coherence of the analysis;
- (b) Correct application of the methodology;
- (c) Reasonableness of the model's assumptions;
- (d) Sufficiency of the information sources;
- (e) Adequate differentiation between facts and opinions;
- (f) Balanced treatment of risks and opportunities;
- (g) Presence of the mandatory disclosures;
- (h) Compliance with Clause 2 of the EU Code as regards objectivity and independence.
18.3. The Head of Research, in his or her function of editorial approver in respect of pieces signed by External Analysts, may:
- (a) Approve the piece as it stands;
- (b) Return it to the External Analyst with observations;
- (c) Reject publication with reasons;
- (d) Require consultation with the Compliance Officer or with the External Adviser.
18.4. The commercial function may not intervene in the editorial review or in the publication decision. Any attempt at commercial intervention must be reported to the Compliance Officer and a written record kept.
18.5. Double validation regime where the Head of Research acts as authoring Analyst. In order to prevent the Head of Research from acting simultaneously as author and as his or her own editorial approver, the pieces signed by him or her as authoring Analyst are subject to the following reinforced regime:
- (a) Mandatory review by the Compliance Officer, who verifies compliance with the mandatory disclosures under MAR + Delegated Regulation 2016/958, the consistency with the Watchlist and Restricted List, and the absence of unmanageable conflicts of interest;
- (b) Additional validation by the External Compliance Adviser where the Compliance Officer considers it necessary, having regard to the nature of the Issuer covered, the sensitivity of the analysis or any other relevant circumstance;
- (c) Express documentation in the Conflicts Register of the action of the Head of Research as authoring Analyst, the management measures adopted and the applicable exclusions in accordance with Article 13.3;
- (d) Specific review by the Internal Review Committee, with the frequency it deems appropriate, of the pieces signed by the Head of Research as authoring Analyst.
Article 19. Standardised analytical methodology
19.1. EERP may approve and maintain an Analytical Methodology Policy as a separate internal document, approved by the Head of Research with the agreement of the Compliance Officer, which shall regulate in detail:
- (a) The valuation criteria and the applicable models;
- (b) The recommendation scale (BUY, HOLD, SELL) and the associated quantitative thresholds;
- (c) The time horizon of the recommendation and of the target price;
- (d) The mandatory components of each research modality;
- (e) The publication formats;
- (f) The criteria for review and update.
19.2. The methodology shall be applied consistently to issuer-sponsored research and to non-sponsored research, and regardless of who acts as authoring Analyst (External Analyst or Head of Research), without the sponsored nature of the research or the identity of the author affecting the methodology applied, in accordance with Clause 2(3)(a) of the EU Code.
Article 20. Use of technological and analytical tools
20.1. If EERP, the External Analysts or the Head of Research use technological or analytical tools in the production of the research (including, without limitation, data-extraction tools, quantitative models, natural-language-processing systems or others), the final responsibility for the published content lies with the authoring Analyst of the piece, without the use of those tools exempting from the obligation of full human review and validation.
20.2. The use of such tools shall be documented and traced. A specific Policy on the Use of Technology in Research Production, separate from this Code, may regulate these aspects in detail, including the obligations arising from Regulation (EU) 2024/1689 on Artificial Intelligence.
Article 21. Compliance with MAR and with Delegated Regulation 2016/958 in each research piece
21.1. Every research piece published by EERP that constitutes an investment recommendation shall comply with:
- (a) Unequivocal identification of the producer, with EERP's corporate name, registered office, competent supervisory authority and contact details, in accordance with Article 2 of Delegated Regulation 2016/958.
- (b) Identification of the sole authoring Analyst, with name, function and description of the qualification, in accordance with Article 2 of Delegated Regulation 2016/958. Where the authoring Analyst is an External Analyst, his or her name shall appear as sole author of the piece. Where the authoring Analyst is the Head of Research, his or her name shall appear as sole author of the piece, without prejudice to compliance with the regime of Article 13. As a general rule, each piece identifies a single authoring Analyst.
- (c) Objective presentation of facts, opinions, sources, model assumptions, risks and limitations of the analysis, in accordance with Article 3 of Delegated Regulation 2016/958.
- (d) Identification of the nature of the recommendation (BUY/HOLD/SELL or equivalents), the target price, the time horizon and the date of the recommendation.
- (e) Disclosures of interests and conflicts of interest in accordance with Articles 5 and 6 of Delegated Regulation 2016/958, including, where applicable, the holdings of EERP, of the authoring Analyst or of persons linked to the authoring Analyst in the capital of the Issuer; the relevant contractual relationships; the agreements for the preparation of the recommendation; and any other conflict that may affect objectivity.
- (f) Historical distribution of recommendations (% BUY / HOLD / SELL) both aggregated and broken down by relationship with the Issuer, in accordance with Article 6 of Delegated Regulation 2016/958, on a quarterly basis.
- (g) Changes of recommendation, with clear identification of the previous recommendation, the new one, and the date of each.
- (h) Any other disclosure required by the regulation at the time of publication, including, where appropriate, the mention of alliances with Allied Exchanges in accordance with Title XI.
21.2. The obligations of Delegated Regulation 2016/958 are additional and cumulative in respect of the obligations of the EU Code for issuer-sponsored research, not exclusive.
Article 22. Regime of factual review by the Issuer
22.1. In the case of issuer-sponsored research, EERP may provide the Issuer, prior to publication, only with the factual sections of the report, for the exclusive purpose of verifying the accuracy of facts and descriptive data, in accordance with Clause 2(3)(f) of the EU Code.
22.2. The Issuer shall not have access, at any time prior to publication, to:
- (a) the valuation and the financial model;
- (b) the recommendation;
- (c) the target price;
- (d) the analytical conclusions;
- (e) any value judgement on the quality of the Issuer or of its management.
22.3. The factual review process shall comply with the following conditions:
- (a) A reasonable period from the delivery of the factual draft to the Issuer;
- (b) Full documentation of the process (version sent, comments received, final decision of the authoring Analyst, justification for the acceptance or rejection of each comment);
- (c) Final decision of the authoring Analyst, supervised by the Head of Research as editorial approver where appropriate, on any modification;
- (d) Traceability of versions in the document management system.
22.4. The factual review does not affect the independence of the authoring Analyst or the integrity of the analytical conclusion. The Issuer may not seek to modify the valuation section, the recommendation or the target price. Any attempt to do so shall be documented and, where applicable, shall give rise to the corresponding contractual and disciplinary consequences.
Article 23. Compliance with the EU Code in each piece of issuer-sponsored research
23.1. EERP shall fully comply with the EU Code in each piece of issuer-sponsored research. In particular:
- (a) Clause 1 (conflicts of interest policy): EERP maintains the Conflicts of Interest Policy developed in Title V and in a separate document.
- (b) Clause 2 (objectivity and independence): EERP complies with the organisational measures in accordance with Titles II, IV, VI and VII of this Code. The use of External Analysts does not exempt EERP from the responsibility of guaranteeing compliance with Clause 2 by those Analysts, in accordance with Clause 2(4) of the EU Code and Title VII of this Code.
- (c) Clause 3 (identification and mandatory information): each piece of issuer-sponsored research shall include:
- — the words «issuer-sponsored research» and the indication of preparation in accordance with the EU Code, on the cover and on all pages;
- — a concise summary indicating: whether the payment is total or partial; whether it is of public or reserved access (indicating, where applicable, whether the reservation is until a specified date or of an indefinite nature); reference to the Conflicts of Interest Policy; whether the Issuer represents more than 5% of the consolidated gross income of the previous year and, where applicable, the percentage and management measures adopted; whether the Issuer is a client or has had a contractual relationship with EERP in the last 12 months and of what type; where the authoring Analyst is an External Analyst, whether that External Analyst obtains from the Issuer or from EERP's coverage of the Issuer more than 5% of his or her consolidated gross income and, where applicable, the percentage and management measures adopted, in accordance with Clause 3(2)(f) of the EU Code.
- (d) Clause 4 (duration and payments): contracts with Issuers shall have an initial minimum term of 2 years, minimum renewals of 1 year, early termination only for objective causes, remuneration not linked to the content, and a minimum advance payment of 50% at the start and on each anniversary.
- (e) Clause 5 (dissemination): issuer-sponsored research wholly paid for by the Issuer shall be made accessible to the public free of charge.
- (f) Clause 6 (update): EERP shall use best efforts to publish an update upon material events affecting the Issuer's instruments. If EERP becomes aware that a piece does not comply with the EU Code, it shall remove the «issuer-sponsored research» label and incorporate the «marketing communication» label.
- (g) Clause 7 (information to investment firms): EERP shall make available to the distributing investment firms, when they so request, the summary of the agreement with the Issuer, the conflicts of interest policies and the management steps adopted.
- (h) Clause 8 (records): EERP shall keep the records provided for during at least 5 years, in accordance with Title XIII of this Code.
23.2. EERP may submit, on its own initiative, its compliance with the EU Code to the opinion of an independent external auditor in accordance with Article 2(3)(a) of the Delegated Regulation of the EU Code, in order to facilitate distribution by third-party investment firms.
Article 24. Specific regime for non-sponsored research
24.1. Non-sponsored research shall fully comply with:
- (a) The guiding principles of Title II;
- (b) MAR + Delegated Regulation 2016/958;
- (c) This Code in its entirety;
- (d) The remaining internal policies applicable to it.
24.2. Non-sponsored research shall not be labelled as «issuer-sponsored research» and shall not be subject to the regime of the EU Code.
24.3. Non-sponsored research shall be clearly identified as such in the piece, being distinguished from issuer-sponsored research in its presentation.
Article 25. Flash notes and updates
25.1. Flash notes (notes of immediate impact upon material events) and quarterly updates constitute research for all purposes of this Code, of MAR and of Delegated Regulation 2016/958.
25.2. Flash notes shall be published within a reasonable period after the material event that motivates them, maintaining the quality standards and the mandatory disclosures. Urgency does not exempt from compliance with the Code or from the editorial review by the Head of Research, which may be organised in an abbreviated format but may never be omitted.
Article 26. Correction and withdrawal of research
26.1. If, after publication, material errors, relevant omissions or breaches of the EU Code or of the applicable regulation are detected, EERP shall proceed to:
- (a) Publish an immediate correction or update on all the channels on which the original piece was distributed;
- (b) In the event of a breach of the EU Code, remove the «issuer-sponsored research» label and, where appropriate, replace it with «marketing communication», in accordance with Clause 6 of the EU Code;
- (c) Document internally the incident, the causes, the corrective measures and the preventive measures;
- (d) Notify the distributing investment firms and, where appropriate, the CNMV where relevant.
26.2. The withdrawal or non-publication at the initiative of the Issuer shall only be admitted in accordance with the terms of the contract with the Issuer and, in any event, without prejudice to the Issuer's payment obligations established in the contract.
TITLE V. CONFLICTS OF INTEREST
Article 27. Conflicts of Interest Policy
27.1. EERP maintains a specific Conflicts of Interest Policy, approved by the Sole Administrator in accordance with Article 28 of the Articles of Association, published on the corporate website, and reviewed at least annually and whenever material changes occur.
27.2. The Conflicts of Interest Policy develops in detail the regime established in this Title and is considered an integral part of the Code for the purposes of Article 6.
Article 28. Identification of conflicts of interest
28.1. EERP maintains a catalogue of potential and actual conflicts, organised into the following categories, the enumeration not being exhaustive:
- (a) Firm-level conflicts: arising from the issuer-paid model (the Issuer analysed pays for the research); from the concentration of income in few clients during the first financial years of activity; from the coexistence of research activities and of financial communication or consultancy; from alliances with Allied Exchanges that bring clients to EERP in exchange for a royalty.
- (b) Partner- and Administrator-level conflicts: arising from the parallel professional or business activities of the Partners; from the contractual or corporate relationships of the Partners or of the natural persons who control the partner holding companies with covered or potentially covered Issuers; from the direct or indirect holding, whether their own or that of Linked Persons, of financial instruments issued by covered Issuers. The specific regime of the parallel activities of the Partners is developed in Title VIII.
- (c) Head of Research-level conflicts: arising from previous professional relationships with covered Issuers or sectors; from his or her simultaneous status as Partner (where applicable); from his or her systematic intervention as editorial approver of all the pieces signed by External Analysts; from his or her exceptional intervention as authoring Analyst on the terms of Article 13; from access to the content of all the pieces in preparation prior to their publication.
- (d) External Analyst-level conflicts: arising from previous or current professional relationships with the Issuer or with covered sectors; from the holding of covered securities by him or her or his or her Linked Persons; from personal relationships with relevant persons of the Issuer; from the simultaneous coverage of competitors of the Issuer; from the provision of similar services to other research firms; from the weight of the Issuer in his or her consolidated gross income.
- (e) Issuer-client-level conflicts: arising from membership of a corporate group with other clients; from corporate transactions in progress; from contractual relationships of the Issuer with Partners of EERP or with natural persons who control the partner holding companies.
- (f) Third-party distributor-level conflicts: arising from the position of the distributing investment firms vis-à-vis the Issuer or vis-à-vis EERP.
- (g) Allied Exchange-level conflicts: arising from alliances with exchanges or other market infrastructures that bring covered Issuers to EERP in exchange for a royalty or other consideration, in accordance with Title XI.
28.2. The catalogue is kept up to date by the Compliance Officer and is reviewed at least quarterly by the Internal Review Committee.
Article 29. Register of conflicts of interest
29.1. EERP maintains a Register of Conflicts of Interest in accordance with Clause 1(2) of the EU Code, in electronic format, managed by the Compliance Officer, which records:
- (a) Each potential conflict and each actual conflict identified;
- (b) The persons or entities involved;
- (c) The date of identification and, where applicable, of closure;
- (d) The measures adopted to prevent or manage the conflict;
- (e) The disclosures made and the disclosure channels.
29.2. The Register is accessible to the External Compliance Adviser, to the Head of Research, and to the supervisory authorities and the distributing investment firms, on the terms required by the regulation or the contractual relationship.
Article 30. Specific regime of the 5% concentration
30.1. Where an Issuer represents more than 5% of EERP's consolidated gross income of the previous year, the following additional management measures shall apply:
- (a) Express disclosure of the percentage in each research piece on that Issuer, in accordance with Clause 3(2)(d) of the EU Code;
- (b) Double editorial review by the Head of Research and by the Compliance Officer;
- (c) Possible rotation of the assigned External Analyst, at the discretion of the Head of Research, at reasonable intervals;
- (d) Specific review by the Internal Review Committee on an annual basis.
30.2. Additionally, during the first financial years of EERP's operation, in which the portfolio may be concentrated in a reduced number of clients, EERP may publish on its website information on the composition of the client portfolio, in qualitative terms compatible with contractual confidentiality, with the aim of preventing any informational asymmetry with respect to the recipient investors of the research.
30.3. The 5% regime applicable to the External Analyst. Where the income of the External Analyst from an Issuer (directly or through EERP's coverage of that Issuer) represents more than 5% of the External Analyst's consolidated gross income of the previous year, equivalent disclosure shall apply in accordance with Clause 3(2)(f) of the EU Code. The regime of declaration by the External Analyst is developed in Title VII.
Article 31. Investigation of breaches
31.1. Where the Compliance Officer becomes aware of a possible breach of the Conflicts of Interest Policy, he or she shall initiate an internal investigation without undue delay from becoming aware.
31.2. The investigation shall be documented in a file that includes: facts, evidence, submissions of the persons involved, conclusions and, where applicable, corrective and disciplinary measures in accordance with Title XIV.
31.3. The Compliance Officer shall inform the affected Issuer without undue delay where the breach may affect a published or ongoing research piece, in accordance with Clause 1(3) of the EU Code.
TITLE VI. INFORMATION BARRIERS, INSIDE INFORMATION AND INSIDER LISTS
Article 32. Principle of functional separation
32.1. EERP maintains an effective separation between the commercial function and the editorial function, in accordance with Clause 2(3) of the EU Code and with the general requirements of MiFID II and MAR regulation.
32.2. The separation is articulated by means of:
- (a) Attribution of differentiated functions: commercial function assumed by the Partners and, where applicable, by dedicated commercial staff; editorial function assumed by the Head of Research, the contracted External Analysts and the compliance function;
- (b) Limitations on access to sensitive non-public information;
- (c) Communication restrictions between functions in relation to research pieces in progress;
- (d) Specific regime for the management of the Watchlist;
- (e) Specific regime for the management of the Restricted List;
- (f) Where the Head of Research is a Partner, the additional safeguards of Article 13 where he or she exceptionally signs research as authoring Analyst and the general exclusion from the commercial function in accordance with Article 51.
Article 33. Watchlist
33.1. EERP maintains a strictly confidential Watchlist, managed by the Compliance Officer, which records the Issuers over which:
- (a) EERP has commenced preliminary analysis but has not yet published research;
- (b) EERP is in the process of negotiating an issuer-sponsored research contract;
- (c) There is relevant non-public information in the possession of specific persons within EERP.
33.2. The Watchlist is accessible exclusively to the Compliance Officer, to the Head of Research and, as necessary, to the Sole Administrator. The persons with access to Watchlist information are included in an insider list in accordance with Article 39 of this Code where that information is of an inside nature.
33.3. The inclusion of an Issuer in the Watchlist activates internal operational restrictions but does not give rise to public disclosure obligations until the moment when the Issuer passes to the Restricted List upon effective commencement of coverage.
Article 34. Restricted List
34.1. The Restricted List records the Issuers whose financial instruments are Covered Securities within the meaning of Article 3(t) of this Code.
34.2. The Restricted List is internal but the coverage itself is public (each research piece identifies the Issuer). Inclusion in the Restricted List activates:
- (a) The prohibitions on personal dealing of Title IX;
- (b) The disclosure obligations of Delegated Regulation 2016/958 and of the EU Code;
- (c) The update regime of Article 25.
34.3. An Issuer remains on the Restricted List throughout the duration of the coverage and during the subsequent periods established to guarantee the correct reflection of the information in the market.
Article 35. Wall-crossing
35.1. Where a Subject Person is to have access to inside information or relevant non-public information in relation to an Issuer, the wall-crossing protocol shall be followed:
- (a) Identification of the person, date and reason for the access;
- (b) Inclusion in the insider list in accordance with Article 18 MAR where the information is inside information;
- (c) Personal operational restriction over the Covered Securities until the corresponding embargo period is fulfilled;
- (d) Full documentation of the process, kept for at least 5 years.
35.2. The wall-crossing protocol is managed by the Compliance Officer.
Article 36. Management of management meetings and data rooms
36.1. Meetings with the Issuer's management (management meetings) and access to data rooms are managed in accordance with the wall-crossing protocol where there is a risk of access to inside information.
36.2. Prior to each management meeting or data room access, the assigned External Analyst, the Head of Research or the Partner who is to participate communicates to the Compliance Officer the expected nature of the access. The Compliance Officer determines whether it is appropriate to activate the wall-crossing protocol.
36.3. After the access, the person who has participated communicates to the Compliance Officer any inside information actually received, for the purposes of managing the insider list and any other obligation under MAR.
36.4. The Partners who participate in management meetings within the framework of the commercial function (negotiation of issuer-sponsored research contracts, roadshows, etc.) are subject to the same protocol. Inside information possibly received in these contexts gives rise to full MAR obligations.
Article 37. Internal communication on research in progress
37.1. The existence, content and planning of the research pieces in progress is strictly confidential information within EERP, accessible only to the authoring Analyst of the piece, to the Head of Research, to the Compliance Officer and, as necessary, to the editorial support staff under a duty of confidentiality.
37.2. The Partners and the commercial function receive only information on the scheduling of publications for the purposes of commercial coordination (calendars, events, roadshows), without access to analytical content or to recommendations or target prices prior to publication.
Article 38. General MAR regime
38.1. EERP fully complies with Regulation (EU) No 596/2014 in so far as it is applicable to it as a producer of research and potential recipient of inside information within the framework of its activity.
38.2. Subject Persons shall refrain, in any event, from:
- (a) Dealing on the basis of inside information (Article 14 MAR);
- (b) Unlawfully disclosing inside information (Article 14 MAR);
- (c) Manipulating the market (Article 15 MAR);
- (d) Any other conduct classified as market abuse.
38.3. The infringement of the MAR obligations constitutes a very serious breach of this Code and may give rise to administrative and, where applicable, criminal liability, in accordance with the applicable regulation.
Article 39. Insider lists
39.1. EERP maintains insider lists in accordance with Article 18 MAR, in which the natural and legal persons who have access to inside information within the framework of each Issuer or project appear.
39.2. The insider lists:
- (a) Are managed by the Compliance Officer;
- (b) Are updated with each addition or removal;
- (c) Include the data required by Article 18 MAR and by Implementing Regulation (EU) 2016/347;
- (d) Are notified to the persons included, with information on the resulting obligations and the consequences of breach;
- (e) Are made available to the CNMV when required;
- (f) Are kept for at least 5 years.
Article 40. Information embargo regime
40.1. The persons included in an insider list are subject to the information embargo during the period in which the information is inside information:
- (a) They may not deal in the Covered Securities of the affected Issuer, either directly or through Linked Persons;
- (b) They may not communicate the information to third parties, save in the normal exercise of their work or function in accordance with Article 10 MAR;
- (c) They may not recommend that third parties deal in the Covered Securities.
40.2. The embargo ceases when the information is no longer inside information, with the Compliance Officer being required to document the cessation.
TITLE VII. REGIME OF EXTERNAL ANALYSTS
Article 41. Outsourcing model
41.1. EERP, as its central operating model, outsources the substantive production of the research to qualified External Analysts, linked to the Company by means of a commercial contract for the provision of professional services, without prejudice to the possibility that the Head of Research may exceptionally act as authoring Analyst of certain pieces in accordance with Article 13.
41.2. This architecture is fully compatible with the EU Code, MAR and Delegated Regulation 2016/958, provided that EERP guarantees, by means of an adequate contractual and control regime, that the External Analysts comply with the same obligations of objectivity, independence and transparency as would be required of internal Analysts, in accordance with Clause 2(4) of the EU Code.
41.3. EERP is fully responsible, vis-à-vis the EU Code, vis-à-vis the distributing investment firms and vis-à-vis the recipient investors, for compliance with the EU Code by the contracted External Analysts.
Article 42. Framework contract with External Analysts
42.1. EERP enters into with each External Analyst a framework contract for the provision of professional services that, as a minimum, includes:
- (a) Express adherence to this Code and commitment to comply with all its provisions applicable to the Analyst role;
- (b) Assignment of the intellectual property over the research and over any analytical output produced under the contract to EERP, in accordance with Article 30 of the Articles of Association;
- (c) Confidentiality regime over all the information obtained under the contract, of indefinite duration;
- (d) Partial exclusivity regime: the External Analyst may not produce research, analysis, reports or investment recommendations on the specific Issuers covered by him or her for EERP, in favour of any other research firm, analysis house, IF or third party, during the duration of the coverage by EERP and during a subsequent period of three months. Outside the perimeter of the specific Issuers covered for EERP, the External Analyst may provide analysis services to other firms, without prejudice to the confidentiality and conflict-management obligations of this Code;
- (e) Regime of initial and continuous declaration of conflicts of interest, including: previous and current professional or corporate relationships with covered or potentially covered Issuers; personal holdings or holdings of Linked Persons in securities of covered Issuers; other professional mandates in progress that may affect objectivity;
- (f) Regime of declaration of the weight of the income from the Issuer or from EERP's coverage in the consolidated gross income of the External Analyst, for the purposes of compliance with Clause 3(2)(f) of the EU Code;
- (g) PA dealing regime applicable to the External Analyst, in accordance with Title IX, throughout the duration of the coverage and during the subsequent period;
- (h) Subjection to the disciplinary regime of Title XIV, with commercial termination of the contract as the maximum sanction in the event of very serious breaches;
- (i) Clause of subordination to the review and editorial approval of the Head of Research, without this affecting the analytical independence of the Analyst in the substantive content of the analysis;
- (j) Mandatory cooperation with the Compliance Officer in any internal investigation and in any request of the distributing investment firms or of the supervisory authorities;
- (k) Remuneration regime that shall not contain variable components, direct or indirect, linked to the content of the research, to the recommendation or to the target price, in accordance with Clause 4(3) of the EU Code;
- (l) Termination regime providing for the objective causes and the notice periods, without the Issuer being able in any event to intervene in the termination decision;
- (m) Submission to Spanish jurisdiction and Spanish law, without prejudice to the local legislation applicable to the External Analyst in his or her jurisdiction of residence, as regards the tax and social security regime.
Article 43. Selection and validation of External Analysts
43.1. The selection of External Analysts is the responsibility of the Head of Research, with verification by the Compliance Officer, in accordance with objective criteria that include:
- (a) Accredited professional qualification in financial analysis;
- (b) Relevant sectoral experience;
- (c) Absence of disqualifications, sanctions or records incompatible with the function;
- (d) Availability to comply with the editorial deadlines and formats;
- (e) Express acceptance of the Code and of the framework contract;
- (f) Absence of unmanageable conflicts of interest.
43.2. Each External Analyst is validated by the Compliance Officer prior to the signing of the framework contract. The validation includes verification of qualification, absence of legal impediments, and review of the initial declaration of conflicts.
Article 44. Allocation of coverage
44.1. The allocation of coverage to External Analysts is the responsibility of the Head of Research, having regard to the sectoral qualification, the availability and the absence of conflicts of interest with the specific Issuer.
44.2. Prior to each allocation, the External Analyst submits a specific declaration on potential conflicts with the specific Issuer. The Head of Research, with verification by the Compliance Officer, decides the allocation or denies it where unmanageable conflicts exist.
Article 45. Continuous supervision and effective control
45.1. EERP exercises effective and continuous control over compliance with the Code by the External Analysts, by means of:
- (a) Systematic editorial review of each piece by the Head of Research as editorial approver;
- (b) Compliance verification by the Compliance Officer on each publication;
- (c) Periodic internal audits of contractual and Code compliance by each External Analyst;
- (d) Periodic update of the declarations of conflicts of interest and of PA dealing;
- (e) Continuous training, where appropriate;
- (f) Annual review of compliance by the Internal Review Committee.
45.2. The breach of the Code or of the framework contract by an External Analyst activates the sanctioning regime of Title XIV, with consequences that may include the termination of the contract.
Article 46. Post-link regime of External Analysts
46.1. External Analysts whose contractual link with EERP ceases remain subject, during the period following the cessation that, where applicable, the framework contract establishes, to the restrictions of Title IX in respect of the specific Issuers they had covered during the last year of their link.
46.2. The confidentiality obligations over the sensitive information obtained during the link with EERP are of indefinite duration, in accordance with the framework contract.
46.3. EERP is aware that the practical effectiveness of the post-link regime depends on the cooperation of the former Analyst. Without prejudice to the disciplinary and contractual measures applicable in the event of breach, EERP shall endeavour to ensure that each framework contract with an External Analyst incorporates the clauses necessary to give effect to the post-contractual obligations in accordance with the applicable legislation.
TITLE VIII. PARALLEL ACTIVITIES OF THE PARTNERS AND REGIME OF THE PARTNERS
Article 47. Recognition of parallel activities
47.1. EERP expressly recognises that its Partners may carry out, simultaneously to their status as Partner of EERP, other professional or business activities in the field of capital markets, financial consultancy, financial communication, investor relations, market infrastructure, regulatory advice, investment management, the academic field or other areas that may interact with EERP's activity.
47.2. The existence of parallel activities is not incompatible per se with the status of Partner of EERP, but gives rise to potential conflicts of interest that must be identified, declared and managed in accordance with this Title.
Article 48. Declaration regime
48.1. The General Meeting of Partners shall decide on the advisability of establishing for the partners a complete initial declaration and an annual update declaration of their parallel professional or business activities and of the conflicts of interest that may arise from them.
Article 49. Declaration form
49.1. In accordance with the preceding article, where relevant, the declaration is submitted in the form established by the Compliance Officer and is kept in the Register of Conflicts of Interest in accordance with Article 29.
Article 50. Regime of conflicts where a parallel activity intersects with a covered Issuer
50.1. Where a parallel activity of a Partner (or of the natural person controlling a partner holding company, or of the entities it controls) intersects with an Issuer covered or potentially covered by EERP, the following measures shall apply:
- (a) Immediate declaration by the Partner to the Compliance Officer of the intersection identified;
- (b) Analysis of the intersection by the Compliance Officer, with the support of the External Adviser where necessary, to determine the nature of the conflict and the appropriate measures;
- (c) Decision of the Internal Review Committee on the measures to apply, which may include, among others:
- — Express disclosure of the intersection in each research piece on the Issuer;
- — Exclusion of the affected Partner from the decision on coverage allocation, on editorial review or on any other matter linked to the Issuer;
- — Waiver by the Partner of the conflicting parallel activity, where this is enforceable in accordance with the Shareholders' Agreement;
- — Waiver by EERP of the coverage of the Issuer, where the conflict is unmanageable and cannot be resolved by the foregoing measures;
- — Any other proportionate and reasonable measure.
- (d) Full documentation of the intersection and of the measures adopted in the Conflicts Register.
50.2. The obligation to declare intersections is continuous and is not exhausted by the initial or annual declaration.
Article 51. General regime of the Partners in the commercial function
51.1. The Partners (and, where appropriate, the natural persons who control the partner holding companies) are dedicated, in accordance with EERP's operating model, principally to the commercial function: negotiation with Issuers, client acquisition, management of the contractual relationship, alliances with Allied Exchanges and institutional representation of the Company.
51.2. The Partners do not produce analytical substance of the research. The production of research is the responsibility of the contracted External Analysts, under the supervision of the Head of Research, and, exceptionally, of the Head of Research himself or herself as authoring Analyst in accordance with Article 13.
Article 52. Specific regime of the commercial function vis-à-vis Issuers
52.1. The commercial function vis-à-vis Issuers (negotiation of issuer-sponsored research contracts, commercial roadshows, management of the contractual relationship) complies with the following conditions:
- (a) The commercial representations do not commit the analytical content or the recommendation. The commercial Partner may not promise favourable coverage, positive recommendations, or a specific target price, in accordance with Clause 2(3)(e) of the EU Code;
- (b) The Issuers are informed, prior to the signing of the contract, of EERP's editorial independence regime, including the right of the Head of Research to determine the recommendation and the target price, and the right of EERP to publish SELL recommendations or not to publish where objective causes concur;
- (c) The contract with each Issuer includes an express clause of respect for editorial independence and prohibition of pressure on the analytical content;
- (d) The commercial Partners do not receive information on the analytical content of pieces in preparation, without prejudice to the information on the scheduling of publications for the purposes of coordination.
TITLE IX. PERSONAL ACCOUNT DEALING AND INDIVIDUAL OBLIGATIONS
Article 53. General regime of personal account dealing
53.1. Subject Persons and their Linked Persons may not carry out personal transactions in Covered Securities under conditions that contravene this Title, in accordance with Clause 2(3)(b) and (c) of the EU Code.
53.2. This restriction affects the natural persons who, within EERP or within Subject Persons that are legal persons, have or may have access to the information on the content or scheduling of the research prior to its publication, as well as their Linked Persons.
53.3. Particularly strict regime of the Head of Research. Given that the Head of Research intervenes as systematic editorial approver in each research piece produced by EERP and, where applicable, as authoring Analyst of certain pieces, he or she has at all times knowledge of the timing and content of all the pieces in preparation. Consequently, all the Securities Covered by EERP are subject to the Restricted List regime for the Head of Research and his or her Linked Persons at all times, applying to him or her the strictest regime of prohibited transactions established in Article 54.
Article 54. Prohibited transactions
54.1. In relation to Covered Securities, it is prohibited for Subject Persons and their Linked Persons to:
- (a) Carry out personal transactions with knowledge of the timing or content of the research before it is publicly accessible and the recipients have had a reasonable opportunity to act (Clause 2(3)(b) EU Code);
- (b) Carry out personal transactions contrary to the recommendations in force, save in exceptional circumstances duly justified and previously authorised by the Compliance Officer (Clause 2(3)(c) EU Code);
- (c) Any other personal transaction in Covered Securities that compromises the objectivity or independence of the analysis or that contravenes the regime of this Title, as assessed by the Compliance Officer.
54.2. The prohibitions of the preceding paragraph apply throughout the duration of the coverage and during the subsequent period that, where applicable, his or her contract establishes, without prejudice to the obligations arising from inside information that might extend this period.
54.3. The restrictions of this Article affect the personal transactions of Subject Persons. They do not restrict, in any event, the activity of research, analysis and issuance of recommendations of the Company on any financial instrument, which is free in accordance with the approved analytical methodology and the applicable regulation.
Article 55. Transactions permitted with prior authorisation
55.1. Certain personal transactions require the prior authorisation of the Compliance Officer:
- (a) Transactions in Covered Securities that the Subject Person or his or her Linked Persons already held in their portfolio prior to the commencement of the coverage, as regards the disposal of the position;
- (b) Transactions in securities of Issuers included in the Watchlist but not in the Restricted List, where the person carrying out the transaction is aware of their inclusion in the Watchlist;
- (c) Transactions in securities of Issuers that had been previously covered and in respect of which the subsequent period of Article 54.2 has elapsed.
55.2. The prior authorisation shall be requested in writing (including by email). The Compliance Officer shall resolve within a reasonable period. The refusal of authorisation is binding. The Subject Person may request a review by the Internal Review Committee.
Article 56. Declaration regime
56.1. The Compliance Officer shall decide on the advisability of establishing for Subject Persons a declaration of their personal transactions and positions in Covered Securities. Where applicable, that declaration shall be submitted in the form established by the Compliance Officer and shall be kept in the Register of Conflicts of Interest in accordance with Article 29.
Article 57. Post-link regime
57.1. Subject Persons who cease their link with EERP remain subject, during the period following the cessation that, where applicable, their individual contract or the framework contract establishes, to the restrictions of Article 54 in respect of Covered Securities during the last year of their link.
57.2. The individual post-contractual non-competition clauses with economic compensation that meet the requirements of Article 21 of the Workers' Statute may establish additional obligations on the terms of the individual contract. In the case of External Analysts linked by a commercial contract, the equivalent clauses established by each framework contract shall apply.
57.3. EERP is aware that the practical effectiveness of the post-link regime depends on the individual contract and on the cooperation of the affected person. Subject Persons undertake, on the terms of their contract, not to use for themselves or for third parties the sensitive information acquired during their link with EERP.
Article 58. Regime of gifts, hospitality and inducements
58.1. Subject Persons shall refrain from accepting from Issuers, investors, distributing investment firms, Allied Exchanges or any other third party related to EERP's activity, gifts or tokens of hospitality that could affect the objectivity and independence of the analysis or the integrity of the Company's activity.
58.2. Only the following are admitted:
- (a) Symbolic courtesies of reduced value;
- (b) Meals and travel in the context of ordinary professional activity, without disproportionate luxury;
- (c) Attendance at professional events (conferences, roadshows, presentations) where the attendance is justified by the analytical or commercial activity.
58.3. Any courtesy that exceeds the thresholds of the preceding paragraph, or that may give rise to doubt as to its nature, shall be communicated to the Compliance Officer and, where applicable, shall be rejected.
58.4. EERP does not admit inducements within the meaning prohibited by the applicable regulation. The contractual relationships with Issuers and with distributing investment firms do not incorporate incentives linked to the content of the analysis.
TITLE X. DISTRIBUTION OF THE RESEARCH
Article 59. Authorised distribution channels
59.1. EERP distributes its research through the channels approved by the Sole Director, which may include, without limitation:
- (a) EERP corporate website;
- (b) Financial terminals (major market-data platforms), directly or through specialised technology providers;
- (c) Distribution to third-party investment firms for dissemination to their clients;
- (d) API in structured format for institutional clients and technology providers;
- (e) Segmented email to identified institutional recipients;
- (f) Professional news services;
- (g) Events, conferences, roadshows and presentations to investors;
- (h) White-label platforms of Allied Exchanges or other partners.
59.2. Each distribution channel is governed by the specific conditions approved by the Sole Director, without prejudice to the full observance of this Code and of the applicable regulation.
Article 60. Restrictions by jurisdiction
60.1. EERP is aware of the cross-border nature of its activity and that the distribution of research in foreign jurisdictions may be subject to country-specific regulation.
Article 61. Distribution in jurisdictions with a specific regime (United States, United Kingdom and others)
61.1. The distribution of research outside the European Union may be subject to specific national regimes, in particular that of the United States (where distribution to US persons is subject to the SEC regime, including Rule 15a-6 and concordant regulation) and that of the United Kingdom (where it is subject to the financial promotion regime of the Financial Services and Markets Act 2000 —in particular its section 21— and to the regulation of the Financial Conduct Authority), among other jurisdictions.
Article 62. Mandatory disclaimers
62.1. Each piece of research and each distribution channel shall incorporate the mandatory disclaimers, which may be developed in a separate document, and which shall include, as a minimum:
- (a) Identification of EERP as producer;
- (b) Nature of the research (issuer-sponsored or not);
- (c) Conflict-of-interest disclosures in accordance with Delegated Regulation 2016/958;
- (d) Warning about the non-personalised nature of the recommendation;
- (e) Warning about the nature of investment information and not of personalised financial advice;
- (f) Distribution restrictions by jurisdiction;
- (g) Reservation of intellectual property rights;
- (h) Disclosures relating to Allied Exchanges in accordance with Title XI where applicable;
- (i) Any other element required by the regulation.
62.2. The disclaimers shall be kept up to date by the Compliance Officer and reviewed with the advice of the external Adviser.
TITLE XI. ALLIANCES WITH ALLIED EXCHANGES AND OTHER MARKET INFRASTRUCTURES
Article 63. Nature and regime of agreements with Allied Exchanges
63.1. EERP may enter into white-label licence agreements, strategic alliances or any other form of collaboration with exchanges, organised markets or other market infrastructures (Allied Exchanges), by means of which EERP produces research that is distributed under the brand of the Allied Exchange or on platforms operated by it, in exchange for the consideration agreed in the agreement.
63.2. Each agreement with an Allied Exchange:
- (a) Incorporates an express clause respecting the editorial independence of EERP, in accordance with the principles of Title II and the requirements of the EU Code;
- (b) Establishes the prohibition of any interference by the Allied Exchange in the analytical content and in the publication decision;
- (c) Includes the express mention of compliance with the EU Code and with this Code in each piece of research distributed;
- (d) Maintains the mandatory disclosures under Delegated Regulation 2016/958 and the EU Code;
- (e) Documents the relationship between EERP and the Allied Exchange for transparency purposes towards the end investor.
63.3. Agreements with an Allied Exchange that exceed the threshold set by the Articles of Association or the Shareholders' Agreement require approval of the General Meeting of Shareholders with the reinforced majority that those instruments provide, in accordance with Article 11 of the Articles of Association.
Article 64. Conflicts of interest arising from alliances
64.1. EERP recognises that alliances with Allied Exchanges may generate structural conflicts of interest, in particular when EERP covers Issuers listed on exchanges with which it maintains an agreement, given that the Allied Exchange may receive economic consideration linked to the revenue generated by the coverage of such Issuers.
64.2. To prevent and manage these conflicts, EERP applies the following measures:
- (a) Express disclosure in each piece of research on Issuers listed on an Allied Exchange, indicating: the existence of the alliance agreement; the nature of the consideration agreed with the Allied Exchange; the circumstance that the Issuer is listed on the Allied Exchange;
- (b) Analytical independence preserved: the Allied Exchange does not intervene, directly or indirectly, in the decision on coverage, recommendation, target price or any other substantive aspect of the analysis;
- (c) Specific review by the Internal Review Committee of the coverage of Issuers on Allied Exchanges, to verify the absence of inappropriate pressure;
- (d) Reservation of EERP's right to issue SELL recommendations on Issuers listed on Allied Exchanges, without this being able to constitute grounds for termination of the alliance agreement nor cause for pressure by the Allied Exchange;
- (e) Full documentation of coverage decisions in the Conflicts Register.
Article 65. Distribution under white-label brand
65.1. When the research is distributed under the white-label brand of the Allied Exchange, the piece shall clearly identify:
- (a) EERP as producer of the research, in accordance with Article 2 of Delegated Regulation 2016/958;
- (b) The existence of the white-label alliance with the Allied Exchange;
- (c) Compliance with the EU Code and with this Code.
65.2. White-label distribution does not exempt EERP from any of its obligations under this Code, MAR, MiFID II or the EU Code.
TITLE XII. COMMUNICATIONS, MEDIA AND SOCIAL NETWORKS
Article 66. Communication with media and press
66.1. Communication with the media, specialised press and news agencies in relation to published research or to the analytical activity of EERP corresponds:
- (a) To the authoring Analyst of the piece, in relation to the analytical content, in accordance with Clause 2(3)(g) of the EU Code;
- (b) To the Head of Research, in relation to methodology, institutional positioning and editorial review;
- (c) To the Sole Director or to whomever he designates, in relation to corporate communication and general institutional positioning.
66.2. The authoring Analyst or the Head of Research who maintains contact with journalists in relation to research on an Issuer with which an issuer-sponsored research contract exists shall systematically remind the journalist of the existence of the contract, in accordance with Clause 2(3)(g) of the EU Code.
66.3. Communications with the media do not commit or anticipate the content of research in preparation that has not yet been published, in accordance with the MAR regime on the communication of inside information.
Article 67. Social networks
67.1. Subject Persons who use social networks and who identify themselves as linked to EERP shall observe the following obligations:
- (a) Not to publish content that constitutes an investment recommendation without subjecting it to Delegated Regulation 2016/958 and to this Code;
- (b) Not to anticipate conclusions of research in preparation;
- (c) Not to disclose confidential information about Issuers, investors or other third parties;
- (d) To maintain a professional tone consistent with the principles of Title II;
- (e) When they publish content about Covered Issuers, to include the compliance mentions and the disclaimers that the Compliance Officer establishes.
67.2. EERP's corporate social media account is managed by the person designated by the Sole Director.
Article 68. Conferences, academic papers and specialised publications
68.1. Subject Persons may participate in conferences, forums, academic or specialised professional publications, in which case:
- (a) They shall communicate the participation to the Compliance Officer with reasonable advance notice;
- (b) When the content may affect Covered Issuers or may be interpreted as an investment recommendation, it shall be subject to the regime applicable to investment recommendations;
- (c) They shall maintain the principles of objectivity and independence and disclose the relevant contractual relationships.
TITLE XIII. PROCESSING OF PERSONAL DATA AND RECORD-KEEPING
Article 69. General data protection regime
69.1. EERP fully complies with the GDPR and the LOPDGDD in the processing of personal data of Shareholders, Subject Persons, Issuers, investors, professional contacts and any other natural person whose data is processed within the framework of the Company's activity.
69.2. EERP maintains the documentation required by the GDPR: record of processing activities, impact assessment where applicable, data processor contracts with providers, privacy policy published on the website, etc.
Article 70. Investor databases
70.1. EERP may maintain proprietary databases of institutional investors, segmented in accordance with criteria of activity, sector and geography, managed under full compliance with the GDPR.
70.2. The databases:
- (a) Are fed exclusively from data obtained through lawful channels;
- (b) Are accessible exclusively to authorised personnel;
- (c) Are used only for the professional purposes of research distribution and communication with institutional recipients;
- (d) Allow the effective exercise of the rights of the data subjects;
- (e) Are subject to technical and organisational security measures proportionate to the risk.
Article 71. Security breaches
71.1. In the event of a personal data security breach that may pose a risk to the rights and freedoms of the data subjects, the Compliance Officer shall activate the established protocol for:
- (a) Notification to the Spanish Data Protection Agency within 72 hours, where applicable;
- (b) Notification to the affected data subjects, where applicable;
- (c) Internal investigation and corrective measures.
Article 72. Record-keeping
72.1. EERP keeps, for at least 5 years from the date of publication or generation, the records provided for in Clause 8 of the EU Code and in the MAR regulation, including:
- (a) Each contract with Issuers, including remuneration agreements;
- (b) Payments made and received;
- (c) Each piece of research published;
- (d) The information and sources used to produce the research;
- (e) All communications, direct or indirect, between the Issuer and EERP that are related to the content of the research;
- (f) Extracts or summaries of the research disseminated, including target prices and BUY/HOLD/SELL recommendations;
- (g) Information on conflicts of interest;
- (h) Insider lists in accordance with Article 18 MAR;
- (i) PA dealing declarations and authorisations granted;
- (j) Decisions of the Internal Review Committee;
- (k) Internal disciplinary files;
- (l) Editorial approval records in accordance with Article 12.4;
- (m) Documentation of the Head of Research acting as authoring Analyst in accordance with Article 13.3(e);
- (n) Any other documentation that the applicable regulation requires to be kept.
72.2. The records shall be kept on a medium that allows their access, reading and reproduction throughout the entire retention period.
72.3. The retention obligation is understood without prejudice to longer periods required by other regulations.
TITLE XIV. DISCIPLINARY REGIME AND INTERNAL WHISTLEBLOWING CHANNEL
Article 73. Types of breaches
73.1. Breaches of the Code are classified into:
- (a) Minor breaches: formal infringements, non-systematic delays in the submission of declarations, failure to communicate gifts of lesser value, minor errors in disclaimers that do not affect the substance of the research.
- (b) Serious breaches: non-formal breaches affecting compliance procedures, defects in disclosures, failures in the PA dealing regime without abuse of information, undue commercial intervention in editorial review without material alteration of the content, communication of sensitive information to unauthorised third parties without material harm, repeated breaches of the gifts regime, unjustified delay in updating the research in the face of material events, breaches of the regime for declaring parallel activities.
- (c) Very serious breaches: use of inside information; market manipulation; alteration of analytical content due to commercial pressure that has effectively been accepted; disclosure to Issuers of research drafts that exceed the permitted factual review; falsehood or wilful concealment in disclosures; breach of the PA dealing regime with personal benefit or benefit to Linked Persons; breach of the EU Code that compromises the «issuer-sponsored research» label; any other conduct that constitutes a crime or a very serious administrative infringement under MAR, MiFID II, LMV or concordant regulation.
Article 74. Internal sanctions
74.1. Without prejudice to the civil, administrative, criminal and labour or commercial consequences that the conduct may generate under the applicable regulation, EERP may impose the following internal sanctions on Subject Persons:
- (a) For minor breaches:
- — Documented verbal reprimand;
- — Written reprimand;
- — Mandatory complementary training.
- (b) For serious breaches:
- — Written reprimand with annotation in the file;
- — Temporary suspension of specific functions;
- — Loss of bonus or variable pay, where applicable;
- — Restriction of personal dealing with extended authorisation;
- — In the case of Shareholders or legal-person Subject Persons: temporary limitation of the right to participate in specific decisions related to the subject matter of the breach, on the terms of the Shareholders' Agreement;
- — In the case of External Analysts: temporary suspension of coverage assignments.
- (c) For very serious breaches:
- — Prolonged suspension of functions;
- — Termination of the employment contract on disciplinary grounds, in accordance with the Workers' Statute;
- — Termination of the commercial contract with External Analysts, contractors or professional service providers with just cause;
- — Claim for the damages caused to EERP;
- — Initiation of administrative and, where appropriate, criminal proceedings before the competent authorities;
- — In the case of Shareholders or legal-person Subject Persons: the consequences provided for in the Shareholders' Agreement, including, where applicable, forced exit mechanisms.
74.2. The effective applicability of the sanctions in the previous paragraph depends on the specific provision in the individual contract, in the framework contract with External Analysts, or in the Shareholders' Agreement. EERP shall endeavour for each contractual link with a Subject Person to incorporate the clauses necessary to make the sanctions provided for here effective.
Article 75. Disciplinary procedure
75.1. The disciplinary procedure is initiated by:
- (a) Direct detection by the Compliance Officer;
- (b) Information received through the internal whistleblowing channel;
- (c) Communication from any Subject Person;
- (d) Information received from Issuers, distributing investment firms, authorities, or any third party.
75.2. The procedure guarantees:
- (a) Notification to the investigated Subject Person of the facts and of the provisions of the Code allegedly infringed;
- (b) Reasonable period to submit allegations (indicatively, no less than ten working days);
- (c) Taking of evidence that is relevant;
- (d) Reasoned written resolution;
- (e) Possibility of review by the Internal Review Committee and, ultimately, by the administrative body or, where applicable, by the General Meeting of Shareholders.
75.3. The resolution is documented in the disciplinary file and is kept in accordance with Title XIII.
75.4. Recusal of the investigator. If the Compliance Officer has a conflict of interest in the procedure, the recusal rule of Article 9.4 applies, with the investigation being assumed by the General Meeting of Shareholders or, where one has been designated, by the external Adviser.
Article 76. Internal whistleblowing channel
76.1. EERP has an internal whistleblowing channel to receive communications about possible breaches of the Code and of the applicable regulation, accessible to all Subject Persons and, optionally, to third parties with a professional link to EERP.
76.2. The channel:
- (a) Is managed by the Compliance Officer and, where a conflict exists, by the external Compliance Adviser;
- (b) Guarantees the confidentiality of the informant and of the information communicated;
- (c) Allows anonymous communications, without prejudice to the better investigative capacity when the informant identifies themselves;
- (d) Protects the informant from any reprisal, in accordance with the principles of Law 2/2023;
- (e) Establishes reasonable response deadlines.
- (f) Keeps a record of communications and resolutions.
76.3. EERP, even though it is not obliged by Law 2/2023 as it does not exceed 50 employees nor is it foreseen to exceed them, voluntarily assumes the principles and guarantees of that Law in the operation of the internal channel, insofar as they are compatible with its size and operations.
76.4. In the cases provided for by Law 2/2023, informants may go directly to the external channels provided for by that Law, including the Independent Authority for the Protection of the Informant.
TITLE XV. TRAINING, CERTIFICATION AND RELATIONS WITH AUTHORITIES
Article 77. Initial training
77.1. Every Subject Person receives, at the time of their incorporation or subjection to the Code, mandatory initial training on:
- (a) This Code and its guiding principles;
- (b) MAR and Delegated Regulation 2016/958;
- (c) MiFID II and the EU Code where applicable;
- (d) GDPR where applicable;
- (e) PA dealing regime and information barriers;
- (f) Inside information regime and insider lists;
- (g) Mandatory disclaimers and disclosures;
- (h) Disciplinary procedure and whistleblowing channel;
- (i) Specific regime applicable according to the role (External Analyst, Head of Research, Shareholder, etc.).
77.2. The training is documented and kept in the personal file of the Subject Person.
Article 78. Continuing training
78.1. Subject Persons receive continuing training at least annually, on relevant regulatory developments, changes in this Code, administrative and judicial case law of interest, and practical cases relevant to the activity.
Article 79. Annual compliance certification
79.1. Subject Persons sign an annual certification of compliance with the Code, in which they declare:
- (a) Having read and understood the Code in its current version;
- (b) Having complied during the previous financial year with the obligations of the Code;
- (c) Having declared the conflicts of interest and relevant transactions;
- (d) Having no knowledge of breaches by third parties that they have not reported.
79.2. The certification is filed by the Compliance Officer.
Article 80. Cooperation with the CNMV
80.1. EERP fully cooperates with the CNMV in any request that this authority makes in relation to its activity, in accordance with the LMV and concordant regulation.
80.2. The CNMV's requests are channelled through the Compliance Officer, with the assistance of the external Adviser where necessary.
Article 81. Cooperation with distributing investment firms and external auditors
81.1. EERP makes available to investment firms that intend to distribute its research under the «issuer-sponsored research» label the information necessary for those investment firms to be able to verify compliance with the EU Code, in accordance with Clause 7 thereof.
81.2. EERP may, on its own initiative, commission an independent external auditor to prepare an opinion on compliance with the EU Code, in accordance with Article 2(3)(a) of the Delegated Regulation of the EU Code, which shall be made available to the distributing investment firms to reduce the friction of verification.
81.3. EERP cooperates with any external auditor engaged under the terms of the previous paragraph.
TITLE XVI. VALIDITY, AMENDMENT AND PUBLICATION
Article 82. Approval and entry into force
82.1. This Code is approved by the Sole Director of EERP in the exercise of the powers attributed by the Articles of Association and, in particular, by its Article 28.
82.2. The Code enters into force on the day of its approval or, if the Sole Director so decides, on the date of effective commencement of the Company's activity or on any other later date indicated.
Article 83. Review and amendment
83.1. The Code is reviewed annually, and whenever the following occur:
- (a) Material changes in the applicable regulation;
- (b) Material changes in the structure, activity or organisation of EERP;
- (c) Identification of gaps, ambiguities or inadequacies;
- (d) Recommendations of the external Compliance Adviser;
- (e) Communications or requests from the CNMV or other authorities.
83.2. Amendments to the Code are approved by the Sole Director, unless the amendment affects matters statutorily reserved to the General Meeting of Shareholders.
83.3. Amendments are published on the website simultaneously with their approval, indicating the date of entry into force and, where applicable, the transitional provisions.
Article 84. Publication
84.1. The current version of the Code is published on EERP's corporate website, in a section accessible to the public, in accordance with Article 28 of the Articles of Association.
84.2. Previous versions are kept internally with their period of validity, for traceability purposes.
FINAL PROVISIONS
First Final Provision. Interpretation
1. The interpretation of the Code corresponds, in the first instance, to the Compliance Officer, with the support of the external Adviser where necessary.
2. Interpretative doubts are resolved in the light of the guiding principles of Title II and the regulatory framework of Title I, in favour of the option most protective of the investor and of market integrity.
Second Final Provision. Conflicts between the Code and the applicable regulation
1. In the event of conflict between any provision of the Code and a rule of higher rank, the rule shall prevail.
2. In case of doubt, the Code shall be interpreted in the sense that is consistent with the applicable regulation.
3. If a provision of the Code should prove incompatible with supervening regulation, that provision shall be understood to be amended or repealed to the extent necessary, without this affecting the rest of the Code.
Third Final Provision. Complementary documents
1. The Code, where relevant, is complemented, among others, by the following documents, which shall be considered an integral part of EERP's compliance regime:
- (a) Conflicts of Interest Policy;
- (b) Analytical Methodology Policy;
- (c) International Distribution Policy;
- (d) Policy on the Use of Technology in Research Production;
- (e) Compliance Manual;
- (f) Shareholders' Agreement, in relation to the compliance obligations of the Shareholders;
- (g) Framework contract with External Analysts;
- (h) Any other document that the Sole Director approves in development of the Code.