Money is on the move, law must pave the way. Iran’s financial markets have grown significantly in recent years. The stock exchange, portfolio management, investment funds, banks and credit institutions, leasing and digital financial platforms are all major players in this complex ecosystem. But every financial transaction, every stock portfolio and every banking contract brings with it a world of legal requirements, legal risks and disciplinary regulations. The Portfolio Management, Stock Exchange and Banking Law Department of the Lawyers Club responds to the specialized needs of the activists in this dynamic market.

The most important legal challenges of portfolio management, stock exchange and banking

1. Portfolio management and attorney-at-law contracts in securities transactions

The legal relationship between the portfolio manager and the client is a relationship of attorney combined with trust. The limits of the portfolio manager’s authority in buying and selling, the method of profit and loss distribution, conflict of interest and the obligation to provide information are among the main challenges in this area.

2. Claims arising from volatility and custom trading

Trading based on volatility orders by major shareholders and price manipulation are among the stock market violations that the stock exchange organization deals with and generates numerous lawsuits.

3. Capital market enforcement guarantees

From warnings and warnings to suspension of the symbol, fines, suspension of the activity license and even referral to the judicial authorities. Portfolio managers, issuers and brokers are constantly exposed to these enforcement guarantees.

4. Disputes regarding investment funds

Exchangeable funds (ETFs), fixed income funds, hedge funds, etc. Each has its own regulations. Disputes in asset valuation, cancellation of units and profit distribution are common lawsuits.

5. Letters of credit and bank drafts

One of the most complex areas of banking law. Letters of Credit (LC), bills of exchange, promissory notes and checks, bank guarantees and their collection, and lawsuits related to commercial documents.

6. Returned checks and their criminal and civil lawsuits

Despite the new check law, there are still many lawsuits regarding returned checks, certificates of non-payment, and issuance of writs of execution that require specialized legal follow-up.

7. Banking contracts and facilities (civil partnership, mudarabah, murabahah)

Banking facilities are designed with Islamic contracts. However, the implementation of these contracts in practice creates numerous differences in the method of calculating interest, method of repayment, late fees, and method of selling securities.

8. Crimes related to money laundering and terrorist financing

The Anti-Money Laundering Law and the Central Bank’s guidelines require banks and financial institutions to identify customers, maintain records, and report suspicious transactions. Violation of these requirements can create criminal liability for managers.

9. Brokerage disputes and trading codes

Stock code, registration and authentication, erroneous transactions, unsupported orders and the method of settlement of transactions. Disputes between the client and the broker in these cases constitute a significant volume of stock market legal cases.

10. Credit rating and bankruptcy of legal entities

Credit risk assessment, declaration of bankruptcy of companies, liquidation methods and rights of debt securities holders in the event of issuer default are advanced legal issues in this field.

Why the Portfolio Management, Stock Exchange and Banking Law Department of the Lawyers Club?

The capital market and the banking system are the most systematic and highly supervised sectors of the Iranian economy. The team of lawyers in this department, while mastering the laws of the stock market, Central Bank regulations, the decisions of the Administrative Court of Justice and the procedures of the boards investigating stock market violations, is ready to accompany you.

Our services:

1. Legal advice to portfolio managers, brokerage firms and funds
2. Drafting portfolio management contracts and representation in transactions
3. Pursuing claims against stockbrokers and issuers
4. Consulting in banking lawsuits (facilities, letters of credit, checks)
5. Defense in stock market and disciplinary violation cases
6. Drafting bank facility contracts and Islamic contracts
7. Consulting in the field of combating money laundering and compliance
Arbitration of financial disputes
Your capital is in the market, your rights are in our hands. Portfolio Management, Stock Market and Banking Law Department, your legal partner in the financial markets. For more information, send a message to 09127607318.