For a retail client, ACME can meet MiFID best execution by which action?

• A. Getting the highest total consideration for Keith for the sale of the shares.
• B. Fully disclosing to Keith all commissions which ACME will earn in relation to executing the order.
• C. Scaling its execution charges by the value of the shares sold by Keith.
• D. Ensuring that the shares are appropriate for the purchaser of Keith's shares.

Answer: (A)

Best execution means securing the best possible result for the client when an order is placed, taking into account factors like price, costs, speed, and likelihood of execution. For a retail client selling shares, the most direct way to achieve that outcome is to obtain the highest amount received from the sale—the total consideration. This focuses on maximizing the proceeds from the trade, which is the primary driver of the client’s financial outcome in a sale.

Disclosing commissions is important for transparency but doesn’t by itself define best execution. Scaling execution charges by trade value would distort costs and could hinder getting the best price. Ensuring the shares are appropriate for the purchaser touches on suitability, not the quality of the execution outcome for the seller.