Financial Services

Question 1

What is the general prohibitions on providing financial services under the FSMA?

Answer 1

No person may carry on REGULATED ACTIVITY unless authorized or EXEMPT

Question 2

What are regulated activities under the FSMA

Answer 2

Specified Activity + Specified Investment + In the course of business + No EXCLUSION applies

Question 3

What are “specified activities” under the FSMA?

Answer 3

Advising
Arranging
Dealing as an agent
Managing
Safeguarding

Question 4

What are “specified investments” under the FSMA?

Answer 4

Insurance Contracts
Company Shares
Debentures
Mortgage Contracts
Pension Schemes
Funeral Plans

NOT: Land or National Savings Products

Question 5

What are the EXCLUSIONS to regulated activities under FSMA?

Answer 5

Takeover exclusion
Acting as a trustee, nominee, or personal rep
Acting through an authorized person
Providing necessary activities

Question 6

What are the EXEMPTIONS to providing regulated activities?

Answer 6

Member of the SRA + Providing an incidental activity
- Solicitor must not receive compensation unless account for to client