Regulated Financial Services Flashcards
What is the Competition Regulator in the UK?
Competition and Markets Authority (CMA)
COBS
Conduct of Business Sourcebook
ICOBS
Insurance: Conduct of Business Sourcebook
MCOB
Mortgages and Home Finance: Conduct of Business Sourcebook
Explain COBS
Regulatory rules governing investment advice
- Applies to firms that deal in regulated life, pensions and investment advice as well as deposit taking business
Explain ICOBS
Regulatory rules governing non-investment insurance advice
- Applies to firms conducting protection and general insurance business
Explain MCOB
Regulatory rules governing home finance and mortgage advice
- Applies to firms conducting mortgage lending and advising
What is the profile document investment advisors must provide clients?
Suitability Report
What is the profile document mortgage advisors must provide clients?
Suitability Letter
What is the profile document general insurance advisors must provide clients?
Demands and Needs Statement
What is the function of banks and building societies?
To turn short-term savings into longer-term lending
How does the government raise funds?
Through the UK Debt Management Office and National Savings and Investments
What four things can be insured?
- Physical Assets
- Earnings
- Profit Potential
- Financial Transactions
What two objectives did capital markets develop for?
- The need for investors to be able to invest in assets that provide real growth
- The need for companies to raise funds without having to borrow from a bank
What are the four key components within the financial sector?
- Financial markets (on-exchange and otc)
- Financial Firms
- Financial infrastructure (payment, settlement, clearing and trading)
- Financial authorities
