The Investment Recommendation (Media) Regulations 2005

Dissemination of altered investment recommendations

9.—(1) A person disseminating an investment recommendation produced by a third party who makes a change to the direction of the recommendation (such as the change of a recommendation to “buy” into one to “hold” or to “sell” (or vice versa)), must comply with regulations 4 to 6.

(2) A person disseminating an investment recommendation produced by a third party who does not make a change to the direction of the recommendation but who makes some other substantial alteration, must ensure that the details of that alteration are clearly indicated.

(3) Where the dissemination referred to in paragraph (2) is by a legal person (either itself or through a natural person) that legal person must have a formal written policy so that those receiving the information are directed to where they can have access to–

(a) the identity of the person who produced that recommendation,

(b) the investment recommendation itself, and

(c) any disclosures of the financial interests and conflicts of interest of the person who produced the recommendation which have been made pursuant to regulation 6(1) or in accordance with any rules made by the Financial Services Authority(1).

(1)

The Authority has powers to make rules under Part X of the Financial Services and Markets Act 2000.