The Financial Services and Markets Act 2000 (Regulated Activities) Order 2001

3 Interpretation

PART II SPECIFIED ACTIVITIES

Chapter IGeneral

4 Specified activities: general

Chapter IIAccepting Deposits

5 Accepting deposits

6 Sums paid by certain persons

7 Sums received by solicitors etc.

8 Sums received by persons authorised to deal etc.

9 Sums received in consideration for the issue of debt securities

9A Sums received in exchange for electronic money

9AA Information Managers of UCITS and AIFs

9ABFunds received for payment services

9ACLocal authorities

CHAPTER IIA ELECTRONIC MONEY

9BIssuing electronic money

9BAArticles 9C to 9I and 9K apply only in the...

9CPersons certified as small issuers etc.

9DApplications for certificates

9ERevocation of certificate on FCA’s own initiative

9FRevocation of certificate on request

9GObtaining information from certified persons etc.

9HRules prohibiting the issue of electronic money at a discount

9I False claims to be a certified person

9J Exclusion of electronic money from the compensation scheme

9KRecord of certified persons

9LFunds received for payment services

Chapter IIIInsurance

10 Effecting and carrying out contracts of insurance

11 Community co-insurers

12 Breakdown insurance

12A informationManagers of UCITS and AIFs

12BTransformer vehicles: insurance risk transformation

13 Application of sections 327 and 332 of the Act to insurance market activities

CHAPTER 3AInsurance risk transformation

13ATransformer vehicles: insurance risk transformation

Chapter IVDealing in Investments as Principal

14 Dealing in investments as principal

15 Absence of holding out etc.

16 Dealing in contractually based investments

17 Acceptance of instruments creating or acknowledging indebtedness

18 Issue by a company of its own shares etc.

18ADealing by a company in its own shares

19 Risk management

19ATransformer vehicles: insurance risk transformation

20 Other exclusions

Chapter VDealing in Investments as Agent

21 Dealing in investments as agent

22 Deals with or through authorised persons

23 Risk management

24 Other exclusions

Chapter 5ABidding in Emissions Auctions

24ABidding in emissions auctions

24BMiscellaneous exclusions

Chapter VIArranging Deals in Investments

25 Arranging deals in investments

25AArranging regulated mortgage contracts

25BArranging regulated home reversion plans

25CArranging regulated home purchase plans

25DOperating a multilateral trading facility

25DAOperating an organised trading facility

25EArranging regulated sale and rent back agreements

26 Arrangements not causing a deal

27 Enabling parties to communicate

28 Arranging transactions to which the arranger is a party

28AArranging contracts , plans or agreements to which the arranger is a party

29 Arranging deals with or through authorised persons

29AArrangements made in the course of administration by authorised person

30 Arranging transactions in connection with lending on the security of insurance policies

31 Arranging the acceptance of debentures in connection with loans

32 Provision of finance

33AIntroducing to authorised persons etc.

33BProvision of information – contracts of insurance

34 Arrangements for the issue of shares etc.

35 International securities self-regulating organisations

35ATrade repositories

35ABSecuritisation repositories

35BProviding pensions guidance under Part 20A of the Act

36 Other exclusions

Chapter 6ACredit Broking

36ACredit broking

36BIntroducing by individuals in the course of canvassing off trade premises

36CActivities for which no fee is paid

36DTransaction to which the broker is a party

36EActivities in relation to certain agreements relating to land

36FActivities carried on by members of the legal profession etc

36FAActivities carried on by registered social landlords

36GOther exclusions

Chapter 6BOperating an Electronic System in Relation to Lending

36HOperating an electronic system in relation to lending

36IInformation society services

36IAActivities in relation to debentures and bonds

36JMeaning of “consumer”

Chapter VIIManaging Investments

37 Managing investments

39 Other exclusions

CHAPTER VIIAAssisting in the Administration and Performance of a Contract of Insurance

39AAssisting in the administration and performance of a contract of insurance

39BClaims management on behalf of an insurer etc.

39COther exclusions

Chapter 7BActivities in Relation to Debt

39DDebt adjusting

39EDebt-counselling

39FDebt-collecting

39GDebt administration

39HActivities where person has a connection to the agreement

39IActivities carried on by certain energy suppliers

39JActivities carried on in relation to a relevant agreement in relation to land

39KActivities carried on by members of the legal profession etc

39KAActivities carried on by reason of providing pensions guidance under Part 20A of the Act

39LOther exclusions

39MMeaning of “consumer” etc.

Chapter VIIISafeguarding and Administering Investments

40 Safeguarding and administering investments

41 Acceptance of responsibility by third party

42 Introduction to qualifying custodians

42ADepositaries of UK UCITS and AIFs

43 Activities not constituting administration

44 Other exclusions

Chapter IXSending Dematerialised Instructions

45 Sending dematerialised instructions

46 Instructions on behalf of participating issuers

47 Instructions on behalf of settlement banks

48 Instructions in connection with takeover offers

49 Instructions in the course of providing a network

50 Other exclusions

Chapter XCollective Investment ...

51 Establishing etc. a collective investment scheme

51ZAManaging a UK UCITS

51ZBActing as trustee or depositary of a UK UCITS

51ZCManaging an AIF

51ZDActing as trustee or depositary of an AIF

51ZEEstablishing etc. a collective investment scheme

51ZFPersons excluded from managing an AIF

51ZGOperating a collective investment scheme in relation to a UK UCITS or an AIF

51AOther exclusions

Chapter XI... Pension Schemes

52Establishing etc. a pension scheme

52AOther exclusions

CHAPTER XIAProviding Basic Advice On Stakeholder Products

52BProviding basic advice on stakeholder products

52CProviding pensions guidance under Part 20A of the Act

Chapter XIIAdvising on Investments

53 Advising on investments

53AAdvising on regulated mortgage contracts

53BAdvising on regulated home reversion plans

53CAdvising on regulated home purchase plans

53DAdvising on regulated sale and rent back agreements

53DAAdvising on regulated credit agreements for the acquisition of land

53EAdvising on conversion or transfer of pension benefits

54 Advice given in newspapers etc.

54AAdvice given in the course of administration by authorised person

54BAdvice given by reason of providing pensions guidance under Part 20A of the Act

55 Other exclusions

Chapter XIIILloyd’s

56 Advice on syndicate participation at Lloyd’s

57 Managing the underwriting capacity of a Lloyd’s syndicate

58 Arranging deals in contracts of insurance written at Lloyd’s

58AInformation Managers of UCITS and AIFs

Chapter XIVFuneral Plan Contracts

59 Funeral plan contracts

60 Plans covered by insurance or trust arrangements

60ZALocal authorities

60A...Managers of UCITS and AIFs

Chapter 14ARegulated Credit Agreements

60BRegulated credit agreements

60CExempt agreements: exemptions relating to the nature of the agreement

60DExempt agreements: exemption relating to the purchase of land for non-residential purposes

60EExempt agreements: exemptions relating to the nature of the lender

60FExempt agreements: exemptions relating to number of repayments to be made

60GExempt agreements: exemptions relating to the total charge for credit

60HExempt agreements: exemptions relating to the nature of the borrower

60HAExempt agreements: provision qualifying articles 60E, 60F and 60H

60IArranging administration by authorised person

60JAdministration pursuant to agreement with authorised person

60JAPayment institutions

60JBElectronic money institutions

60KOther exclusions

60LInterpretation of Chapter 14A etc.

60LAMeaning of consumer etc.

60LBGreen deal plans

60MTotal charge for credit

Chapter 14BRegulated Consumer Hire Agreements

60NRegulated consumer hire agreements

60OExempt agreements: exemptions relating to nature of agreement

60PExempt agreements: exemptions relating to supply of essential services

60QExempt agreements: exemptions relating to the nature of the hirer

60ROther exclusions

60SMeaning of consumer etc.

Chapter XVRegulated Mortgage Contracts

61 Regulated mortgage contracts

61AMortgage contracts which are not regulated mortgage contracts

62 Arranging administration by authorised person

63 Administration pursuant to agreement with authorised person

63AOther exclusions

Chapter XVARegulated Home Reversion Plans

63BEntering into and administering regulated home reversion plans

63CArranging administration by authorised person

63DAdministration pursuant to agreement with authorised person

63EOther exclusions

Chapter XVBRegulated Home Purchase Plans

63FEntering into and administering regulated home purchase plans

63GArranging administration by authorised person

63HAdministration pursuant to agreement with authorised person

63IOther exclusions

Chapter XVCRegulated Sale and Rent Back Agreements

63JEntering into and administering regulated sale and rent back agreements

63KArranging administration by authorised person

63LAdministration pursuant to agreement with authorised person

63MOther exclusions

Chapter 15DActivities of Reclaim Funds

63NDormant account funds

Chapter 15ESpecified Benchmarks

63OSpecified benchmarks

63PPublicly available factual data and subscription services

63QAdministration of a specified benchmark by the FCA

63SAdministering a benchmark

63TAdministration of a benchmark by the FCA

Chapter XVIAgreeing to Carry on Activities

64 Agreeing to carry on specified kinds of activity

65Overseas persons etc

Chapter XVIIExclusions Applying to Several Specified Kinds of Activity

66 Trustees, nominees and personal representatives

67 Activities carried on in the course of a profession or non-investment business

68 Activities carried on in connection with the sale of goods or supply of services

69 Groups and joint enterprises

70 Activities carried on in connection with the sale of a body corporate

71 Activities carried on in connection with employee share schemes

72 Overseas persons

72AInformation society services

72AAManagers of UK UCITS and AIFs

72BActivities carried on by a provider of relevant goods or services

72CProvision of information on an incidental basis

72DLarge risks contracts where risk situated outside the United Kingdom

72EBusiness Angel-led Enterprise Capital Funds

72FInterpretation

72GLocal authorities

72HInsolvency practitioners

72IRegistered consumer buy-to-let mortgage firms

72JPersons seeking to use the exemption under Article 2.1(j) of the markets in financial instruments directive

PART III SPECIFIED INVESTMENTS

73 Investments: general

74A Electronic money

75 Contracts of insurance

77 Instruments creating or acknowledging indebtedness

77AAlternative finance investment bonds

78 Government and public securities

79 Instruments giving entitlements to investments

80 Certificates representing certain securities

81 Units in a collective investment scheme

82Rights under a pension scheme

82AGreenhouse gas emissions allowances

82BEmission allowances

85 Contracts for differences etc.

86 Lloyd’s syndicate capacity and syndicate membership

87 Funeral plan contracts

88 Regulated mortgage contracts

88ARegulated home reversion plans

88BRegulated home purchase plans

88CRegulated sale and rent back agreements

88DCredit agreement

88EConsumer hire agreement

89 Rights to or interests in investments

PART 3ASPECIFIED ACTIVITIES IN RELATION TO INFORMATION

89AProviding credit information services

89BProviding credit references

89CActivities carried on by members of the legal profession, etc

89DOther exclusions

89EMeaning of “consumer” etc.

PART 3BCLAIMS MANAGEMENT ACTIVITIES IN GREAT BRITAIN

89FSpecified kinds of claims management activity

89GSeeking out, referrals and identification of claims or potential claims

89HAdvice, investigation or representation in relation to a personal injury claim

89IAdvice, investigation or representation in relation to a financial services or financial product claim

89JAdvice, investigation or representation in relation to a housing disrepair claim

89KAdvice, investigation or representation in relation to a claim for a specified benefit

89LAdvice, investigation or representation in relation to a criminal injury claim

89MAdvice, investigation or representation in relation to an employment related claim

89NClaims management activity conducted by legal professionals

89OClaims management activity conducted by a charity or not-for-profit agency

89PClaims management activity conducted by a person appointed by a statutory or other public body

89QClaims management activity conducted by the Motor Insurers’ Bureau

89RClaims management activity conducted by a medical defence union

89SClaims management activity conducted an independent trade union

89TClaims management activity conducted by a students’ union

89UClaims management activity conducted by an insurance intermediary

89VCertain providers of referrals

89WServices in connection with counterclaims and claims against third parties

PART IV CONSEQUENTIAL PROVISIONS

Regulated mortgage contracts: consequential provisions

90 Consequential amendments of the Consumer Credit Act 1974

91 Consequential amendments of subordinate legislation under the Consumer Credit Act 1974

PART VUNAUTHORISED PERSONS CARRYING ON INSURANCE DISTRIBUTION ACTIVITIES

92Interpretation

93Duty to maintain a record of unauthorised persons carrying on insurance distribution activities

94Members of designated professional bodies

95Exclusion from record where not fit and proper to carry on insurance distribution activities

96Exclusion from the record where FCA has exercised its powers under Part XX of the Act

PART 6MISCELLANEOUS

97Disapplication of section 49(2) of the Act

SCHEDULE 1 CONTRACTS OF INSURANCE

PART I CONTRACTS OF GENERAL INSURANCE

3 Land vehicles

4 Railway rolling stock

7 Goods in transit

8 Fire and natural forces

9 Damage to property

10 Motor vehicle liability

11 Aircraft liability

12 Liability of ships

13 General liability

16 Miscellaneous financial loss

17 Legal expenses

PART II CONTRACTS OF LONG-TERM INSURANCE

I Life and annuity

II Marriage and birth

III Linked long term

IV Permanent health

VI Capital redemption contracts

VII Pension fund management

VIII Collective insurance etc.

IX Social insurance

SCHEDULE 2Financial Instruments and Investment services and activities

“Financial instruments

1Transferable securities;

2Money-market instruments;

3Units in collective investment undertakings;

4Options, futures, swaps, forward rate agreements and any other derivative...

5Options, futures, swaps, forwards and any other derivative contracts relating...

6Options, futures, swaps, and any other derivative contract relating to...

7Option, futures, swaps, forwards and any other derivative contracts relating...

8Derivative instruments for the transfer of credit risk;

9Financial contracts for differences;

10Options, futures, swaps, forward rate agreements and any other derivative...

11Emission allowances consisting of any units recognised for compliance with...

PART 2Articles 5 to 8, 10 and 11 of the Commission Regulation

Article 5Wholesale energy products that must be physically settled

1For the purposes of paragraphs 6 and 7 of Part...

2Operational netting shall be understood as any nomination of quantities...

3For the purposes of paragraphs 6 and 7 of Part...

4For the purposes of paragraphs 6 and 7 of Part...

5The existence of force majeure or bona fide inability to...

6The existence of default clauses providing that a party is...

7The delivery methods for the contracts being considered as ‘physically...

Article 6Energy derivative contracts relating to oil and coal and wholesale energy products

1For the purposes of paragraph 6 of Part 1 of...

2For the purposes of paragraph 6 of Part 1 of...

3For the purposes of paragraphs 6 and 7 of Schedule...

Article 7Other derivative financial instruments

1For the purposes of paragraph 7 of Part 1 of...

2A spot contract for the purposes of paragraph 1 shall...

3For the purposes of paragraph 10 of Part 1 of...

4A contract shall be considered to be for commercial purposes...

Article 8Derivatives under paragraph 10 of Part 1 of Schedule 2

Article 10Characteristics of other derivative contracts relating to currencies

1For the purposes of paragraph 4 of Part 1 of...

2A spot contract for the purposes of paragraph 1 shall...

3The major currencies for the purposes of paragraph 2 shall...

4For the purposes of paragraph 2, a trading day shall...

Article 11Money-market instruments

PART 3SECTION A OF ANNEX I TO THE MARKETS IN FINANCIAL INSTRUMENTS DIRECTIVE

“Investment services and activities

1Reception and transmission of orders in relation to one or...

2Execution of orders on behalf of clients.

3Dealing on own account.

4Portfolio management.

5Investment advice.

6Underwriting of financial instruments and/or placing of financial instruments on...

7Placing of financial instruments without a firm commitment basis.

8Operation of an MTF .

9Operation of an OTF. ”

PART 3AANCILLARY SERVICES

1Safekeeping and administration of financial instruments for the account of...

2Granting credits or loans to an investor to allow the...

3Advice to undertakings on capital structure, industrial strategy and related...

4Foreign exchange services where these are connected to the provision...

5Investment research and financial analysis or other forms of general...

6Services relating to underwriting.

7Investment services and activities included in Part 3 of this...

PART 4Article 9 of the Commission Regulation

Article 9Investment advice

PART 5Interpretation

SCHEDULE 3Exemptions from the definition of “investment firm”

1The following persons are excluded from the definition of “investment...

2This paragraph applies if— (a) P's main business is not—...

3The exemption in paragraph 1(p)— (a) only applies to the...

4References in this Schedule to “regulated markets”, “MTFs” and “trading...

5Any expression used in this Part of this Schedule which...

PART 2Provision of investment service in an incidental manner

6For the purpose of the exemption in paragraph 1(d), an...

SCHEDULE 4Relevant Text of the Insurance Distribution Directive

PART 1Article 1.3

PART 2Article 2.1(1)

PART 3Article 2.1(2)

PART 4Article 2.1(4)

PART 5Article 2.2

PART 6Modifications of Article 1.3, 2.1(2) and (4) and 2.2

1This Part has effect for the purposes of article 4(5)....

2Article 2.1(2) of the insurance distribution directive has effect—

3Article 2.1(4) of the insurance distribution directive has effect as...

4Article 2.2 of the insurance distribution directive has effect as...

SCHEDULE 4AMEANING OF “BORROWER” IN RELATION TO GREEN DEAL CREDIT AGREEMENTS

SCHEDULE 5SPECIFIED BENCHMARKS

SCHEDULE 6FUNCTIONS INCLUDED IN THE ACTIVITY OF MANAGING A UCITS: ANNEX II TO THE UCITS DIRECTIVE

1Investment management.

2Administration— (a) legal and fund management accounting services;

SCHEDULE 7ADDITIONAL ACTIVITIES INCLUDED IN THE ACTIVITY OF MANAGING AN AIF LISTED IN PARAGRAPH 2 OF ANNEX I TO THE ALTERNATIVE INVESTMENT FUND MANAGERS DIRECTIVE

(a) Administration— (i) legal and fund management accounting services;

SCHEDULE 8PERSONS EXCLUDED FROM REGULATED ACTIVITY OF MANAGING AN AIF

1Interpretation of this Schedule

1AFor the purposes of paragraph 1, in Article 4(1)(o) of...

1BIn this Schedule— “ parent undertaking ” has the meaning...

2Persons excluded

3An AIFM in so far as it manages one or...

4The trustees and managers of an occupational pension scheme within...

5... The European Investment Bank, the European Investment Fund, a...

6A national central bank.

7A national, regional or local government or body or other...

8A holding company.

9An employee participation scheme or employee savings scheme.

10A securitisation special purpose entity.

11An AIFM, the registered office of which is not in...

2001 No. 544

FINANCIAL SERVICES AND MARKETS

The Financial Services and Markets Act 2000 (Regulated Activities) Order 2001

Approved by both Houses of Parliament

Made26th February 2001

Laid before Parliament27th February 2001

Coming into force in accordance with article 2

The Treasury, in exercise of the powers conferred on them by sections 22(1) and (5), 426 and 428(3) of, and paragraph 25 of Schedule 2 to, the Financial Services and Markets Act 2000M1, hereby make the following Order: