ADVANCED

Financial Promotions

When anyone in the course of business communicates an invitation or inducement to engage in investment activity (which includes making an investment or receiving another investment service), they are engaged in what is known as financial promotion.

In addition to various legal obligations attaching to the content of the financial promotion (under, say, advertising standards, or the general rule of law not to mislead or deceive), certain regulatory provisions are also applied by the rules of the Financial Conduct Authority (“FCA”). Generally, the FCA rules require that Financial Promotions are “fair, clear and not misleading”.

Cordium can provide support through the medium of a training course (as well as general consulting) to help firms ensure that the regulatory requirements pertaining to their financial promotions are met.

Course Overview:

We can provide expertise in two key areas:

1.       Unregulated Collective Investment Schemes

This course will outline the circumstances in which investments in unregulated, private funds (such as hedge funds, private equity funds and other collective investment schemes not registered with the FCA) may be sold.

Course objectives:

Attending this course will enable you to:

  • identify what a financial promotion is
  • explain the importance of the ‘fair, clear and not misleading’ rule with reference to your target investor;
  • explain to whom such private funds may be marketed to in the UK; and
  • implement and follow procedures which create appropriate records relating to the preparation of the material and also its actual recipients.

2.       Generic Financial Promotions (including retail)

This course will ensure that firms understand their regulatory obligations when engaging in a financial promotion for their products and services, covering content, the process by which the material is produced and the records which need to be maintained in respect of the documents preparation and also its recipients.

Course objectives:

Attending this course will enable you to:

  • identify what a financial promotion is
  • explain the importance of the ‘fair, clear and not misleading’ rule; and
  • describe other key provisions in COBS 4 that relate to financial promotions; and
  • implement and follow procedures which create appropriate records relating to the preparation of the material.

This course is only available as an onsite course. If you would like to discuss your training requirements in more detail please contact Philip Naughton on 0207 408 2448 or your usual Cordium consultant.