Advising on basic stakeholder products, investments, pension transfers and loan-based crowdfunding agreements

Published by a UU��ֱ�� Financial Services expert

Practice notes

Advising on basic stakeholder products, investments, pension transfers and loan-based crowdfunding agreements

Published by a UU��ֱ�� Financial Services expert

Practice notes

This Practice Note covers the regulated activities of providing basic advice to retail consumers on stakeholder products and of advising on:

•
securities, structured deposits and relevant investments
•
loan-based crowdfunding agreements, and
•
the conversion or transfer of pension benefits

Providing basic advice to retail consumers on stakeholder products

Providing basic advice to retail consumers on stakeholder products is a regulated activity under article 52B of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001, SI 2001/544 (RAO).

This activity covers advice in the form of a recommendation given by a person (P), in the course of a business that P carries on, to a ‘retail consumer’. The recommendation must relate to a stakeholder product and certain conditions relating to the provision of basic advice must be met.

A retail consumer is any person who is advised by P giving the basic advice on the merits of opening or buying a stakeholder product in the course of a business carried on by P and who does not receive the advice in the course of

Jurisdiction(s):

United Kingdom

Key definition:

Advising definition

What does Advising mean?

This is the regulated activity of giving advice to a person in his capacity as a potential investor, or agent, as to the merits of buying or selling a particular investment (article 53 of the Regulated Activities Order).

UU��ֱ��