The authority to advise
Article Abstract:
Under Great Britain's Financial Services Act 1986, people will be prohibited from offering investment advice unless they are duly authorized by either a self-regulatory organization (SRO), a recognized professional body (RPB), or a recognized investment exchange (RIE). These bodies are in turn governed by the Securities and Investment Board (SIB). The Act introduces criminal penalties for unauthorized trading in securities, and empowers the SIB to investigate any person suspected of conducting unauthorized investment services. Contracts made by unauthorized persons are not legally enforceable. The law broadly defines the investment business, and establishes prerequisites for authorization of investment advisers and the monitoring procedures of recognized professional bodies.
Publication Name: Accountancy
Subject: Business
ISSN: 0001-4664
Year: 1988
User Contributions:
Comment about this article or add new information about this topic:
The conduct of investment business
Article Abstract:
The UK Financial Services Act of 1986 contains many rules concerning the proper conduct of authorized investment businesses, and makes misleading statements and misleading practices leading to market manipulation criminal offenses. The Act empowers the Securities and Investments Board (SIB) to make broad conduct of business rules, financial resources or capital adequacy rules, and rules to provide indemnity against certain claims by investors. The Act also requires firms to establish and maintain procedures for the supervision of each employee, restrict business activities to their areas of expertise, restrict 'cold calling' activities, and complete all transactions on terms that are best for the client.
Publication Name: Accountancy
Subject: Business
ISSN: 0001-4664
Year: 1988
User Contributions:
Comment about this article or add new information about this topic:
Objective testing offers a choice of answers
Article Abstract:
The Institute of Chartered Accountants in England and Wales has introduced objective testing in order to ensure the fairness of its examinations of accountants seeking to qualify for Institute membership. The field of law, which has few subjects that can be answered precisely, is discussed with respect to the chartered accountant examination.
Publication Name: Accountancy
Subject: Business
ISSN: 0001-4664
Year: 1986
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: Get smart with your money. Secrets of investment success. Numeracy and the stock market
- Abstracts: Company tax perspectives. A budget aimed at business. Feeling charitable?
- Abstracts: Exposure draft 30: consolidated financial statements and accounting for investments in subsidiaries. International Accounting Standard - IAS 27: consolidated financial statements and accounting for investments in subsidiaries
- Abstracts: Z-scores: an approach to the recession. Towards a recruitment revolution. Graduate recruitment
- Abstracts: The City Code: is self-regulation the answer? Another year of self-regulation. Self-regulation in action