1.4) Appointed Representatives

Question 1

COBS Rules: Appointed Representatives

Answer 1

• COBS rules also apply to firms in relation to the relevant activities carried out for them by their appointed representatives

Question 2

Why are appointed representatives exempt?

Answer 2

• Appointed Representatives carry out a range of regulated activities under the umbrella of their principal firm (which has accepted responsibility for the activity)

Question 3

Firms: Communicate Financial Promotions

Answer 3

• Firms must also ensure that their appointed representatives comply with COBS rules when they communicate financial promotions
• Technically, a financial promotion communicated by an appointed representative is an exempt promotion and so does not need approval
• The FCA reminds firms that they are responsible for the content of the financial promotions communicated by their appointed representatives