PRIN 3.4 General
Clients and the Principles
Although Principle 7 refers to clients, the only requirement of Principle 7 relating to market counterparties is that a firm must communicate information to market counterparties in a way that is not misleading.
For the purposes of PRIN, the following provisions of COB 4.1 (Client classification) also apply to a firm intending to carry on, or carrying on, activities other than designated investment business:
- (1)
COB 4.1.12 R and COB 4.1.13 G (Large intermediate customer classified as a market counterparty); and
- (2)
COB 4.1.14 R (Client classified as a private customer).
The whole of COB 4.1 (Client classification) applies to a firm intending to conduct, or conducting, designated investment business and ancillary activities relating to designated investment business. Any client classifications established in relation to such business will be applicable for the purposes of Principles 6, 7, 8 and 9.
Actions for damages
Reference to "regulators" in Principle 11
Where Principle 11 refers to regulators, this means, in addition to the FSA, other regulators with recognised jurisdiction in relation to regulated activities, whether in the United Kingdom or abroad.