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SUP 10.1 Application

General

SUP 10.1.1 R

This chapter applies to every firm.

SUP 10.1.2 G

This chapter is also relevant to every approved person.

SUP 10.1.3 G

The rules in this chapter specify descriptions of controlled functions9 under section 59 of the Act (Approval for particular arrangements).

9 9 4
SUP 10.1.4 G

The directions in this chapter relate to the manner in which a firm must apply for the FSA's approval under section 59 of the Act and other procedures.

SUP 10.1.5 G

[deleted]9

9

Overseas firms: UK services

SUP 10.1.6 R

This chapter does not apply to an overseas firm in relation to regulated activities which are carried on in the United Kingdom other than from an establishment maintained by it or its appointed representative in the United Kingdom.

Overseas firms: UK establishments

SUP 10.1.7 R

Only the following controlled functions apply to an overseas firm which maintains an establishment in the United Kingdom from which regulated activities are carried on:

  1. (1)

    the director function where the person performing that function:12

    12
    1. (a)

      has responsibility for the regulated activities of a UKbranch which are likely to enable him to exercise significant influence over that branch; or12

    2. (b)

      is someone whose decisions or actions are regularly taken into account by the governing body of that branch.1215

  2. (2)

    the non-executive director function where the person performing that function: 12

    12
    1. (a)

      has responsibility for the regulated activities of a UKbranch which is likely to enable him to exercise significant influence over that branch; or

    2. (b)

      is someone whose decisions or actions are regularly taken into account by the governing body of that branch.12

  3. (3)

    the chief executive function;12

  4. (4)

    the required functions;12

    9
  5. (5)

    the systems and controls function;12

    71212
  6. (6)

    the significant management function in so far as the function relates to:12

    1. (a)

      designated investment business other than dealing in investments as principal, disregarding article 15 of the Regulated Activities Order; or

    2. (b)

      processing confirmations, payments, settlements, insurance claims, client money and similar matters in so far as this relates to designated investment business; and

  7. (7)

    the customer function.12

SUP 10.1.8 G

[deleted]9

9

Incoming EEA firms, incoming Treaty firms and UCITS qualifiers

SUP 10.1.9 R

This chapter does not apply to:

  1. (1)

    an incoming EEA firm; or

  2. (2)

    an incoming Treaty firm; or

  3. (3)

    a UCITS qualifier;

if and in so far as the question of whether a person is fit and proper to perform a particular function in relation to that firm is reserved, under any of the Single Market Directives, the Treaty, the UCITS Directive or the auction regulation16 to an authority in a country or territory outside the United Kingdom.

16
SUP 10.1.10 G

SUP 10.1.9 R reflects the provisions of section 59(8) of the Act and, in relation to an incoming Treaty firm and a UCITS qualifier, the Treaty and the UCITS Directive. It preserves the principle of Home State prudential regulation. In relation to an incoming EEA firm exercising an EEA right, or an incoming Treaty firm exercising a Treaty right, the effect is to reserve to the Home State regulator the assessment of the fitness and propriety of a person performing a function in the exercise of that right. A member of the governing body, or the notified UKbranchmanager, of an incoming EEA firm, acting in that capacity, will not therefore have to be approved by the FSA under the Act.

SUP 10.1.11 G

But an incoming EEA firm (other than an EEA pure reinsurer)13, or incoming Treaty firm, will have had to consider the impact of the Host State rules with which it is required to comply when carrying on a passported activity or Treaty activity through a branch in the United Kingdom. An incoming EEA firm (other than an EEA pure reinsurer)13 will have been notified of those provisions under Part II of Schedule 3 to the Act in the course of satisfying the conditions for authorisation in the United Kingdom.

SUP 10.1.12 G

An incoming EEA firm will have to consider, for example, the position of a branch manager based in the United Kingdom who may also be performing a function in relation to the carrying on of a regulated activity not covered by the EEA right of the firm. In so far as the function is within the description of a controlled function, the firm will need to seek approval for that person to perform that controlled function.

Incoming EEA firms: passported activities from a branch

SUP 10.1.13 R

Only the following controlled functions apply to an incoming EEA firm with respect to its passported activities carried on from a branch in the United Kingdom:

  1. (1)

    [deleted]10

    10
  2. (2)

    [deleted]10

    10
  3. (3)

    the money laundering reporting function;

  4. (4)

    the significant management function in so far as the function relates to:9

    9
    1. (a)

      designated investment business other than dealing in investments as principal, disregarding article 15 of the Regulated Activities Order; or9

    2. (b)

      processing confirmations, payments, settlements, insurance claims, client money and similar matters in so far as this relates to designated investment business; or149

      14
    3. (c)

      14the activity of accepting deposits from banking customers and activities substantially connected to that activity to the extent that it does not fall within (a) or (b); and

  5. (5)

    [deleted]9

    9
  6. (6)

    the customer function other than where this relates to the function in SUP 10.10.7A R (4)7 and (7).16

    716
SUP 10.1.13A R

[deleted]10

10
SUP 10.1.13B G

[deleted]10

10 10
SUP 10.1.13C G

[deleted]10

10
SUP 10.1.13D R

13If an incoming EEA firm is an EEA pure reinsurer then SUP 10.1.13 R does not apply.

Incoming EEA firms etc with top-up permission activities from a UK branch

SUP 10.1.14 R

In relation to the activities of a firm for which it has a top-up permission, only the following controlled functions apply:

  1. (1)

    the required functions, other than the apportionment and oversight function and the compliance oversight function;10

  2. (2)

    the significant management function in so far as it relates to:9

    9
    1. (a)

      designated investment business other than dealing in investments as principal, disregarding article 15 of the Regulated Activities Order; or9

    2. (b)

      processing confirmations, payments, settlements, insurance claims, client money and similar matters in so far as this relates to designated investment business; or149

      14
    3. (c)

      14the activity of accepting deposits from banking customers and activities substantially connected to that activity to the extent that it does not fall within (a) or (b); and

  3. (3)

    [deleted]9

    9
  4. (4)

    the customer function.7

    7
SUP 10.1.15 G

14A person does not perform the significant management function for a firm under SUP 10.1.13 R or SUP 10.1.14 R if that person would not have been treated as performing any controlled function for that firm if that firm had been a UKfirm.14

Appointed representatives

SUP 10.1.16 R

The descriptions of the following controlled functions9apply to an appointed representative of a firm, except an introducer appointed representative, as they apply to a firm:

9
  1. (1)

    the governing functions, subject to SUP 10.1.16A R and except for a tied agent of an EEA MiFID investment firm8; and

    135
  2. (2)

    the customer function7 other than in relation to acting in the capacity of an investment manager (see SUP 10.10.7A R (6)).715

    77
SUP 10.1.16A R
  1. (1)

    5SUP 10.1.16 R is modified in relation to an appointed representative meeting the conditions in (2) so that only one of the following governing functions:

    1. (a)

      director function; or

    2. (b)

      chief executive function; or

    3. (c)

      partner function; or

    4. (d)

      director of unincorporated association function;

    applies, as appropriate, to an individual within that appointed representative who will be required to be an approved person.

  2. (2)

    The conditions are that:

    1. (a)

      the scope of appointment of the appointed representative includes insurance mediation activity in relation to non-investment insurance contracts but no other regulated activity, and

    2. (b)

      the principal purpose of the appointed representative is to carry on activities other than regulated activities.

SUP 10.1.17 G

[deleted]9

Members of a profession

SUP 10.1.18
9
  1. (1)

    This chapter, except in respect of the required functions, does not apply to an authorised professional firm respect of its non-mainstream regulated activities, subject to (2).11

  2. (2)

    Where the authorised professional firm has appointed approved persons to perform the governing functions with equivalent responsibilities for the firm's non-mainstream regulated activities and other regulated activities, for the firm's non-mainstream regulated activities this chapter applies with respect to the governing functions and the required functions (other than the apportionment and oversight function) only.11

SUP 10.1.19 G

[deleted]9

9
SUP 10.1.20 G

[deleted]9

9

Oil market participants, service companies, energy market participants, subsidiaries of local authorities or registered social landlords and insurance intermediaries.5

SUP 10.1.21 R

The descriptions of significant influence functions, other than the required functions, and if the firm is a MiFID investment firm, the governing functions, 9do not extend to activities carried on by a firm whose principal purpose is to carry on activities other than regulated activities and which is:

  1. (1)

    an oil market participant; or

  2. (2)

    a service company; or

  3. (3)

    an energy market participant; or 5

  4. (4)

    a wholly owned subsidiary of:5

    1. (a)

      a local authority; or5

    2. (b)

      a registered social landlord; or5

  5. (5)

    a firm with permission to carry on insurance mediation activity in relation to non-investment insurance contracts but no other regulated activity.52

SUP 10.1.22 G

It will be a matter of fact in each case whether, having regard to all the circumstances, including in particular where the balance of the business lies, a firm's principal purpose is to carry on activities other than regulated activities. If a firm wishes to rely on SUP 10.1.21 R, it should be in a position to demonstrate that its principal purpose is to carry on activities other than regulated activities.

2

Committees of the Society of Lloyd's

SUP 10.1.23 R
  1. (1)

    For the purpose of SUP 10.6.4 R (the director function), "director" includes an executive member of a committee to which the Council of the Society of Lloyd's directly delegates authority to carry out the Society's regulatory functions.

    3
  2. (2)

    For the purpose of SUP 10.6.8 R (the non-executive director function), "non-executive director" includes a non-executive member of a committee to which the Council of the Society of Lloyd's directly delegates authority to carry out the Society's regulatory functions.

SUP 10.1.24 G

[deleted]9

9
SUP 10.1.25 G

[deleted]9

9

Insolvency practitioners

SUP 10.1.26 R

This chapter does not apply to a function performed by:

  1. (1)

    a person acting as an insolvency practitioner within the meaning of section 388 of the Insolvency Act 1986; or

  2. (2)

    a person acting as a nominee in relation to a voluntary arrangement under Parts I (Company Voluntary Arrangements) and VIII (Individual Voluntary Arrangements) of the Insolvency Act 1986; or

  3. (3)

    a person acting as an insolvency practitioner within the meaning of Article 3 of the Insolvency (Northern Ireland) Order 1989; or

  4. (4)

    a person acting as a nominee in relation to a voluntary arrangement under Parts II (Company Voluntary Arrangements) and VIII (Individual Voluntary Arrangements) of the Insolvency (Northern Ireland) Order 1989.

Bidders in emissions auctions

SUP 10.1.27 G

16For a firm that is exempt from MiFID under article 2(1)(i) and whose only permission is bidding in emissions auctions, the only controlled functions that apply to it are the governing functions, the money laundering reporting function, the customer function and (where it has exercised an opt-in to CASS in accordance with CASS 1.4.9 R and is a CASS medium firm or a CASS large firm) the CASS operational oversight function. This is because the approved persons regime specifies a number of functions by incorporation of requirements in SYSC; however, a firm carrying on auction regulation bidding is only subject to SYSC to a limited extent in relation to that activity. This means that the required functions do not apply to auction regulation bidding, except for the money laundering reporting function. Similarly, the significant management function does not apply in relation to auction regulation bidding because in carrying on that activity, a firm is not subject to SYSC 2.1.1 R or SYSC 4.1.1 R and is not undertaking proprietary trading.

SUP 10.2 Purpose

SUP 10.2.1 G

The immediate purpose of SUP 10.3 to SUP 10.10 is to specify, under section 59 of the Act, descriptions of the 162controlled functions which are listed in SUP 10.4.5 R. The underlying purpose is to establish, and mark the boundaries of, the "approved persons regime".

1 1 2 1
SUP 10.2.2 G
1

[deleted]1

SUP 10.2.3 G

[deleted]1

1
SUP 10.2.4 G

[deleted]1

1

SUP 10.3 Provisions related to the act

Arrangements and regulated activities

SUP 10.3.1 R

A function is a controlled function only to the extent that it is performed under an arrangement entered into by:

  1. (1)

    a firm; or

  2. (2)

    a contractor of the firm;

in relation to the carrying on by the firm of a regulated activity.

SUP 10.3.2 G

Sections 59(1) and (2) of the Act provide that approval is necessary in respect of a controlled function which is performed under an arrangement entered into by a firm, or its contractor (typically an appointed representative), in relation to a regulated activity.

SUP 10.3.3 G

Arrangement is defined in section 59(10) of the Act as any kind of arrangement for the performance of a function which is entered into by a firm or any of its contractors with another person and includes the appointment of a person to an office, his becoming a partner, or his employment (whether under a contract of service or otherwise). For the provisions in this chapter relating to outsourcing, see SUP 10.12.3 G and SUP 10.12.4 G.

1
SUP 10.3.4 G

If, however, a firm is a member of a group, and the arrangements for the performance of a controlled function of the firm are made by, say, the holding company, the person performing the function will only require approval if there is an arrangement (under section 59(1)) or a contract (under section 59(2)) between the firm and holding company permitting this. This need not be a written contract but could arise, for example, by conduct, custom and practice.

SUP 10.3.5 G

The arrangement must be "in relation to" the carrying on of a regulated activity. Regulated activities are defined in the Glossary by reference to the Regulated Activities Order. This order prescribes the activities which are regulated activities for the purposes of the Act.

SUP 10.4 Specification of functions

SUP 10.4.1 R

Each of the functions described in SUP 10.4.5 R (the table of controlled functions) is a controlled function.

1
SUP 10.4.2 G

[deleted]5

5
SUP 10.4.3 G

The fact that a person may be approved for one purpose does not have the effect of bringing all his activities within that controlled function.

1
SUP 10.4.4 G

[deleted]5

5

SUP 10.5 Significant influence functions

What are the significant influence functions?

SUP 10.5.1 G

The first condition

SUP 10.5.2 R

Each significant influence function is one which is likely to result in the person responsible for its performance exercising a significant influence on the conduct of a firm's affairs, so far as relating to a regulated activity of the firm.

SUP 10.5.3 G

SUP 10.5.2 R gives effect to section 59(5) of the Act (where this provision is referred to as the first condition).

SUP 10.5.4 G

Whether a controlled function1is likely to result in the person responsible for its performance exercising significant influence on the conduct of the firm's affairs is a question of fact in each case. The FSA has identified the significant influence functions as satisfying this condition.

1 1

Periods of less than 12 weeks

SUP 10.5.5 R

If:

  1. (1)

    a firm appoints an individual to perform a function which, but for this rule, would be a significant influence function;

  2. (2)

    the appointment is to provide cover for an approved person whose absence is:

    1. (a)

      temporary; or

    2. (b)

      reasonably unforeseen; and

  3. (3)

    the appointment is for less than 12 weeks in a consecutive 12 month period;

the description of the relevant significant influence function does not relate to those activities of that individual.

SUP 10.5.6 G

SUP 10.5.5 R enables cover to be given for, say, holidays and emergencies and avoids the need for the precautionary approval of, for example, a deputy. However, as soon as it becomes apparent that a person will be performing a controlled function for more than 12 weeks, the firm should apply for approval.

SUP 10.6 Governing functions

Introduction

SUP 10.6.1 G

Every firm will have one or more persons responsible for directing its affairs. These persons will be performing the governing functions and will be required to be approved persons unless the application provisions in SUP 10.1, or the particular description of a controlled function, provide otherwise. For example, each director of a company incorporated under the Companies Acts will perform the governing function in relation to that company.

SUP 10.6.1A G

10A sole trader does not fall within the description of the governing functions.

What the governing functions include

SUP 10.6.2 R

Each of the governing functions (other than the non-executive director function and the function described in SUP 10.6.4 R (2))13 includes where apportioned under SYSC 2.1.1 R or SYSC 4.3.1 R and SYSC 4.4.3 R:12

  1. (1)

    the systems and controls function;10 and

  2. (2)

    the significant management function.

    15
SUP 10.6.2A R

16In respect of bidding in emissions auctions, each of the governing functions (other than the non-executive function and the function described in SUP 10.6.4R (2)) includes that part of the customer function specified in SUP 10.10.7AR (7) (bidder's representative).

SUP 10.6.3 G

The effect of SUP 10.6.2 R and SUP 10.6.2A R16 is that a person who is approved to perform a governing function (other than the non-executive function and the function described in SUP 10.6.4 R (2))13 will not have to be specifically approved to perform the systems and controls function,16 the significant management function10 or the part of the customer function specified in SUP 10.10.7AR (7). However, a16person who is approved to perform a governing function will have to be additionally approved before he can perform any of the required functions or the customer function7 (except the part specified in SUP 10.10.7AR (7)).16

10 16 2 7 15
SUP 10.6.3A G

4 6 10A firm carrying on insurance mediation activity11, other than a sole trader, must allocate to a director or senior manager the responsibility for the firm'sinsurance mediation activity (MIPRU 2.2.1 R)11.610MIPRU 2.2.2 R (1)610 provides that the firm may allocate this responsibility to one or more of the persons performing a governing function (other than the non-executive director function)5.

11
SUP 10.6.3B G

4Where a person performing a governing function is also responsible for the firm's insurance mediation activity, the words "(insurance mediation)" will be inserted after the relevant controlled function (see 610MIPRU 2.2.5 G610).

Director function (CF1)

SUP 10.6.4 R

If a firm is a body corporate (other than a limited liability partnership), the director function is the function of acting in the capacity of either a:1315

13
  1. (1)

    director (other than non-executive director) of that firm; or

  2. (2)

    a person:

    1. (a)

      who is a director, partner, officer, member (if the parent undertaking or holding company is a limited liability partnership), senior manager, or employee (other than a non-executive director) of a parent undertaking or holding company (except where that parent undertaking or holding company has a Part IV permission or is regulated by an EEA regulator14); and13

      14
    2. (b)

      whose decisions or actions are regularly taken into account by the governing body of the firm.13

SUP 10.6.5 G

Examples of where SUP 10.6.4 R (2) would apply include (but are not limited to):

8 8 2
  1. (1)

    a chairman of an audit committee of a parent undertaking or holding company of a UK firm where that audit committee is working for that UK firm (that is, functioning as the audit committee for the group); or13

  2. (2)

    a director (other than a non-executive director) of a parent undertaking or holding company of a UK firm exercising significant influence by way of his involvement in taking decisions for that UK firm; or13

  3. (3)

    an individual (such as a senior manager) of a parent undertaking or holding company of a UK firm who is responsible for and/or has significant influence in setting the objectives for and the remuneration of executive directors of that UK firm; or13

  4. (4)

    an individual who is a director (other than a non-executive director) or a senior manager of a parent undertaking or holding company of a UK firm who is accustomed to influencing the operations of that UK firm, and acts in a manner in which it can reasonably be expected that an executive director or senior manager of that UK firm would act; or

  5. (5)

    an individual of an overseas firm which maintains an establishment in the United Kingdom from which regulated activities are carried on where that individual has responsibilities for those regulated activities which are likely to enable him to exercise significant influence over the UKbranch.15

SUP 10.6.6 G

[deleted]10

10
SUP 10.6.7 G

A director can be a body corporate and may accordingly require approval as an approved person in the same way as a natural person may require approval.

Non-executive director function (CF2)

SUP 10.6.8 R
  1. (1)

    If a firm is a body corporate, the non-executive director function is the function of acting in the capacity of either a:13

    13
    1. (a)

      non-executive director of that firm ; or

    2. (b)

      non-executive director of a parent undertaking or holding company (except where that parent undertaking or holding company has a Part IV permission or is regulated by an EEA regulator14) whose decisions, or actions are regularly taken into account by the governing body of the firm.15

      14
  2. (2)

    If a firm is a long-term insurer, the non-executive director function is also the function of acting in the capacity of an individual (other than an individual performing the director function or the non-executive director function under (1)) who, as a member of a committee having the purpose of a with-profits committee,9has responsibility in relation to governance arrangements for with-profits business under COBS 20.3 (Principles and Practices of Financial Management).9

    3999
SUP 10.6.9 G

Examples of where SUP 10.6.8 R (1)(b) would apply include (but are not limited to):

10 13
  1. (1)

    an individual who is a non-executive director of a parent undertaking or holding company who takes an active role in the running of the business of a UK firm, for example, as a member of a board or committee (on audit or remuneration) of that firm; or13

  2. (2)

    an individual who is a non-executive director of a parent undertaking or holding company having significant influence in setting and monitoring the business strategy of the UK firm; or13

  3. (3)

    an individual who is a non-executive director of a parent undertaking or holding company of a UK firm involved in carrying out responsibilities such as scrutinising the approach of executive management, performance, or standards of conduct of the UK firm; or13

  4. (4)

    an individual who is a non-executive director of a parent undertaking or holding company of a UK firm who is accustomed to influence the operations of the UK firm, and acts in a way in which it can reasonably be expected that a non-executive director of the UK firm would act; or13

  5. (5)

    an individual who is a non-executive director of an overseas firm which maintains a branch in the United Kingdom from which regulated activities are carried on where that individual has responsibilities for those regulated activities which are likely to enable him to exercise significant influence over the UKbranch. 1315

Guidance on CF1 and CF213

SUP 10.6.10 G
  1. (1)

    This paragraph explains the basis on which the director function and non-executive director function are applied to persons who have a position with the firm'sparent undertaking or holding company under SUP 10.6.4 R (2) or SUP 10.6.8 R (1)(b).13

  2. (2)

    The basic position is set out in SUP 10.3.4 G. As is the case with all controlled functions, SUP 10.6.4 R (2) and SUP 10.6.8 R (1)(b) are subject to the overriding provisions in SUP 10.3.1 R, which sets out the requirements of sections 59(1) and (2) of the Act. This means that unless the firm has an arrangement or a contract permitting the performance of these roles by the persons concerned, these persons will not be performing these controlled functions. Therefore, the FSA accepts that there will be cases in which a person performing these roles will not require approval.13

  3. (3)

    However the FSA expects that in general a person who performs these roles will perform the director function or the non-executive director function. This is because the FSA would expect that a firm that allows major decisions to be taken by a group decision-making body will do so on the basis of a formal delegation from the firm'sgoverning body. This delegation will amount to an arrangement for the purposes of section 59 of the Act.15

Chief executive function (CF3)

SUP 10.6.11 R

The chief executive function is the function of acting in the capacity of a chief executive of a firm.

SUP 10.6.12 G

[deleted]10

10
SUP 10.6.13 G

This function is having the responsibility, alone or jointly with one or more others, under the immediate authority of the governing body, for the conduct of the whole of the business (or relevant activities); or, in the case of a branch in the United Kingdom of an overseas firm, for all of the activities subject to the UK regulatory system.

SUP 10.6.14 G

For a branch in the United Kingdom of an overseas firm, the FSA would not normally expect the overseas chief executive of the firm as a whole to be approved for this function where there is a senior manager under him with specific responsibility for those activities of the branch which are subject to the UKregulatory system. In some circumstances, the person within the firm responsible for UK operations may, if the function is likely to enable him to exercise significant influence over the branch, also perform the chief executive function (see SUP 10.7.4 G).

1 10
SUP 10.6.15 G

A person performing the chief executive function may be a member of the governing body but need not be. If the chairman of the governing body is also the chief executive, he will be discharging this function. If the responsibility is divided between more than one person but not shared, there is no person exercising the chief executive function. But if that responsibility is discharged jointly by more than one person, each of those persons will be performing the chief executive function.

SUP 10.6.16 G

Note that a body corporate may be a chief executive. If so, it will need to be approved to perform the chief executive function.

Partner function (CF4)

SUP 10.6.17 R
  1. (1)

    If a firm is a partnership, the partner function is the function of acting in the capacity of a partner in that firm.

  2. (2)

    If the principal purpose of the firm is to carry on one or more regulated activities, each partner performs the partner function.

  3. (3)

    If the principal purpose of the firm is other than to carry on regulated activities:

    1. (a)

      a partner performs the partner function to the extent only that he has responsibility for a regulated activity; and

    2. (b)

      a partner in a firm will be taken to have responsibility for each regulated activity except where the partnership has apportioned responsibility to another partner or group of partners.

SUP 10.6.18 G

[deleted]10

10
SUP 10.6.19 G

Any apportionment referred to in SUP 10.6.17 R (3)(b) will have taken place under SYSC 2.1.1 R or SYSC 4.3.1 R and SYSC 4.4.3 R.12 The FSA may ask to see details of the apportionment but will not require, as a matter of course, a copy of the material which records this (see SYSC 2.2).

SUP 10.6.20 G

The effect of SUP 10.1.18 R is that regulated activity in SUP 10.6.17 R (and elsewhere) is to be taken as not including an activity that is a non-mainstream exempt regulated activity. Therefore, a partner whose only regulated activities are incidental to his professional services, in a partnership whose principal purpose is to carry on other than regulated activities, need not be an approved person. What amounts to the principal purpose of the firm is a matter of fact in each case having regard to all the circumstances, including the activities of the firm as a whole. Any regulated activities which such a partner carries on are not within the description of the partner function.

SUP 10.6.21 R

If a firm is a limited liability partnership, the partner function extends to the firm as if the firm were a partnership and a member of the firm were a partner.

SUP 10.6.22 G

[deleted]10

10
SUP 10.6.23 R

If a partnership is registered under the Limited Partnership Act 1907, the partnerfunction does not extend to any function performed by a limited partner.

Director of unincorporated association function (CF5)

SUP 10.6.24 R

If a firm is an unincorporated association, the director of unincorporated association function is the function of acting in the capacity of a director of the unincorporated association.

SUP 10.6.25 G

[deleted]10

10

Small friendly society function (CF6)

SUP 10.6.26 R
  1. (1)

    If a firm is a non-directive friendly society, the small friendly society function is the function of directing its affairs, either alone or jointly with others.

  2. (2)

    If the principal purpose of the firm is to carry on regulated activities, each person with responsibility for directing its affairs performs the controlled function.

  3. (3)

    If the principal purpose of the firm is other than to carry on regulated activities, a person performs the small friendly society function only to the extent that he has responsibility for a regulated activity.

    1
SUP 10.6.27 G

[deleted]10

10
SUP 10.6.28 R
  1. (1)

    Each person on the non-directive friendly society's governing body will be taken to have responsibility for its regulated activities, unless the firm has apportioned this responsibility to one particular individual to whom it is reasonable to give this responsibility.

  2. (2)

    The individual need not be a member of the governing body.

SUP 10.6.29 G
  1. (1)

    Typically a non-directive friendly Society will appoint a "committee of management" to direct its affairs. However, the governing arrangements may be informal and flexible. If this is the case, the FSA would expect the society to resolve to give responsibility for the carrying on of regulated activities to one individual who is appropriate in all the circumstances. That individual may, for example, have the title of chief executive or similar. The individual would have to be an approved person under SUP 10.6.26 R.

  2. (2)

    Any apportionment of responsibilities will have taken place under SYSC 2.1.1 R. The FSA may ask to see details of the apportionment but will not require, as a matter of course, a copy of the material which records this (seeSYSC 2.2).

SUP 10.6.30 R
  1. (1)

    [deleted]

    10
  2. (2)

    [deleted]1015

SUP 10.6.31 G

[deleted]15

SUP 10.6.32 G

[deleted]1015

10

SUP 10.7 Required functions

Apportionment and oversight function (CF8)

SUP 10.7.1 R

The apportionment and oversight function is the function of acting in the capacity of a director or senior manager responsible for either or both of the apportionment function and the oversight function set out in SYSC 2.1.3 R or SYSC 4.4.5 R. 16

SUP 10.7.2 G

[deleted]12

12
SUP 10.7.2A G

11In requiring someone to apportion responsibility, a common platform firm should not apply for that person or persons to be approved to perform the apportionment and oversight function (see SUP 10.7.1 R, SYSC 2.1.3 R and SYSC 1.1.3 R (5)).

SUP 10.7.3 G

The fact that there is a person performing the apportionment and oversight function, and who has responsibility for activities subject to regulation by the FSA, may have a bearing on whether a manager who is based overseas will be performing a controlled function. It is a factor to take into account when assessing the likely influence of the overseas manager.

SUP 10.7.4 G

Generally, in relation to a UK establishment of an overseas firm or a firm which is part of an overseas group, where an overseas manager's responsibilities in relation to the United Kingdom are strategic only, he will not need to be an approved person. However, where, in accordance with SYSC 3 or SYSC 4 to SYSC 1012, he is responsible for implementing that strategy in the United Kingdom, and has not delegated that responsibility to a senior manager in the United Kingdom, he is likely to be performing a controlled function, such as, for example, the chief executive function.

19
SUP 10.7.4A G

4 9 12A firm carrying on insurance mediation activity13, other than a sole trader, must allocate to a director or senior manager the responsibility for the firm's insurance mediation activity (MIPRU 2.2.1 R)13.912MIPRU 2.2.2 R (2)912 provides that the firm may allocate this responsibility to the person performing the apportionment and oversight function.

13
SUP 10.7.4B G

4Where the person performing the apportionment and oversight function is also responsible for the firm's insurance mediation activity, the words "(insurance mediation)" will be inserted after this controlled function (see 912MIPRU 2.2.5 G912).

SUP 10.7.5 G

[deleted]12

12

EEA investment business oversight function (CF9)

SUP 10.7.6 R

[deleted]15

15
SUP 10.7.7 G

[deleted]15

1 15

Compliance oversight function (CF10)

SUP 10.7.8 R

The compliance oversight function is the function of acting in the capacity of a director or senior manager who is allocated the function set out in SYSC 3.2.8 R or SYSC 6.1.4 R (2)12.

CASS operational oversight function (CF10a)18

SUP 10.7.9 G

In relation to a CASS medium firm and a CASS large firm, the CASS operational oversight function is the function of acting in the capacity of a person to whom is allocated the function set out in CASS 1A.3.1A R.18

SUP 10.7.10 G

[deleted]12

12
SUP 10.7.11 G

[deleted]12

12 1
SUP 10.7.12 G

[deleted]12

12

Money laundering reporting function (CF11)

SUP 10.7.13 R

The money laundering reporting function is the function of acting in the capacity of the money laundering reporting officer of a firm.

SUP 10.7.13A G

8A firm's obligations in respect of its money laundering reporting officer are set out elsewhere in the Handbook (see SYSC 3.2.6I R and SYSC 6.3.9 R and for their scope, see the application provisions in SYSC 1 Annex 1).16

14 14 16
SUP 10.7.13B G

[deleted]

17 17
SUP 10.7.14 G

[deleted]8

SUP 10.7.15 G

[deleted]8

8
SUP 10.7.16 G

[deleted]8

8

7Actuarial7 function (CF12) and with-profits actuary function (CF12A)7

SUP 10.7.17 R

The actuarial function is7 the function of acting in the capacity of an 7actuary appointed by a firm under SUP 4.3.1 R to perform the duties set out inSUP 4.3.13 R.7.

7 7 7
SUP 10.7.17A R

The with-profits actuary function is the function of acting in capacity of an actuary appointed by a firm under SUP 4.3.1 R to perform the duties set out in SUP 4.3.16A R.

7
SUP 10.7.18 G
12 7

[deleted]12

SUP 10.7.19 G

[deleted]12

12 7 7 7 12
SUP 10.7.20 G

[deleted]12

12 7 7 7 7 7
SUP 10.7.21 G

[deleted]12

12 7

5Lloyd's actuary function (CF12B)

SUP 10.7.22 R

5The Lloyd's actuaryfunction12 is the function of acting in the capacity of the actuary appointed under SUP 4.6.1 R to perform the duties set out in SUP 4.6.7 R.

12
SUP 10.7.23 G

[deleted]12

12

SUP 10.8 Systems and controls function4

Application

SUP 10.8.-1 R

4The systems and controls function applies to every firm subject to this chapter, except in relation to bidding in emissions auctions carried on by a firm that is exempt from MiFID under article 2(1)(i).

Systems and controls function (CF28)4

SUP 10.8.1 R

The systems and controls function is the function of acting in the capacity of an employee of the firm with responsibility for reporting to the governing body of a firm, or the audit committee (or its equivalent) in relation to:2

2
  1. (1)

    its financial affairs; 2

  2. (2)

    setting and controlling its risk exposure (see SYSC 3.2.10 G and SYSC 7.1.6 R);2

  3. (3)

    adherence to internal systems and controls, procedures and policies (see SYSC 3.2.16 G and SYSC 6.2).23

SUP 10.8.2 G

[deleted]23

SUP 10.8.2A G

2Where an employee performs the systems and controls function the FSA would expect the firm to ensure that the employee had sufficient expertise and authority to perform that function effectively. A director or senior manager would meet this expectation.3

SUP 10.8.3 R

[deleted]3

2
SUP 10.8.4 G

[deleted]23

2
SUP 10.8.5 G

[deleted]23

2 1
SUP 10.8.6 R

[deleted]23

SUP 10.8.7 G

[deleted]23

2
SUP 10.8.8 G

[deleted]2

2

SUP 10.9 Significant management functions

Application

SUP 10.9.1 R

SUP 10.9 applies only to a firm which:

8 6 6
  1. (1)

    under SYSC 2.1.1 R or SYSC 4.1.1 R,13 apportions a significant responsibility, within the description of the significant management function, to a senior manager of a significant business unit; or10

    1113
  2. (2)

    undertakes proprietary trading; or11

    10
  3. (3)

    11(in the case of an EEAfirm) undertakes the activity of accepting deposits from banking customers and activities connected with this.

SUP 10.9.2 G

The FSA anticipates that there will be only a few firms needing to seek approval for an individual to perform the6significant management function set out in SUP 10.9.1 R (1).10 In most firms, those approved for the governing functions, required functions and, where appropriate, the systems and controls function,6 are likely to exercise all the significant influence at senior management level.12

6 6
SUP 10.9.2A G

10A proprietary trader undertakes activities with the firm'smoney and has the ability to commit the firm. By virtue of this role, all proprietary traders have potential to be able to exercise significant influence on the firm for the purposes of section 59(4) and (5) of the Act. It is therefore the FSA's expectation that all firms will assess all their proprietary traders to ascertain the ones for whom approval is required.

SUP 10.9.3 G

The10 scale, nature and complexity of the firm's business may be such that a firm apportions under SUP 10.9.1 R (1) a significant responsibility to an individual who is not approved to perform the governing functions, required functions or, where appropriate, the systems and controls function.6 If so,v the firm should consider whether the functions of that individual fall within the6significant management function. For the purposes of the description of the significant management functions, the following additional factors about the firm should be considered:

10 8 10 6 6
  1. (1)

    the size and significance of the firm's business in the United Kingdom; for example, a firm carrying on designated investment business may have a large number of approved persons (for example, in excess of 100 individuals); or a firm carrying on general insurance business may have gross written premiums in excess of £100mn;

  2. (2)

    the number of regulated activities carried on, or proposed to be carried on, by the firm and (if relevant) other members of the group;

  3. (3)

    its group structure (if it is a member of a group);

  4. (4)

    its management structure (for example matrix management); and

  5. (5)

    the size and significance of its international operations, if any.12

SUP 10.9.4 G

When considering whether a business unit is significant, the firm should take into account all relevant factors in the light of the firm's current circumstances and its plans for the future, including:

  1. (1)

    the risk profile of the unit; or

  2. (2)

    its use or commitment of a firm's capital; or

  3. (3)

    its contribution to the profit and loss account; or

  4. (4)

    the number of employees or approved persons in the unit; or

  5. (5)

    the number of customers of the unit; or

  6. (6)

    any other factor which makes the unit significant to the conduct of the firm's affairs so far as relating to the regulated activity.

SUP 10.9.5 G

The question may arise whether a manager who is based overseas will be performing the significant management function6 under SUP 10.9.10 R (1)10 and should therefore be an approved person. This is especially true where the firm operates matrix management. The fact there is a person performing the apportionment and oversight function, and who has responsibility for activities subject to regulation by the FSA, may have a bearing on this. It is a factor to take into account when assessing the likely influence of the overseas manager.

6
SUP 10.9.6 G

Generally, in relation to a branch of a firm, or a firm which is part of an overseas group, where an overseas manager is responsible for strategy, he will not need to be an approved person under SUP 10.9.10 R. However, where he is responsible for implementing that strategy in the United Kingdom, and has not delegated that responsibility to a senior manager in the United Kingdom, he is likely to be performing that controlled function.

SUP 10.9.7 G

See also SUP 10.7.3 G to SUP 10.7.4B G6 in relation to matrix management.

6
SUP 10.9.8 R

[deleted]4

4
SUP 10.9.9 G

[deleted]4

4

Significant management function (CF29)

SUP 10.9.10 R
  1. (1)

    The significant management function is the function of acting as a senior manager with significant responsibility for a significant business unit that:6

    16
    1. (a)

      carries on designated investment business or other activities not falling within (b) to (d); 6

    2. (b)

      effects contracts of insurance (other than contractually based investments); 6

    3. (c)

      makes material decisions on the commitment of a firm's financial resources, its financial commitments, its assets acquisitions, its liability management and its overall cash and capital planning; 6

    4. (d)

      processes confirmations, payments, settlements, insurance claims, client money and similar matters;116

    5. (e)

      (in the case of an EEAfirm) undertakes the activity of accepting deposits from banking customers and activities connected with this.11

  2. (1A)

    The significant management function also includes the function of acting as a proprietary trader.10

  3. (2)

    This controlled function6 does not include any of the activities described in any other controlled function.212

    6
SUP 10.9.10A G

6A senior manager carrying on the significant management function under SUP 10.9.10 R (1)10 with significant responsibility for a significant business unit that carries on activities other than designated investment business for the purposes of SUP 10.9.10 R (1)(a) could, for example, be the head of a unit carrying on the activities of: retail banking, personal lending, corporate lending, salvage or loan recovery, or proprietary trading, or a member of a committee (that is, a person who, together with others, has authority to commit the firm) making decisions in these functions.

10
SUP 10.9.10B G

10A proprietary trader also undertakes activities which may have a significant influence on the firm. Such activities may require approval for CF29 under SUP 10.9.10 R (1A).

SUP 10.9.11 G

[deleted]6

6
SUP 10.9.12 R

[deleted]6

SUP 10.9.13 G

[deleted]6

6
SUP 10.9.13A G

3 5 6A firm carrying on insurance mediation activity7, other than a sole trader, must allocate to a director or senior manager the responsibility for the firm's insurance mediation activity (MIPRU 2.2.1 R)7.56MIPRU 2.2.2 R (3))56 provides that the firm may allocate this responsibility to the person performing the significant management function.6

7 6
SUP 10.9.13B G

3Where the person performing the significant management function6is also responsible for the firm's insurance mediation activity, the words "(insurance mediation)" will be inserted after this controlled function (see 56MIPRU 2.2.5 G56).

6
SUP 10.9.14 R

[deleted]6

SUP 10.9.15 G

[deleted]6

6
SUP 10.9.16 R

6[deleted]

SUP 10.9.17 G

[deleted]6

6
SUP 10.9.18 R

[deleted]6

SUP 10.9.19 G

[deleted]6

6
SUP 10.9.20 G

[deleted]6

6

SUP 10.10 Customer functions

SUP 10.10.1 R

SUP 10.10 (Customer function)3 applies with respect to activities carried on from an establishment maintained by the firm (or by its appointed representative) in the United Kingdom.

3
SUP 10.10.2 G

Without SUP 10.10.1 R the description of the customer function3 would extend to this function wherever it was3 performed. The effect of SUP 10.10.1 R is that the description is3limited, in relation to regulated activities with an overseas element, in a manner which is broadly consistent with the scope of conduct of business regulation.

3 3 3
SUP 10.10.3 G

The customer functions has3to do with giving advice on, dealing and arranging deals in and managing investments; it has3no application to banking business such as deposit taking and lending, nor to general insurance business.

3 3

The customer conditions (the second and third conditions)

SUP 10.10.4 R

The3customer function is one which will involve the person performing it in dealing with clients3, or dealing with property of clients3, of a firm in a manner substantially connected with the carrying on of a regulated activity of the firm.

3 3 3
SUP 10.10.5 G

SUP 10.10.4 R gives effect to sub-sections (6) and (7) of section 59 of the Act (referred to in that section as the second and third conditions).

3
SUP 10.10.6 G

The FSA interprets the phrase "dealing with" as including having contact with customers and extending beyond "dealing" as used in the phrase "dealing in investments". "Dealing in" is used in Schedule 2 to the Act to describe in general terms the regulated activities which are specified in Part II of the Regulated Activities Order.

SUP 10.10.7 R

[deleted]3

Customer function (CF 30)

SUP 10.10.7A R

3The customer function is the function of:

  1. (1)

    advising on investments other than a non-investment insurance contract (but not where this is advising on investments in the course of carrying on the activity of5 giving basic advice on a stakeholder product5) and performing other functions related to this such as dealing and arranging;

  2. (2)

    giving advice to clients solely in connection with corporate finance business and performing other functions related to this;

  3. (3)

    giving advice or performing related activities in connection with pension transfers or opt-outs for retail clients;

  4. (4)

    giving advice to a person to become, or continue or cease to be, a member of a particular Lloyd's syndicate;

  5. (5)

    dealing, as principal or as agent, and arranging (bringing about) deals in investments other than a non-investment insurance contract with or for, or in connection with customers9 where the dealing or arranging deals is governed by 5COBS 115 (Dealing and managing);

    9
  6. (6)

    acting in the capacity of an investment manager and carrying on functions connected to this;8

    8
  7. (7)

    in relation to bidding in emissions auctions, acting as a 'bidder's representative' within the meaning of subparagraph 3 of article 6(3) of the auction regulation.8

SUP 10.10.7B R

3The customer function does not extend to an individual who is performing the functions in SUP 10.10.7A R (1) to (2) or SUP 10.10.7A R (5) to (7)8and who is based overseas and who, in a 12 month period, spends no more than 30 days in the United Kingdom to the extent that he is appropriately supervised by a person approved for this function.

8
SUP 10.10.7C G

3The FSA would expect an individual from overseas to be accompanied on a visit to a customer. TC 2.1.9 R (2)4 provides that the firm will have to be satisfied that the individual has at least three years' up-to-date relevant experience obtained outside the United Kingdom. However, the remaining provisions of TC 2.1.9 R (2)4 are disapplied in these circumstances (except for an individual who gives advice to retail clients on retail investment products7 or is a broker fund adviser). The effect of this is that such individuals need not attain6 the relevant regulatory module of an appropriate qualification6 (see TC 2.1.9 R (2)4).

7 6 6
SUP 10.10.7D G

3The customer function in SUP 10.10.7A R (5) does not extend to the individual who, on the instructions of the customer, simply inputs the customer's instructions into an automatic execution system where no discretion is or may be exercised by the individual performing the activity. Nor does it extend to merely introducing a customer to a firm or distributing advertisements.

SUP 10.10.7E G

3An individual may advise on investments prior to being assessed as competent in accordance with the rules in the Senior Management Arrangements, Systems and Controls sourcebook (SYSC) and, where relevant, the Training and Competence sourcebook (TC). The firm shall record when that person subsequently becomes competent.4

SUP 10.10.8 G

[deleted]3

3
SUP 10.10.9 G

[deleted]3

3
SUP 10.10.10 G

[deleted]3

3
SUP 10.10.11 R

[deleted]3

3
SUP 10.10.12 G

[deleted]3

3
SUP 10.10.13 R

[deleted]3

SUP 10.10.13A G

[deleted]3

3
SUP 10.10.14 R
3

[deleted]3

SUP 10.10.15 R

[deleted]3

3
SUP 10.10.16 R

[deleted]3

SUP 10.10.17 G

[deleted]3

3
SUP 10.10.18 G

[deleted]3

3
SUP 10.10.19 G

[deleted]3

3
SUP 10.10.20 R

[deleted]3

SUP 10.10.21 G

[deleted]3

3
SUP 10.10.22 G

[deleted]3

3

SUP 10.11 Procedures relating to approved persons

Forms

SUP 10.11.1 G

The forms listed in SUP 10.11.2 G are referred to in SUP 10.11 (Procedures relating to approved persons) to SUP 10.14 (Further questions).

SUP 10.11.2 G

Approved persons forms

Form3

Purpose3

Handbook requirement3

the relevant Form A

The relevant online form on the FSA's ONA system or the form in SUP 10 Annex 4D (See Note)3

Application to perform controlled functions under the approved persons regime

SUP 10.12.2D 3

Form B

SUP 10 Annex 5R

Notice to withdraw an application to perform controlled functions under the approved persons regime

SUP 10.12.13R 3

Form C

SUP 10 Annex 6R

Notice of ceasing to perform controlled functions

SUP 10.13.6R 3

Form D

SUP 10 Annex 7R

Notification of changes in personal information or application details

SUP 10.13.14R 3

Form E

The relevant online form on the FSA's ONA system or the form in SUP 10 Annex 8D (See Note)3

Internal transfer of an approved person

SUP 10.13.3 D 3

Note: The form in the SUP annex shown is to be used by credit unions, and by other firms only in the event of a failure of the FSA's information technology systems. See the relevant "Handbook requirement".3

SUP 10.11.3 G

A summary of the forms and their purposes is in SUP 10 Annex 2 G.

3
SUP 10.11.4 G

Unless the context otherwise requires, in SUP 10.11 (Procedures relating to approved persons) to SUP 10.14 (Further questions) where reference is made to a firm, this also includes an applicant for Part IV permission, and other persons seeking to carry on regulated activities as an authorised person.

SUP 10.11.5 G

Forms B, C, D and E can only be submitted in respect of an approved person by the firm that submitted an approved person's original application (that is, the relevant 2Form A).

SUP 10.11.6 G

Copies of Forms A, B, C, D and E may be obtained from the FSA website.3Credit unions can obtain copies3 from the Individuals, Mutuals and Policy Department2by email at iva@fsa.gov.uk or from the FSA's Firm Contact Centre.3 To contact the Individuals, Mutuals and Policy 2 Department1 for general enquiries:

1 1
  1. (1)

    telephone 020 7066 0019; or

  2. (2)

    fax 020 7066 0017; or

  3. (3)

    write to:

    1221The Financial Services Authority25 The North ColonnadeCanary WharfLONDON E14 5HS; or
  4. (4)

    e-mail iva@fsa.gov.uk

SUP 10.12 Application for approval and withdrawing an application for approval

When to apply for approval

SUP 10.12.1 G

In accordance with section 59 of the Act (Approval for particular arrangements), where a candidate will be performing one or more controlled functions, a firm must take reasonable care to ensure that the candidate does not perform these functions unless he has prior approval from the FSA.

How to apply for approval

SUP 10.12.2 D

An application by a firm for the FSA's approval under section 59 of the Act (Approval for particular arrangements) must be made by completing Form A.

11 11
  1. (1)

    An application by a firm other than a credit union must be made by submitting Form A online at www.fsa.gov.uk using the form specified on the FSA's ONA system.11

  2. (2)

    An application by a credit union must be made using the form in SUP 10 Annex 4D and must be submitted in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).11

  3. (3)

    Where a firm is obliged to submit an application online under (1), if the FSA's information technology systems fail and online submission is unavailable for 24 hours or more, until such time as facilities for online submission are restored a firm must use the form in SUP 10 Annex 4 D and submit it in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).11

[Note: See SUP 10.13.5G for the circumstances in which a shortened Form A may be used.]11

SUP 10.12.2A G
  1. (1)

    11If the FSA's information technology systems fail and online submission is unavailable for 24 hours or more, the FSA will endeavour to publish a notice on its website confirming that online submission is unavailable and that the alternative methods of submission set out in SUP 10.12.2D (3) and SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification) should be used.

  2. (2)

    Where SUP 10.12.2D (3)) applies to a firm, GEN 1.3.2 R (Emergency) does not apply.

    1112

Who should make the application?

SUP 10.12.3 G
1 4 3 8
  1. (1)

    In accordance with section 60 of the Act (Applications for approval), applications must be submitted by, or on behalf of, the firm itself, not by:988

    9
    1. (a)

      9the candidate; or

    2. (b)

      (where the candidate works for the firm'sparent undertaking or holding company) by the firm'sparent undertaking or holding company

  2. (2)

    Usually this will be the firm that is employing the candidate to perform the controlled function. Where a firm has outsourced the performance of a controlled function, the details of the outsourcing determine where responsibility lies and whom the FSA anticipates will submit approved persons application forms. SUP 10.12.4 G describes some common situations. The firm which is outsourcing is referred to as "A" and the person to whom the performance of the controlled function has been outsourced, or which makes the arrangement for the controlled function to be performed, is referred to as "B". In each situation, A must take reasonable care to ensure that, in accordance with section 59(2) of the Act, no person performs a controlled function under an arrangement entered into by its contractor in relation to the carrying on by A of a regulated activity, without approval from the FSA. See also SYSC 3.2.4 G and SYSC 8.1.1 R, and for insurersSYSC 13.9.8

SUP 10.12.4 G

Outsourcing arrangements

Outsourcing arrangements

Submitting form

Firm A to firm B

The FSA will consider A to have taken reasonable care if it enters into a contract with B under which B is responsible for ensuring that the relevant controlled functions are performed by approved persons, and that it is reasonable for A to rely on this

Firm B submits approved persons forms on behalf of firm A

Outsourcing by A to B (both being a member of the same United Kingdom group and each having its registered office in the United Kingdom)

See SUP 10.3.4 G

See SUP 15.7.8 G

(i) A to B, where B is a non-authorised person not part of the samegroup as A

(ii) A to B, where A is a branch of an overseas firm in the United Kingdom, and B is an overseas undertaking of the samegroup

(iii) A to B, where A is a UK authorised subsidiary of an overseas firm, and B is an overseas undertaking of the same group

Responsibility for (as opposed to the performance of) any activity outsourced to B will remain with A. See SYSC 3.2.4 G and SYSC 83

A ensures that an individual approved under one of the significant influence functions has responsibility for the outsourced arrangement and A submits a form in relation to that individual

SUP 10.12.4A G

Where the notification of an appointed representative (SUP 12.7.1 R) is linked to an application for approval (SUP 10.12 (Applications for approval and withdrawing an application for approval)), any delay in receiving the notification under SUP 12.7.1 R may delay the FSA's approval of the individuals employed by that appointed representative who will be performing controlled functions for the firm.

Processing an application

SUP 10.12.5 G

The Act allows the FSA three months from the time it receives a properly completed application to consider it and come to a decision. The FSA must either grant the application or, if it proposes not to grant an application, issue a warning notice (see DEPP 26). The FSA will deal with cases more quickly than this whenever circumstances allow and will try to meet the standard response times published on the website and in its Annual Report. However, if an application is incomplete when received, or the FSA has knowledge that, or reason to believe that, the information is incomplete, then the processing time will be longer than the published standard response times.

6
SUP 10.12.6 G

Application forms must always be completed fully and honestly. Further notes on how to complete the form are contained in each form. If forms are not completed fully and honestly, applications will be subject to investigation and the candidate's suitability to be approved to undertake a controlled function will be called into question.10A person who provides information to the FSA that is false or misleading may commit a criminal offence, and could face prosecution under section 398 of the Act regardless of the status of their application.10

10 2
SUP 10.12.7 G

If there is a delay in processing the application within the standard response time, the FSA will tell the firm making the application as soon as this becomes apparent.

SUP 10.12.8 G

Before making a decision to grant the application or give a warning notice, the FSA may ask the firm for more information about the candidate. If it does this, the three month period in which the FSA must determine a completed application:

  1. (1)

    will stop on the day the FSA requests the information; and

  2. (2)

    will start running again on the day on which the FSA finally receives all the requested information.

SUP 10.12.9 G

The FSA may grant an application only if it is satisfied that the candidate is a fit and proper person to perform the controlled function stated in the application form. Responsibility lies with the firm making the application to satisfy the FSA that the candidate is fit and proper to perform the controlled function applied for.

SUP 10.12.10 G

For further guidance on criteria for assessing whether a candidate is fit and proper, see FIT.

Decisions on applications

SUP 10.12.11 G

Whenever it grants an application, the FSA will confirm this in writing to all interested parties.

SUP 10.12.12 G

If the FSA proposes to refuse an application in relation to one or more controlled functions, it must follow the procedures for issuing warning and decision notices to all interested parties. The requirements relating to warning and decision notices are in DEPP 2.6

6 6

Withdrawing an application for approval

SUP 10.12.13 R

A firm applying to withdraw an application for approval11 must notify the FSA, using Form B, in the form set out in SUP 10 Annex 5 R.11

SUP 10.12.14 G

Under section 61(5) of the Act (Determination of applications), the firm may withdraw an application only if it also has the consent of the candidate and the person by whom the candidate is or would have been employed, if this is not the firm making the application.

SUP 10.13 Changes to an approved person's details

Moving within a firm

SUP 10.13.1 G

An approved person's job may change from time to time as a result, for instance, of a change in personal job responsibilities or a firm's regulated activities. Where the changes will involve the person performing one or more different controlled functions from those for which approval has already been granted, then an application must be made to the FSA for approval for the person to perform those controlled functions. The firm must take reasonable care to ensure that an individual does not begin performing a controlled function until the FSA has granted approved person status to that individual in respect of that controlled function. This applies to individuals seeking approval in respect of a controlled function within the firm for which they already perform controlled functions. If the approved person is ceasing to perform controlled functions, as well as applying for approval in respect of additional controlled functions, then refer to SUP 10.13.3 D.

SUP 10.13.2 G

SUP 10.12.2 D applies where5 an individual is5 to perform further controlled functions for a firm for which he already performs a controlled function as an approved person (see SUP 10.12.2 D). It is not mandatory to complete all parts of the form. See the notes relevant2to each2form for full details.

5 2 2
SUP 10.13.3 D

A firm must use Form E where an approved person is both ceasing to perform one or more controlled functions and needs to be approved in relation to one or more new controlled functions within the same firm or group.1

  1. (1)

    A firm other than a credit union must submit Form E online at www.fsa.gov.uk using the form specified on the FSA's ONA system.5

  2. (2)

    A credit union must submit Form E using the form in SUP 10 Annex 8 G and in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).5

  3. (3)

    Where a firm is obliged to submit an application online under (1), if the FSA's information technology systems fail and online submission is unavailable for 24 hours or more, until such time as facilities for online submission are restored, a firm must submit Form E using the form in SUP 10 Annex 8 G and in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).5

[Note: See SUP 10.13.21 G to SUP 10.13.22 G regarding notification in the event of online failure.]5

Moving between firms

SUP 10.13.4 G

If it is proposed that an approved person will no longer be performing a controlled function under an arrangement entered into by one firm or one of its contractors, but will be performing the same or a different controlled function under an arrangement entered into by a new firm or one of its contractors (whether or not the new firm is in the same group as the old firm), the new firm will be required to make a fresh application for the performance of the controlled function by that person.

SUP 10.13.5 G

In certain circumstances, when the FSA already has the information it would usually require, a shortened version of the relevant2 Form A may be completed. See the notes relevant2 to each2 form for full details; see also SUP 10.12.2 D for the method of submission of this form.5

2 2

Ceasing to perform a controlled function

SUP 10.13.6 R

A firm must submit to the FSA a completed Form C, in the form set out in SUP 10 Annex 6R,5 no later than seven business days after an approved person ceases to perform a controlled function.

  1. (1)

    A firm other than a credit union must submit Form C online at www.fsa.gov.uk using the FSA's ONA system.5

  2. (2)

    A credit union must submit Form C in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).5

  3. (3)

    Where a firm is obliged to submit an application online under (1), if the FSA's information technology systems fail and online submission is unavailable for 24 hours or more, until such time as facilities for online submission are restored, a firm must submit Form C in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).

[Note: See SUP 10.13.21 G to SUP 10.13.22 G regarding notification in the event of online failure.]5

SUP 10.13.7 R
  1. (1)

    A firm must notify the FSA as soon as practicable after it becomes aware, or has information which reasonably suggests, that it will submit a qualified Form C in respect of an approved person.

  2. (2)

    Form C is qualified if the information it contains:

    1. (a)

      relates to the fact that the firm has dismissed, or suspended, the approved person from its employment; or

    2. (b)

      relates to the resignation by the approved person while under investigation by the firm, the FSA or any other regulatory body; or

    3. (c)

      otherwise reasonably suggests that it may affect the FSA's assessment of the approved person's fitness and propriety.

SUP 10.13.7A G
  1. (1)

    6The obligations to supply information to:

    1. (a)

      the FSA under either SUP 10.13.6 R or SUP 10.13.7 R;

    2. (b)

      another firm under SUP 10.13.12 R;

      apply notwithstanding any agreement (for example a 'COT 3' Agreement settled by the Advisory, Conciliation and Arbitration Service (ACAS)) or any other arrangements entered into by a firm and an employee upon termination of the employee's employment. A firm should not enter into any such arrangements or agreements that could conflict with its obligations under this section.

  2. (2)

    Failing to disclose relevant information to the FSA may be a criminal offence under section 398 of the Act.

SUP 10.13.8 G

Notification under SUP 10.13.7 R may be made by telephone, fax or email and should be made, where possible, within one business day of the firm becoming aware of the information. If the firm does not submit Form C, it should inform the FSA in due course of the reason. This could be done using Form D, if appropriate.

SUP 10.13.9 G

A firm is responsible for notifying the FSA if any approved person has ceased to perform a controlled function under an arrangement entered into by its appointed representative or former appointed representative

SUP 10.13.10 G

A firm can submit Form C or Form E to the FSA in advance of the cessation date. When a person ceases the arrangement under which he performs a controlled function, he will automatically cease to be an approved person in relation to that controlled function. A person can only be an approved person in relation to a specific controlled function. Therefore, a person is not an approved person during any period between ceasing to perform one controlled function (when he is performing no other controlled function) and being approved in respect of another controlled function.

SUP 10.13.11 G

Sending forms promptly will help to ensure that any fresh application can be processed within the standard response times.

SUP 10.13.12 R
  1. (1)

    If a firm (A):

    1. (a)

      is considering appointing a person to perform any of the controlled functions;4

      4
    2. (b)

      requests another firm (B), as a current or4 former employer of that person, for a reference or other information in connection with that appointment; and

    3. (c)

      indicates to B the purpose of the request;

    B must, as soon as reasonably practicable, give to A all relevant information of which it is aware.

  2. (2)

    When giving the information to A under (1), B must have regard to the purpose of the request and in particular to:

    1. (a)

      any outstanding liabilities of that person from commission payments;

    2. (b)

      any relevant outstanding or upheld complaint from an eligible complainant against that person;

    3. (c)

      section 5 of the relevant 2Form A in SUP 10 Annex 4 (Application to perform controlled functions under approved persons regime);

    4. (d)

      FIT 2 (Main assessment criteria); and

    5. (e)

      if SUP 16.8.1 G (1) (Persistency reports from insurers) applies to B, the persistency of any life policies sold by that person.

SUP 10.13.12A G

4The requirement in SUP 10.13.12 R (1) for firm (B) to give to firm (A) all relevant information of which it is aware concerning a personfirm A is considering appointing to perform any of the controlled functions, also applies where firm A has outsourced the collection of that information to another (unregulated) third party, where firm B has been made aware that the unregulated third party is acting on behalf of firm A.

SUP 10.13.13 G

A firm supplying a reference in accordance with SUP 10.13.12 R owes a duty to its former employee and the recipient firm to exercise due skill and care in the preparation of the reference. The reference should be accurate and based on documented fact. The firm may give frank and honest views, but only after taking reasonable care both as to factual content, and as to the opinions expressed, and verifying the information upon which they are based.

Changes to an approved person's personal details

SUP 10.13.14 R

If an approved person's title, name or national insurance number changes, the firm for which the person performs a controlled function must notify the FSA on Form D, in the form set out in SUP 10 Annex 7 R,5 of that change within seven business days of the firm becoming aware of the matter.

  1. (1)

    A firm other than a credit union must submit Form D online at www.fsa.gov.uk using the FSA's ONA system.5

  2. (2)

    A credit union must submit Form D in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).5

  3. (3)

    Where a firm is obliged to submit an application online under (1), if the FSA's information technology systems fail and online submission is unavailable for 24 hours or more, until such time as facilities for online submission are restored, a firm must submit Form D in the form set out in SUP 10 Annex 7 R and in the way set out in SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification).5

[Note: See SUP 10.13.21 G to SUP 10.13.22 G regarding notification in the event of online failure.]5

SUP 10.13.15 G

The duty to notify in SUP 10.13.14 R does not apply to changes to an approved person's private address.

SUP 10.13.16 R
  1. (1)

    If a firm becomes aware of information which would reasonably be material to the assessment of an approved person's, or a candidate's, fitness and propriety (see FIT), it must inform the FSA on Form D, or (if it is more practical to do so and with the prior agreement of the FSA) by fax or e-mail, as soon as practicable.5

  2. (2)

    SUP 10.13.14 R applies to the submission of Form D.5

SUP 10.13.16A G

6Failing to disclose relevant information to the FSA may be a criminal offence under section 398 of the Act.

SUP 10.13.17 G

The duty to notify in SUP 10.13.16 R extends to any circumstances that would normally be declared when giving the information required for section 5 of Form A or matters considered in FIT 2.

SUP 10.13.18 R
  1. (1)

    If, in relation to a firm which has completed the relevant 2Form A (SUP 10 Annex 4 D),5 any of the details relating to arrangements5 and controlled functions are to change, the firm must notify the FSA on Form D (SUP 10 Annex 7 R)5.

    555
  2. (2)

    The notification under (1)5 must be made as soon as reasonably practicable after the firm becomes aware of the proposed change.

  3. (3)

    Paragraphs (1) and (2) also apply to a firm in respect of an approved person, to whom the grandfathering arrangements applied as if the firm had completed the relevant 2Form A for that person.

    2
  4. (4)

    5SUP 10.13.14 R applies to the submission of Form D.

SUP 10.13.19 G

An example of where a firm should use Form D is when an individual who is appointed by one appointed representative becomes employed by another appointed representative but continues to perform the investment adviser function for the firm. The firm should notify the FSA by completing Section 1.07 of Form D.

SUP 10.13.20 G

The grandfathering arrangements applying to an approved person referred to in SUP 10.13.18 R are contained in Part VI (Approved persons) of the Financial Services and Markets Act (Transitional Provisions) (Authorised Persons etc.) Order 2001 (SI 2001/2636). Article 72 of that Order provides, in general terms, that, where a person was performing a function at the beginning of 1 December 2001 which became a controlled function under the Act, the continued performance of that function by that person was taken to be approved by the FSA. That person therefore became an approved person without the need for a Form A.

Ongoing alerts for retail adviser complaints

SUP 10.13.20A R
  1. (1)

    7A firm must notify the FSA, in the form set out in SUP 10 Annex 9 R, where:

    1. (a)

      in any twelve month period, it has upheld three complaints about matters relating to the retail investment activities carried out by any one retail investment adviser; or

    2. (b)

      it has upheld a complaint about matters relating to the retail investment activities carried out by a retail investment adviser, where the redress paid exceeds £50,000.

  2. (2)
    1. (a)

      Notifications made under (1)(a) must be made by the end of the period of 20 business days, beginning on the day in which the firm has upheld the third complaint.

    2. (b)

      Notifications made under (1)(b) must be made by the end of the period of 20 business days, beginning on the day in which the firm has upheld the complaint.

SUP 10.13.20B G

7For the purpose of SUP 10.13.20A R:

  1. (1)

    when calculating the number of complaints in SUP 10.13.20AR (1)(a) the firm should exclude complaints previously notified to the FSA under this rule;

  2. (2)

    redress, under SUP 10.13.20AR (1)(b), should be interpreted to include an amount paid, or cost borne, by the firm, where a cash value can be readily identified, and should include:

    1. (a)

      amounts paid for distress and inconvenience;

    2. (b)

      a free transfer out to another provider which transfer would normally be paid for;

    3. (c)

      goodwill payments and goodwill gestures;

    4. (d)

      interest on delayed settlements;

    5. (e)

      waiver of an excess on an insurance policy; and

    6. (f)

      payments to put the consumer back into the position the consumer should have been in had the act or omission not occurred; and

  3. (3)

    if a firm reports on the amount of redress paid under SUP 10.13.20AR (1)(b), the redress should not include repayments or refunds of premiums which had been taken in error (for example where a firm had been taking, by direct debit, twice the actual premium amount due under a policy); the refund of the overcharge would not count as redress.

[Note: See DISP 1.10.2AR for the duty to notify complaints under the complaints reporting rules]

SUP 10.13.20C R

7Notifications under SUP 10.13.20A R must be made electronically using a method of notification prescribed by the FSA.

Submission in the event of failure of FSA information technology systems

SUP 10.13.21 G

5If the FSA's information technology systems fail and online submission is unavailable for 24 hours or more, the FSA will endeavour to publish a notice on its website confirming that online submission is unavailable and that the alternative methods of submission set out in SUP 10.13.3D (3), SUP 10.13.6R (3) and SUP 10.13.14R (3) (as appropriate), and SUP 15.7.4 R to SUP 15.7.9 G (Form and method of notification) should be used.

SUP 10.13.22 G

5Where SUP 10.13.3D (3), SUP 10.13.6R (3) or SUP 10.13.14R (3) applies to a firm, GEN 1.3.2 R (Emergency) does not apply.

SUP 10.14 Further questions

SUP 10.14.1 G

A list of frequently asked questions and answers is at SUP 10 Annex 1.

SUP 10.14.2 G

If the firm or its advisers have further questions, they should contact the FSA's2 Individuals, 2Mutuals and Policy2Department1(see SUP 10.11.6 G).

1

SUP 10 Annex 1 Frequently asked questions

G

Question

Answer

Requirements of the regime

1

Does pre-approval apply to individuals taking up a new controlled function within the same firm?

Yes. Pre-approval applies in all circumstances (see section 59 of the Act (Approval for particular arrangements)) except under the temporary ('12 weeks') provision. See SUP 10.5.5 R and question 2.

2

What are the procedures for 'emergency situations'?

Individuals may perform the 6significant influence function for up to 12 weeks in any consecutive 12 month period without requiring approval. When it becomes clear that a person will be performing the function on a permanent basis, then an application for approval should be made. However, there is no provision for individuals to perform the customer function2 on a continuing basis without approval. See SUP 10.5.5 R.

2

3

Can a person be approved for more than one controlled function?

Yes. A firm will need to seek approval in respect of each controlled function a person is to perform.

4

Do the controlled functions apply to an incoming EEA firm that is providing cross border services into the United Kingdom?

No. The approved persons regime does not apply to cross border services. See SUP 10.1.6 R.

5

May any activity be outsourced by a firm?

Yes. But if that activity constitutes a regulated activity, the person to whom it is outsourced will itself need permission.

6

Can a significant influence function be outsourced?

It is a question of fact in each case who is performing a significant influence function. These functions are mostly described at a high level of responsibility, that is, for example, the director of a company or a partner in a partnership. The persons performing these functions cannot avoid their ultimate responsibility and therefore the need for approval. However, some of the significant influence functions may be performed by a person who is specifically brought in to do the job, for example the chief executive function (where it is to be performed by a body corporate) and the actuarial and with-profits actuary functions.1

1

7

Do Lloyd's underwriting agents still require registration with Lloyd's?

Yes. Approval for a controlled function is not sufficient.

8

What should a firm do if it is unsure whether an individual needs approval?

The firm should contact the Individuals, Mutuals and Policy 5Department2. See SUP 10.11.6 G.

2

Submitting an application

9

Who applies for approval?

The firm. See section 60 of the Act (Applications for approval).

10

What is the role of the candidate in the application process?

Before the firm submits the relevant 5Form A, it must verify the information contained in it. As part of this verification, the Form provides for the candidate to confirm the accuracy of the information given by the firm so far as it relates to him.

11

What checks should6a firm make on a candidate before submitting an application for approval from the FSA?

6

The FSA expects firms to perform due and diligent enquiries into their candidatesbefore they submit an application to us for approval. Our approval process is not a substitute for the checks that a firm should be carrying out on its prospective recruits. It is for the firm to determine what checks are appropriate but in making its decision, a firm should have regard to the controlled function to which the application relates 6Firms' enquiries should include checks to verify relevant qualifications and previous employment3. Note also the provisions3 of EG 64.

3 4 3

11A

Should these checks include a check of criminal records?

It is for senior management to decide what checks should be made. In deciding if it is necessary to carry out a check of criminal records, the firm should consider that the FSA does not routinely carry out these checks during the approval process.6 By virtue of the Rehabilitation Exceptions Orders, the FSA and the industry also have a right to ask about the spent criminal convictions specified in those Orders, as well as any unspent criminal convictions, in order to assess the suitability of10candidates for approved person status (see section 55 of the relevant5 Form A (Application to perform controlled functions under the approved persons regime)). Note also the provisions of EG 6 (Publicity)4.

10 5 4 3

12

What is the "fit and proper" test for approval?

Section 61(1) of the Act (Determination of applications) provides that the FSA may grant an application only if it is satisfied that the candidate is a fit and proper person to perform the relevant function. In determining this question, the Act sets out the matters to which the FSA may have regard (section 61(2)) and the FSA has given guidance on this in FIT.

13

If a firm is unsure whether or not something may have an impact upon an individual's fitness and propriety, should it be disclosed?

Yes, always. The deliberate non-disclosure of material facts is taken very seriously by the FSA as it is seen as possible evidence of current dishonesty. Therefore, if in doubt, disclose.

14

What happens if adverse information comes to light after the application form has been submitted or after the individual has been approved?

The firm must inform the FSA at the earliest opportunity. See SUP 10.13.16 R.

15

Will the FSA consider an application in respect of a candidate who has not yet signed a contract with the firm?

Yes, as the FSA will consider the arrangement under which the candidate will perform the function. However, the FSA will not consider speculative or provisional applications - such as for the candidates in an election to a mutual society Board.The FSA must be informed immediately of any material changes to the information provided on the application form which arises before the application has been determined. All changes must be communicated to the FSA by the firm making the application (seeSUP 15.6.4 R). Failure to notify the FSA may result in a delay in processing or rejection or both.

16

How can credit unions7 get a supply of application forms (Forms A to F)?7

7 7

These can either be ordered through the Individuals, Mutuals and Policy5 Department2 by email to iva@fsa.gov.uk or from the FSA's Firm Contact Centre.7 There is no charge for an application form.

2 7

17

Is there a separate fee for making an application for approved person status?

No.

18

Must all gaps in previous employment be explained?

Yes.

FSA procedures

19

Does the FSA verify the information provided to it?

Yes, as far as possible, information is verified.

20

Will the FSA handle information confidentially?

Yes. The FSA is obliged to handle all information confidentially and is subject to the provisions of the Data Protection Act 1998.

21

How long will the FSA take to process an application for approved person status?

The length of time taken to process the application will vary as it is dependent upon the application under consideration. The FSA publishes standard response times on its website at www.fsa.gov.uk setting out how long the application process is expected to take in practice. From time to time, the FSA also publishes its performance against these times. However, if,8 for example, information is missing8 from the application, or the information provided gives the FSA cause for concern, 8or the FSA already has in its possession relevant information which gives rise to concerns, processing time will almost always be longer. In each case, the FSA will notify the firm of any extension to the processing times.

8

22

Will the firm and individual be notified if there is a delay in processing the application form?

Yes. The FSA will contact the firm explaining the position and, where appropriate, giving the reasons for delay. It will then be the responsibility of the firm to keep the candidate and any other interested party informed.

23

How are non-routine cases handled?

Refer toDEPP 24.

4

24

Can the FSA apply conditions to an approved person?

No. The application can either be granted or refused. The Act provides no equivalent to the limitations or requirements which may be included in permissions. If the application is refused, the firm may re-apply in respect of the same individual but a different controlled function. If it is considering doing this, the firm is encouraged to discuss the matter with the FSA.Where there are reasonable grounds for doing so, the FSA may require a firm to provide information about an approved person (see section 165 of the Act (Power to require information)).

25

Will the firm be issued with confirmation of approval?

Yes. The firm will be sent a letter setting out the effective date of approval together with the controlled function for which the individual has been approved. It will then be the firm's responsibility to inform the individual and any other interested party, for example any appointed representative.

Withdrawing an application

26

Can a firm withdraw its application?

Yes, but only with the consent of the candidate. See section 61(5) of the Act (Determination of applications).

27

What happens if the individual refuses to consent to the withdrawal of the application?

The FSA will consider with all interested parties what to do. If it proposes to refuse the application, it will give a warning notice to all interested parties. See section 62 of the Act (Applications for approval: procedure and right to refer to the Tribunal).

28

Can the firm withdraw only part of an application - say, in relation to a specific controlled function?

The FSA will allow the firm to amend its application at any time before determination with the consent of all other interested parties. Whether the amendment will have the effect of amounting to a fresh application will be considered on a case by case basis.

Conduct of approved persons

29

How and when must the firm report to the FSA potentially adverse information about an approved person's fitness and propriety?

Normally, the firm should report such matters to the FSA on Form D once it is reasonably satisfied as to the information's validity. See SUP 10.13.16 R. See also, Principle for Businesses 11 (PRIN) and Statements of Principle 4 (APER). However, if an approved person is dismissed, is suspended, or resigns while under investigation by the firm, the FSA or another regulatory body, or there are any other matters that might affect the individual's fitness and propriety to perform a controlled function, the firm should inform the FSA (SUP 10.13.7 R) that it will be submitting a Form C containing adverse information. Full details must then be provided within seven business days, on the Form C. See SUP 10.13.6 R.

30

For how long are individuals accountable to the FSA after ceasing to be an approved person?

A person is guilty of misconduct if, while an approved person, he fails to comply with a Statement of Principle or is knowingly concerned in the contravention by a firm of a requirement in the Act or the Handbook. But the FSA may not bring proceedings after three9 years from when it first knew of the misconduct.

9

How does the customer function relate to the training and competence requirements?

Activity

Products/sectors in TC Appendix 13

3

Controlled Function

SUP

Advising only,

Undertaking an activity,

Advising and dealing

Managing investments32

3

2-9,

10-11,

12-13,

143

2

customer function (CF 30)2

2

10.10.4R 2

2

SUP 10 Annex 2 Approved person regime: summary of forms and their use

Approved person regime: summary of forms and their use

G
SUP_10_Annex_2G

SUP 10 Annex 4 Form A: Application to perform controlled functions under the approved person regime

D

This annex consists only of one or more forms. Forms are to be found through the following address:

Supervision forms - Notes from direction in SUP 10.121

SUP 10 Annex 5 Form B: Notice to withdraw an application to perform controlled functions under the approved persons regime

R

This annex consists only of one or more forms. Forms are to be found through the following address:

Supervision forms - SUP 10 Annex 5

SUP 10 Annex 6 Form C: Notice of ceasing to perform controlled functions

R

This annex consists of only one or more forms. Forms can be completed online now by visiting: http://www.fsa.gov.uk/Pages/doing/index.shtml

The forms are also to be found through the following address: Supervision forms - SUP 10 Annex 6

SUP 10 Annex 7 Form D: Notification of changes in personal information or application details

R

This annex consists of only one or more forms. Forms can be completed online now by visiting: http://www.fsa.gov.uk/Pages/doing/index.shtml

The forms are also to be found through the following address: Supervision forms - SUP 10 Annex 7

SUP 10 Annex 8 Form E: Internal transfer of an approved person

G

This annex consists only of one or more forms. Forms are to be found through the following address:

Supervision forms - SUP 10 Annex 8