The Financial Conduct Authority (FCA) laid out the possible actions it may take against firms unable to meet their liabilities and accountable individuals seeking to phoenix to another firm in its latest Dear CEO letter.
In the letter, published on Friday (2 December), the regulator highlighted its expectations from firms with regard to firm failure and phoenixing. It said that the firms should ensure they have sufficient financial protection against unsuitable advice claims. It added that it would continue its work to review the prudential regime for non-Markets in Financial Instruments Directive investment advisers and planned to set out further details on this next year. "Where firms are unable to meet their liabilities and accountable individuals seek to phoenix to another firm, we seriously quest...
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