Appointed Representative regime Section 165 update

In an update to its web page on Policy Statement 22/11: ‘Improving the Appointed Representatives regime’ the FCA has confirmed it will be issuing Principal firms with a Section 165 request in December 2022. Firms are reminded that Section 165 requests from the FCA are not optional and must be responded to, providing the requested information.

The data request will include:

  • the reasons for the appointment of any ARs
  • the nature of the ARs’ regulated business
  • whether any unregulated business is conducted
  • the ARs’ anticipated revenue
  • the nature of the financial arrangements between the Principal and its ARs
  • complaints information and whether the AR is part of a group.

Firms will have 60 days to respond.

To minimise the burden on firms, the request has been tailored following the firm survey undertaken in October 2021. The information will inform targeted supervisory work across sectors and portfolios.

As the changes will take effect on 8th December 2022 Principals should read the updated rules and expectations and take any necessary steps to be ready to comply, and should review UKGI Bulletins 335 and 341.

UKGI is a trading style of UKGI Limited and UKGI Services Limited which are wholly owned subsidiaries within UKGI Group Ltd. UKGI Limited acts in compliance services and UKGI Services Limited acts in support services. UKGI Services Limited is a wholly owned subsidiary of Total Broker Solutions Limited, which is an appointed representative of Resolution Compliance Limited, which is authorised and regulated by the Financial Conduct Authority (FCA) under reference number 421154. UKGI Limited Registered in England No. 03544014. UKGI Services Limited registered in England No. 04953835. All Registered Offices Number 22 Mount Ephraim, Tunbridge Wells, England TN4 8AS. VAT registration number 347 2664 82.