Regulatory AlertsPS20/15: High-risk investments: Marketing speculative illiquid securities to retail investors
The Financial Conduct Authority makes its temporary product intervention rules permanent to prohibit the mass-marketing of speculative illiquid securities and certain listed bonds to retail investors. These measures, effective from 1 January 2021, aim to prevent significant consumer financial losses by restricting promotions to certified high net worth, certified sophisticated, and self-certified sophisticated investors only. The rules also mandate improved disclosure of key risks and costs for the limited number of retail investors still eligible to receive such financial promotions.
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