What is FCA authorisation?

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Multiple Choice

What is FCA authorisation?

FCA authorisation means permission given by the Financial Conduct Authority to carry out regulated activities in the UK, placing the firm under direct FCA supervision. The FCA directly regulates authorised firms, requiring them to meet specific standards (financial resources, fit and proper individuals, robust systems and controls, safeguarding client money where relevant) and to comply with ongoing rules. Without this authorisation, a firm isn’t permitted to provide many financial services. The other ideas—being regulated indirectly, not regulated, or self-regulated—don’t apply here because authorisation is the formal grant of direct regulatory status by the FCA.

FCA authorisation means permission given by the Financial Conduct Authority to carry out regulated activities in the UK, placing the firm under direct FCA supervision. The FCA directly regulates authorised firms, requiring them to meet specific standards (financial resources, fit and proper individuals, robust systems and controls, safeguarding client money where relevant) and to comply with ongoing rules. Without this authorisation, a firm isn’t permitted to provide many financial services. The other ideas—being regulated indirectly, not regulated, or self-regulated—don’t apply here because authorisation is the formal grant of direct regulatory status by the FCA.

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