Legal Question Re: Asset Management and FX

[loukas]

Hello,

I am wondering what the required licenses are, for managing an FX account for someone while living in the UK.

Would I need to be registered with the FSA? What other steps do I need to take?

What if the account or company I'd be in contract with is outside the UK? Outside Europe for that fact? ... Do I have to deal with the UK authorities, if I am a resident of the UK, or with the authorities of the country the company is registered in?

Thank you in advance for your reply..

 

[Airthrey Capital]

You would need to be registered with the FSA if you reside and operate in the UK regardless of where your client is situated.

 

[Rainmaker]

Could be wrong, but I think there are some exceptions to this, i.e. if the fund is not "marketed" to the public, etc.

 

[Airthrey Capital]

No, you still have to be FSA registered regardless of where your client is situated or who you market to.

For example, a hedge fund could well be registered offshore, but if the fund management company which operates the fund is located (for example) in London, it needs to be FSA registered.

If you are operating in London, and are carrying on "an investment activity" as desribed in the Financial Services and Markets Act....you need to be FSA registered (and take the neccessary exam etc, have no criminal record,bad credit history, mett the capital requirements and be classed as a "fit and proper" person etc..etc..etc..)

Rules is rules....

 

[loukas]

Thanks everybody for your replies. I thought it was so, just wanted to verify.

I'll have to look into taking the FSA exam. I assume you all have experience with this, how hard of a procedure is it to become registered to manage Other People's Money?

Thanks again!

No, you still have to be FSA registered regardless of where your client is situated or who you market to.