FCA (Finance Conduct Authority) – an independent organization that serves as a Great Britain regulating financial authority.
The FCA organization was founded in 2013, and the oversight function of banks, credit unions, insurance, and significant investment companies was entrusted to the specially created Bank of England prudential control department
The regulator pursues the following tasks:
- Management is trying, by all means, to improve the financial system and the UK market, while maintaining the confidence of the client;
- Creating conditions that will help protect the financial system. Sustaining investors for economic growth;
- customer protection from problems related to investments or transactions;
- control of participants to prevent insider trading.
The institution provides unique requirements for brokers:
- a brokerage company must maintain capital in a particular liquid state.
- Independent auditors should conduct audits annually.
- Afford financial reports of the company.
FCA pays much attention to brokers’ clients, trying to protect their interests. Complicated standards indicate this – this contributes to the first stage of the investment activity of the trader. How? The regulator may decide to conduct an unplanned inspection of their licensed brokers to determine the quality of work.