Financial Promotions after MiFID: the new Conduct of Business rules

Among all the MiFID-related revisions FSA has made to COBS are some changes to the rules on financial promotions. Some, but not all, are MiFID-driven. Some, but again not all, have a significant impact on how authorised firms manage promotional campaigns. Emma Radmore and Dominic Gilmore of Denton Wilde Sapte look at the changes and how they affect firms promoting specific investments.

© Denton Wilde Sapte 2007. Consistent with our policy when giving advice on a non specific basis, we cannot assume liability for the accuracy of any particular statement. In the case of a specific problem, it is recommended that professional advice be sought. Emma Radmore is a senior solicitor and professional support lawyer and Dominic Gilmore is a solicitor at Denton Wilde Sapte. You can contact them at Emma.Radmore@dentonwildesapte.com, Dominic.Gilmore@ dentonwildesapte.com or on tel: +44 (0) 207 246 7000.

When did the changes happen and why?

Since 1 November of this year, the rules on financial promotions have changed. The fact this date coincided with MiFID implementation may give a slightly misleading impression about the role of MiFID in this area. Although some of the changes are MiFID-driven, other drivers for change have been FSA’s Financial Promotions Review, the Better Regulation Action Plan and the FSA’s move to more principles-based regulation.