Understanding Appointed Representatives and Principal Firms: Key Responsibilities and Compliance

1
Introduction to Appointed Representatives

• Definition Appointed Representative (AR) and
  Principal Firm.
• ARs can conduct regulated activities through
  their relationship with an FCA-authorised
  Principal Firm.
• Principal Firms are responsible for the
  compliance of ARs.

2
Responsibilities of Principal Firms

• Ensure AR suitability before appointment.
• Maintain oversight of ARs compliance with FCA
  rules.
• Charge ARs for ongoing compliance oversight.

3
Types of Appointed Representatives

• Introducer Appointed Representatives Restricted
  activities, lower compliance risk.
• Full Appointed Representatives Conduct regulated
  activities with more freedom but under
  Principals limitations.
• Importance of compliance with FCA rules and
  agreements.

4
Controlled Functions and Approved Persons

• Controlled Functions Designated roles requiring
  FCA approval.
• Approved Persons Regime Applies to ARs, ensuring
  individuals meet FCAs standards.
• Personal accountability and potential fines for
  non-compliance.

5
How MEMA Supports Principal Firms

• Assistance in onboarding ARs and ensuring
  compliance.
• Creating frameworks for compliance monitoring.
• Ongoing support and advice on FCA rules and
  compliance.

6
CONTACT US



contact_at_memaconsultants.com
03301330811



Suite 1810, Unit 3a,34-35 Hatton Gardens,
Holborn, EC1N 8DX

https//www.memaconsultants.com/


7
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