Find out which permissions to apply for in order to become authorised.
An investment manager, asset manager or portfolio manager could have just one client, such as a fund, or they could offer a separate account service for professional and/or retail investors
The investment manager’s agreement (IMA) should list the services that correspond to their business plan and permissions that relate to the client(s).
Typical permissions required
- advising on investments
- arranging (bringing about) deals in investments
- agreeing to carry on regulated activities
- dealing in investments as an agent
- making arrangements with a view to transactions in investments
- managing investments
- controlling (but not holding) client money
Permissions sometimes required
Managers may also require the following permissions:
- arranging the safeguarding and administration of assets
- safeguarding and administering assets (accepting client assets)
Find out more about the permissions you might need and the terms being used. Please note that you will need to satisfy yourself, taking independent advice where necessary, on which permissions you need to conduct your business.
Financial resource requirement
Investment firms subject to the UK implementation of MiFID will have their prudential requirements set out in MIFIDPRU (prudential sourcebook for investment firms)
Some investment managers may qualify for an Article 2 exemption from MiFID, and so would not be subject to MIFIDPRU, for example an occupational pension scheme (OPS) firm. The prudential requirements for these types of firm are generally set out in IPRU-INV 5.