Part 2 of the Financial Markets Conduct Act 2013 (‘FMCA’) requires ‘fair dealing’ (which are broad principles that prohibit misleading or deceptive conduct, and false and misleading representations amongst others) in relation to financial products and financial services. These fair dealing requirements will apply to offers of financial products made through licensed crowdfunding and peer-to-peer platforms.
Accordingly, the FMA released this Guidance Note to ensure that licensed crowdfunding and peer-to-peer lending platforms understand their ‘fair dealing’ obligations when advertising or communicating with customers.
A copy of the Guidance Note is available here.
The Guidance Note is relevant to licensed crowdfunding and peer-to-peer lending platforms
The Guidance Note is relevant to licensed crowdfunding and peer-to-peer lending platforms, and companies that offer financial products through such platforms. It will also be relevant for any other parties that engage with promoting or communicating licensed crowdfunding, or peer-to-peer products and services.
The Guidance Note sets out the FMA’s expected standard of advertising and communications
The Guidance Note focuses on the communications made to consumers for advertising financial products or services on licensed crowdfunding and peer-to-peer lending platforms. Some key points raised by the FMA include:
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If you would like a specific briefing on the Guidance Note please contact Chris Parke, David Lewis, Nick Scott, Catriona Grover or David Ireland or email the team at email@example.com