COB 1.2 General application: who?

COB applies to every firm, except that:

1. (1)

   4[deleted]3

2. (2)

   for a UCITS qualifier and a service company that does not operate an ATS, only COB 1.9 (Application to electronic commerce activity providers) and 8,COB 3 (Financial promotion),COB 7.17 (Investment research recommendations: required disclosures) and any provision of COB incorporated into COB 1.9 or COB 3 by reference, apply;1

3. (2A)

   4for a service company that operates an ATS, only COB 1.9 and COB 3, any provision of COB incorporated into COB 1.9 or COB 3 by reference, and COB 7.17 (Investment research recommendations: required disclosures) and, in relation to the operation of the ATS, COB 4.2 (Terms of business), apply;2

4. (3)

   COB does not apply to an ICVC; 7

5. (4)

   COB does not apply to an authorised professional firm with respect to its non-mainstream regulated activities except for:

   1. (a)

      COB 2.1 (Clear, fair and not misleading communication);

   2. (b)

      COB 3 (Financial promotion); and

   3. (c)

      the following provisions of COB 4.2 (Terms of business and client agreements with customers): COB 4.2.1 R to COB 4.2.6 G, COB 4.2.12A E and COB 4 Ann 2E(25); and57

   4. (d)

      the IMD minimum implementation provisions and COB 4.3.19 R to COB 4.3.25 R as if they also applied to a firm carrying out the activities in COB 4.3.19R (1)(a) with or on behalf of private customers, unless:7

      1. (i)

         the designated professional body of the firm has made rules which implement some or all of the provisions of articles 12 and 13 of the IMD;7

      2. (ii)

         those rules have been approved by the FSA under section 332(5) of the Act; and7

      3. (iii)

         the firm is subject to the rules in the form in which they were approved;7

      in which case they are disapplied to the extent that articles 12 and 13 of the IMD are implemented by the rules of the designated professional body.7