Reset to Today

To access the FCA Handbook Archive choose a date between 1 January 2001 and 31 December 2004.

Content Options:

Add to favourites

View Options:

More Resources:

External link Handbook Publications

Alternative versions

  1. Point in time
    2016-06-17

IPRU-INV 13.2 FINANCIAL RESOURCES TESTS

IPRU-INV 13.2.1R

An exempt CAD firm must meet:

  1. (1)

    [deleted]

  2. (2)

    Financial Resources Test 1A (the Adjusted Net current assets Test) calculated in accordance with section 13.4; and

  3. (3)

    Financial Resources Test 2 (the Expenditure-based Test) calculated in accordance with section 13.5.

IPRU-INV 13.2.2G

[deleted]

IPRU-INV 13.2.3G

Table 13A is a summary of the financial resources test for exempt CAD firm.

Table 13.A

This table forms part of guidance 13.2.3

SUMMARY OF FINANCIAL RESOURCES FOR EXEMPT CAD FIRMS

Type of firm

Financial Resources Test 1A

Financial Resources Test 2

Rules/section references

Adjusted net current assets Test

Expenditure-based Test

Exempt CAD firm

Adjusted net current assets of £1

Financial resources equal to the highest of

13.1A.14

13.4

4/52 of Relevant Annual Expenditure

13.5.1D and

13.5.2 to

13.5.4

or

13/52 of Relevant Annual Expenditure without special adjustments

or

£400 per adviser

Exempt CAD firm which is a network

Adjusted net current assets of £1

Financial resources equal to the higher of

13.1A.14

13.4

13/52 of Relevant Annual Expenditure

13.5.1B and

13.5.2 to

or

13.5.4

£400 per adviser