MCOB 3.8B Form and content of financial promotions of regulated sale and rent back agreements

A firm should take reasonable steps to ensure that, for a non-real time financial promotion:

1. (a)

   it includes any matters the omission of which causes the financial promotion not to be clear, fair and not misleading;

2. (b)

   if it describes a feature of any regulated sale and rent back agreement, it gives no less prominence to the possible disadvantages than to the benefits associated with that feature;

3. (c)

   it uses plain and intelligible language, and is easily legible (or, in the case of oral promotions, clearly audible);

4. (d)

   the accuracy of all statements of fact in it can be substantiated;

5. (e)

   its promotional purpose is not in any way disguised or misrepresented;

6. (f)

   any statement of fact, promise or prediction is clear, fair and not misleading and any relevant assumptions are clearly and prominently disclosed;

7. (g)

   any statement of opinion is honestly held and, unless consent is impracticable, given with the written consent of the person concerned;

8. (h)

   the facts on which any comparison or contrast is made are verified, or, alternatively, that relevant assumptions are prominently disclosed and that the comparison or contrast is presented in a fair and balanced way, which is not misleading and includes all factors which are relevant to the comparison or contrast;

9. (i)

   it does not contain any false indications, in particular as to the firm's resources and scale of activities;

10. (j)

    the design, content or format does not in any way disguise, obscure or diminish the significance of any statement, warning or other matter which the regulated sale and rent back agreement is required by this chapter to contain; and

11. (k)

    it does not include any reference to approval by the FSA or any government body, unless that approval has been obtained in writing from the FSA or that body (see also GEN 1.2 (Referring to approval by the FSA)).

1. (a)

   Contravention of (1) may be relied on as tending to show contravention of MCOB 3.8B.1 R.

2. (b)

   Compliance with (1) may be relied on as tending to show compliance with MCOB 3.8B.1 R.