OMPS 1.2 Parts of the Handbook applicable to oil market participants

High Level Standards

Principles for Businesses (PRIN)

This applies.

Senior management arrangements, Systems and Controls (SYSC)

This applies.

Threshold Conditions (COND)

This applies.

Statements of Principle and Code of Practice for Approved Persons (APER)

This applies to an approved person who performs a controlled function for an oil market participant.

The Fit and Proper test for Approved Persons (FIT)

This applies.

General provisions (GEN)

This applies.

Business standards

Interim Prudential sourcebooks (IPRU)

Chapter 1 (Application and General) of IPRU(INV) (Interim Prudential sourcebook: Investment Businesses) applies.

Chapter 3 (Financial resources for Securities and Futures Firms which are not Investment Firms) of IPRU(INV) only applies to an oil market participant if it is a member of a recognised investment exchange or a designated investment exchange which is, under the rules of that exchange, entitled to trade with other members: see IPRU(INV) 3-1A.

The other parts of IPRU(INV) do not apply.

The other IPRU sourcebooks do not apply.

Conduct of Business sourcebook (COB)

Only some parts of COB apply to oil market activity: see COB 1.6.6 R - COB 1.6.12 R.

Mortgages: Conduct of Business sourcebook (MCOB)1

Client assets sourcebook (CASS)

This applies

Market Conduct sourcebook (MAR)

This applies; however MAR 2 (Price stabilising rules) is likely to be of only marginal relevance to the business of an oil market participant. MAR 5 (Alternative Trading Systems) applies to an oil market participant that operates an ATS.

Training and Competence sourcebook (TC)

TC 1 (Commitments) applies. TC 2 (Rules and guidance) is likely to apply where an oil market participant conducts activities set out in TC 2.1.4 R.

Money Laundering sourcebook (ML)

This applies.

Regulatory processes

Authorisation manual (AUTH)

This applies in relation to an application by a prospective oil market participant for a Part IV permission.

Supervision manual (SUP)

This applies, with the following qualifications:

(a) in SUP 3 (Auditors), only some provisions apply if IPRU(INV) 3 (Financial Resources for Securities and Futures Firms which are not Investment Firms) does not apply to an oil market participant: see SUP 3.1.2R and SUP 3.2.4G;

(b) in SUP 10 (Approved persons), if an oil market participant's principal purpose is to carry on activities other than regulated activities, then the scope of the significant influence functions is restricted to the required functions: see SUP 10.1.21R - SUP 10.1.22G;

(c) SUP 16.7 (Financial reports) does not apply to the firm if IPRU(INV) 3 does not apply: see SUP 16.1.3R and SUP16.7.5G;

(d) SUP 17 (Transaction reporting) does not apply to an oil market participant in relation to its oil market activity: see SUP 17.1.1R; and

(e) SUP App 2 (Insurers: Scheme of operations) does not apply.

Enforcement manual (ENF)

This applies.

Decision making manual (DEC)

This applies.

Redress

Dispute resolution: Complaints sourcebook (DISP)

Oil market participants are subject to the Compulsory Jurisdiction of the Financial Ombudsman Service.

However, a firm which does not, and notifies the FSA under DISP 1.1 that it does not, conduct business with eligible complainants (persons eligible to have a complaint considered under the Financial Ombudsman Service, as defined in DISP 2.4) will be exempt from the rules on complaint handling procedures for firms (DISP 1.2 to DISP 1.7 and from the Financial Ombudsman Funding rules (FEES 5.1 to FEES 5.7).

Compensation sourcebook (COMP)

COMP applies to all firm. However, oil market participants that do not conduct business that could give rise to a protected claim by an eligible claimant as defined and have no reasonable likelihood of doing so can gain exemption under FEES 6.2 from some compensation scheme levies.

Complaints against the FSA (COAF)

This applies.

Specialist sourcebooks

Collective Investment Schemes sourcebook (CIS)

CIS will ordinarily apply to an oil market participant that carries on regulated activities in relation to an oil collective investment scheme.

E-Commerce Directive sourcebook (ECO)

This applies to an oil market participant which is an electronic commerce activity provider.

Professional firms sourcebook (PROF)

None of the other specialist sourcebooks applies.

Lloyd's sourcebook (LLD)

Recognised Investment Exchange and Recognised Clearing House sourcebook (REC)

Special guides

Special guide for service companies (SERV)

This does not apply because oil market participant is defined to exclude a service company.

Special guide for energy market participants (EMPS)

This does not apply because energy market participant is defined to exclude an oil market participant.

Special guide for oil market participants (OMPS)

This applies.

Schedules

Summary schedules

1. Record keeping requirements

2. Notification requirements

3. Fees and other required payments

4. Powers exercised in making the Handbook

5. Rights of action for damages

6. Rules that can be waived

7. Releases

These apply, but only to the extent that the sourcebook or manual to which they relate applies.

Glossary of definitions

This applies.

Index

This applies.