SUP 16.14 Client money and asset return

213This section applies to a CASS large firm and a CASS medium firm.

1. (1)

   Subject to (3), a4 firm must submit a completed CMAR to the FCA10 within 15 business days of the end of each month.

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2. (2)

   In this rule month means a calendar month and SUP 16.3.13 R (4) does not apply.

3. (3)

   4A firm which changes its 'CASS firm type' and notifies the FCA10 that it is a CASS medium firm or a CASS large firm in accordance with CASS 1A.2.9 R is not required to submit a CMAR in respect of the month in which the change to its 'CASS firm type' takes effect in accordance with CASS 1A.2.12 R, unless it was a firm to which the requirement in (1) applied immediately prior to that change taking effect.

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For the purposes of the CMAR:

1. (1)

   client money is that to which the client money rules in CASS 7 apply; and

2. (2)

   safe custody assets are those to which the custody rules in CASS 6 apply4 but only in relation to:7

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   1. (a)

      the holding of financial instruments (in the course of MiFID business);6

   2. (b)

      the safeguarding and administration of assets (without arranging) (in the course of business that is not MiFID business);6

   3. (c)

      acting as trustee or depositary of an AIF, and in this case also include any safe custody investments to which the firm, when acting for an authorised AIF, is required by CASS 6.1.16IAR (2) to apply the custody rules under CASS 6.1.1BR (2);6

   4. (d)

      acting as trustee or depositary of a UK UCITS9 and in this case also include any safe custody investments to which the firm is required by CASS 6.1.16IDR to apply the custody rules under CASS 6.1.1BR(3)7; and

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   5. (e)

      those excluded custody activities carried on by a firm acting as a small AIFM, that would amount to the safeguarding and administration of assets (without arranging) but for the exclusion in article 72AA of the RAO.6

3A CMAR must be submitted by electronic means made available by the FCA10.

1. (1)

   8This rule applies to a firm in respect of a CMAR required under SUP 16.14.3R where, at the end of the reporting period for the CMAR:

   1. (a)

      the firm holds client money using a client bank account under CASS 7.13.13R(3A)(b) (Segregation of client money); and

   2. (b)

      the firm is unable to make a withdrawal from that client bank account until the expiry of a period lasting between 31 and 95 days.

2. (2)

   A firm must use a separate row in data field 13 of its CMAR to report on any aggregate positive balance of client money held with a particular bank which, as at the end of the reporting period for the CMAR:

   1. (a)

      the firm is able to withdraw within a period of up to 30 days;

   2. (b)

      the firm is unable to withdraw for a period of 31 to 60 days; and

   3. (c)

      the firm is unable to withdraw for a period of 61 to 95 days.

3. (3)
   1. (a)

      A firm must denote a balance falling under (2)(b) by using the words “unbreakable 31-60” in data field 13B of the CMAR.

   2. (b)

      A firm must denote a balance falling under (2)(c) by using the words “unbreakable 61-95” in data field 13B of the CMAR.