The Financial Services Act 1986 (Extension of Scope of Act and Meaning of Collective Investment Scheme) Order 1988

• Citation: S.I. 1988/496
• Sections: 4

Section 1 Citation, commencement and interpretation

(1) This Order may be cited as the Financial Services Act 1986 (Extension of Scope of Act and Meaning of Collective Investment Scheme) Order 1988 and shall come into force on 25th March 1988.

(2) In this Order “ the Act ” means the Financial Services Act 1986.

Section 2 Options

Paragraph 7 of Schedule 1 to the Act shall be amended by the insertion of “, palladium, platinum” after the word “gold” in sub-paragraph (c) of that paragraph.

Section 3 Sale of goods and supply of services

Paragraph 19 of Schedule 1 to the Act shall be amended by—

(a) inserting “subject to sub-paragraph (9) below,” before the words “this paragraph” in sub-paragraph (1); and

(b) adding the following sub-paragraph after sub-paragraph (8)—

(9) This paragraph does not have effect where either—

(a) the customer is an individual; or

(b) the transaction in question is the purchase or sale of an investment which falls within paragraph 6 or 10 above or, so far as relevant to either of those paragraphs, paragraph 11 above; or

(c) the investments which the supplier manages or offers or agrees to manage consist of investments falling within paragraph 6 or 10 above or, so far as relevant to either of those paragraphs, paragraph 11 above; or

(d) the advice which the supplier gives is advice on an investment falling within the paragraph 6 or 10 above or, so far as relevant to either of those paragraphs, paragraph 11 above.

Section 4 Collective investment schemes

The references to a collective investment scheme in Schedule 1 to, and elsewhere in, the Act shall be amended by the deletion of section 75(6)(e) and the substitution of the following sub-paragraph—

(e) arrangements where the entire contribution of each participant is a deposit within the meaning of section 5 of the Banking Act 1987 or a sum of a kind described in subsection (3) of that section;