FCA refuses to authorise compliance firm to operate investment network

The FCA has refused to authorise Alexander Jon Compliance Consulting Limited (AJCC) to provide regulatory hosting services.

AJCC applied to take responsibility for appointed representatives (ARs) carrying out regulated activities in relation to certain securities, options and futures for retail clients, professional clients and eligible counterparties.

The FCA refused the application on the basis that AJCC could not demonstrate that it had the skills, experience or staff to oversee ARs. It was also unable to explain how its ARs would assess that products or services were appropriate for consumers, or to demonstrate that it would have direct responsibility for the conduct and compliance of its ARs.

The FCA has previously highlighted common issues with oversight of ARs and committed to improving the standards in this sector as part of its 2022-2025 strategy.

Harshil Patel