COBS 1 Application

1.

Introduction

1.1

G

(1)

GEN 2.2 sets out how the Handbook applies to TP firms.

(2)

This Part supplements GEN 2.2 by further specifying how provisions in this sourcebook apply to TP firms.

(3)

In summary, the combined effect of GEN 2.2.26R and the rules in this Annex is that, for the purposes of this sourcebook, TP firms are subject to those rules which:

(a)

applied to them immediately prior to IP completion day (whether or not derived from EU law);

(b)

 implemented an EU Directive and which relate to a matter which, immediately before IP completion day, was reserved to the TP firm's Home State or to the EEA State from where the service is provided; and

(c)

came into force after IP completion day and which are specified in this Annex.

(4)

However, GEN 2.2.26R(3) and (4) and paragraph 3 of this Annex include provisions which mean that a TP firm does not contravene certain rules in this sourcebook which derive from EU law to the extent that it complies with or applies a relevant provision of its Home State's law or directly applicable EU law.

2.

Application of COBS

2.1

R

In addition to those rules specified in GEN 2.2.26R, a TP firm must also comply with:

(1)

those rules, as in force from time to time, which substitute the UK version of Commission Delegated Regulation (EU) 2017/565 of 25 April 2016 which was part of UK law by virtue of the EUWA as at 23 October 2025;

[Note: The FCA has provided derivation and changes tables which indicate where provisions of assimilated EU law appear in the Handbook: https://www.fca.org.uk/firms/repeal-replacement-retained-eu-law/derivation-changes-tables]

(2)

(to the extent that the rule does not already apply to such a TP firm as a result of GEN 2.2.26R) the provisions in:

(a)

COBS 2.2 (Information disclosure before providing services (other than MiFID and insurance distribution)), where a rule in that section applies to a firm carrying on designated investment business in relation to a non-mass market investment;

(b)

COBS 4.5.2R (Communicating with retail clients (non-MiFID provisions) – General rule);

(c)

COBS 4.10 (Approving and confirming compliance of financial promotions);

(d)

COBS 4.11 (Record keeping: financial promotion);

(e)

COBS 4.12A (Promotion of restricted mass market investments);

(f)

COBS 4.12B (Promotion of non-mass market investments);

(g)

the rules in COBS 4 (Communicating with clients, including financial promotions) in so far as they relate to the communication and approval of financial promotions relating to qualifying cryptoassets;

(h)

COBS 10 (Appropriateness (for non-advised services) (non-MiFID and non-insurance-based investment products provisions));

(i)

COBS 14.3 (Information about designated investments (non-MiFID provisions)), where a rule in that chapter applies to a firm which is arranging (bringing about) or executing a deal in a speculative illiquid security;

(j)

COBS 16.6.7AR (Drawdown pensions: annual statements) and COBS 16.6.8R to COBS 16.6.13G (Income withdrawals – annual statements) in relation to business carried on from an establishment in the United Kingdom;

(k)

COBS 19.10 (Drawdown, investment pathways and cash warnings) in relation to business carried on from an establishment in the United Kingdom; and

(l)

COBS TP 2 paragraphs 2.8G to 2.8J (Other Transitional Provisions) in relation to business carried on from an establishment in the United Kingdom.

3.

Evidencing compliance

3.1

R

A TP firm does not contravene a rule applied by paragraph 2.1R(1) (‘the relevant rule’) to the extent that:

(1)

at the time the firm was required to comply with the rule, the firm (or its appointed representative) complied with a requirement in Commission Delegated Regulation (EU) 2017/565 supplementing Directive 2014/65/EU of the European Parliament and of the Council as regards organisational requirements and operating conditions for investment firms and defined terms for the purposes of that directive as it has effect in EU law (‘the EEA requirement’) in relation to the services it provides in or into the United Kingdom; and

(2)

the EEA requirement has equivalent effect to the relevant rule as it applies in the United Kingdom.

3.2

R

Paragraph 3.1R does not apply unless a TP firm can demonstrate to the FCA that, at the relevant time, it complied with or applied a provision in that paragraph to the extent referred to there.

3.3

G

(1)

The purpose of paragraph 3.1R is to achieve an equivalent effect to GEN 2.2.26R(3) and (4) in relation to rules in this sourcebook that derive from the EU MiFID Org Regulation.  

(2)

Further guidance on the application of the Handbook to TP firms can be found in GEN 2.2.

1. 

Introduction

1.1

G

(1)

GEN 2.3 sets out how the Handbook applies to Gibraltar-based firms.

(2)

This Part supplements GEN 2.3 by further specifying how provisions in this sourcebook apply to Gibraltar-based firms.

(3) 

In summary, the combined effect of GEN 2.3.1R and the rules in this Annex is that, for the purposes of this sourcebook, Gibraltar-based firms are subject to:

(a)

(b)

rules which came into force after IP completion day and which are specified in this Annex.

2.

Application of COBS

2.1

R

In addition to those rules applying by virtue of GEN 2.3.1R, a Gibraltar-based firm must also comply with:

(1)

(in relation to a Gibraltar-based investment firm), those rules, as in force from time to time, which substitute the UK version of Commission Delegated Regulation (EU) 2017/565 of 25 April 2016 which was part of UK law by virtue of the EUWA as at 23 October 2025 when carrying on business from an establishment in the United Kingdom;

[Note: The FCA has provided derivation and changes tables which indicate where provisions of assimilated EU law appear in the Handbook: https://www.fca.org.uk/firms/repeal-replacement-retained-eu-law/derivation-changes-tables]

(2)

(to the extent that the rule does not already apply to such a Gibraltar-based firm as a result of GEN 2.3.1R) the provisions in:

(a)

COBS 2.2 (Information disclosure before providing services (other than MiFID and insurance distribution)), where a rule in that section applies to a firm carrying on designated investment business in relation to a non-mass market investment;

(b)

COBS 4.5.2R (Communicating with retail clients (non-MiFID provisions) – General rule);

(c)

COBS 4.10 (Approving and confirming compliance of financial promotions);

(d)

COBS 4.11 (Record keeping: financial promotion);

(e)

COBS 4.12A (Promotion of restricted mass market investments);

(f)

(g)

the rules in COBS 4 (Communicating with clients, including financial promotions) in so far as they relate to the communication and approval of financial promotions relating to qualifying cryptoassets;

(h)

COBS 10 (Appropriateness (for non-advised services) (non-MiFID and non-insurance-based investment products provisions));

(i)

COBS 14.3 (Information about designated investments (non-MiFID provisions)), where a rule in that chapter applies to a firm which is arranging (bringing about) or executing a deal in a speculative illiquid security;

(j)

COBS 16.6.7AR (Drawdown pensions: annual statements) and COBS 16.6.8R to COBS 16.6.13G (Income withdrawals – annual statements) in relation to business carried on from an establishment in the United Kingdom;

(k)

COBS 19.10 (Drawdown, investment pathways and cash warnings) in relation to business carried on from an establishment in the United Kingdom; and

(l)

COBS TP 2 paragraphs 2.8G to 2.8J (Other Transitional Provisions) in relation to business carried on from an establishment in the United Kingdom.