FCA Proposes New Rules to Enhance UKs Capital Markets Framework

Proposed regulations by the Financial Conduct Authority (FCA) aim to fortify the capital markets of the United Kingdom and its standing as a worldwide hub for finance. The UK Prospectus Regulation will be replaced by the new Public Offers and Admissions to Trading Regime (POATRs), which will mandate that businesses publish prospectuses whenever they admit securities to public markets. The FCA is also consulting on proposals for a public offer platform, offering an alternative route for companies to raise capital outside public markets. The new rules allow asset managers greater freedom in how they pay for investment research, improving market competition for investors. The final part of the package is a consultation outlining proposals for derivatives trading obligations to improve secondary market regulation and reduce systemic risk.