The Financial Conduct Authority has proposed seven sets of Handbook amendments covering retail investments, the incoming cryptoasset regime, complaints handling and regulatory reporting. The main changes would treat qualifying fractional shares as readily realisable securities, allowing promotion to all retail investors without restricted mass market investment safeguards, and introduce targeted deferrals when the cryptoasset regime takes effect on Oct. 25, 2027. Fractional shares would qualify only where investors have a proportionate interest in an underlying readily realisable security and can sell that interest back on demand, while derivatives such as contracts for difference would remain subject to existing restrictions. For cryptoassets already traded on an operator’s platform before authorization, the FCA proposes up to six months to complete pre-admission assessments and publish Qualifying Cryptoasset Disclosure Documents, subject to notification, disclosure and point-of-trade warning requirements. Dealers and arrangers would receive three-month deferrals for execution venue and final execution policy requirements. Separately, money market fund reporting would move into the wider Fund Reporting for Asset Management Entities framework, with quarterly reporting streamlined and targeted weekly reporting introduced for UK funds and overseas funds marketed in the UK. The weekly data would cover valuation, liquidity, maturity, investor concentration and flows, replacing daily net asset value reporting when the wider money market fund reforms take effect in the third quarter of 2027. Other proposals would clarify Consumer Composite Investment disclosure rules, exclude Enterprise Investment Scheme funds from past performance graphs and extend implementation for products closed to new business until June 8, 2028. The FCA would also correct complaints reporting rules, enable Lloyd’s to adopt a single-stage complaints process, and update savings account disclosure guidance. Alongside the consultation, the FCA issued guidance to help crypto firms determine which activities will require authorization when the new regime begins, ahead of the authorization gateway opening on Sept. 30, 2026.
2026-09-02Financial Conduct Authority
Financial Conduct Authority launches seven-part Handbook consultation on fractional shares, crypto deferrals and fund reporting
The Financial Conduct Authority has proposed seven groups of Handbook amendments, including proportionate promotion rules for qualifying fractional shares and targeted deferrals under the cryptoasset regime. It also plans weekly money market fund reporting within its wider funds reporting framework and targeted changes to investment disclosures and complaints rules. Separate guidance helps crypto firms assess whether they will need authorization before the gateway opens on Sept. 30, 2026.