FSA: a regulator in the UK

Currency trading offers the prospect of unlimited income. That is why free market trading is growing in popularity every day. However, in order to make a profit it is necessary not only to be guided in how to invest, but also to cooperate with a reliable organization. That is why the activity of controlling bodies behind the dealing centers and brokerage firms is of great interest. In the UK market regulates FSA.

Financial regulation and supervision FSA

• Full title: UK Financial Services Authority
• English title: Financial Services Authority
• Abbreviated title: FSA
• Subordinate countries: UK
• The level of trust of traders: high
• Official website: www.fsa.gov.uk

The FSA is a government supervisory body that oversees how all national investment, financial, insurance and banking companies conduct their operations. The FSA appeared in 1997, replacing the previously existing Securities and Investment Board Limited (SIB) and a year later, recalls the magazine ForTrader.org, began to perform the function of the Bank of England to regulate the banking sector and financial markets.

All activities of the regulator FSA is based on several important principles:

•  economy and efficiency. The cost of control should be minimal, and the effect should be sufficient.
• transparent management. To understand who is responsible for what, and to assess the external and internal risks in any enterprise, it is necessary to allocate authority - this is an important principle and requirement FSA to financial institutions.
• proportionality. In order to avoid overly limiting the production capacity of companies, any requirements are made on the assessment of consumer demand of the financial business segment.
• innovativeness. The continuous improvement of regulatory methods makes it possible to monitor the legality of financial transactions without excessive legal restrictions.
• international orientation. Since the U.K. economy runs as part of the global economy, the international aspects of business must be taken into account.
• competition. One of the main objectives of FSA control is to maintain healthy competition and to prevent the strengthening of monopolistic structures.

FSA: Regulation and Financing

FSA - A financially independent organization. All its activities are financed by controlled companies through cash contributions and levies as well as taxes. In its work it is subordinate to the Ministry of Finance of Great Britain and, accordingly, to Parliament.

You can appeal FSA decisions to the Financial Services and Markets Tribunal.

The FSA applies to companies engaged in these types of businesses:

• issue of electronic payment instruments;
• acceptance and management of deposits;
• insurance of financial transactions;
• all kinds of operations related to capital investment;
• real estate transaction programs;
• collective investment;
• implementation of the pension program;
• consulting in the field of capital investment.

Traders' confidence in the FSA

Traders' confidence in FSA as a supervisory body is quite high, especially considering the positions of British pound on the list of the world's most popular currencies. Therefore, when choosing a broker regulated by the FSA, you can be sure of the safety of your funds and calm trading without interference. Let us also remind you that some financial controls in the British economy are carried out by another organization - Bank of England.