What is the FCA


If you are involved in the financial services industry, chances are that you have come across the initialism of FCA.

In this context, FCA refers to the Financial Conduct Authority – the UK’s financial watchdog tasked with keeping an eye on the financial business across British shores.


What is the FCA?

In a nutshell, the Financial Conduct Authority (FCA) is an independent regulatory body that provides regulatory services to the financial services industry in the UK.

Despite operating completely separately from the government, the FCA is the conduct regulator for over 59,000 financial services firms and financial markets in the UK.


About the FCA

Following the perceived failure of the banks during the infamous financial crisis of 2007/2008, the UK government conceded that restructuring was necessary for the field of financial regulation.


What Does the FCA Do?

According to the official FCA website, the primary operational objectives of the authority are to protect consumers, protect the integrity of the financial markets and promote effective competition between financial service providers in the best interests of the consumer.

With an extensive remit that covers a wide range of stakeholders, the FCA takes a proportionate approach to regulation, prioritising those that pose a higher risk to their objectives in pursuit of maintaining their goals.


The FCA and HM Treasury

Despite being a sovereign entity acting independently from the government, the FCA is still accountable to HM Treasury. The purpose of this is to ensure that the work of the FCA helps the financial market remain honest, fair and effective, with the ultimate aim of keeping the industry stable.

This condition is outlined in the Financial Services and Markets Act 2000 (FSMA). The FSMA notes that the Treasury may make recommendations to the FCA at any time about aspects of the economic policy it deems necessary of consideration, provided written notice is given.

This includes how to act in a way which is compatible with the FCA’s strategic objective and how to advance one or more of its operational objectives, in addition to other criteria outlined in the FSMA.


The FCA and Universal Partners

By now you may be wondering “What does all this have to do with Universal Partners FX?” The answer to that question is quite simply “a lot”.

Universal Partners FX currency exchange services are provided by The Currency Cloud Limited. The Currency Cloud Limited is authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 for the issuing of electronic money.

As a financial service that operates under the jurisdiction of the FCA, Universal Partners is bound to adhere to the FCA objectives of competitive, consumer-protected activity, meaning that consumers can rest assured they are getting a safe, secure and fair service.

For more information on our services or any FCA queries relating to us, why not drop us a line today? Call now on 020 7190 9559 or get in touch online by clicking the button below.

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