Unauthorised Trading

Unauthorised trading involves the buying or selling of an investor's security without the investor’s prior approval. Industry rules require the broker to inform the investor of any trades before placing the order and then confirm the transaction with the investor once it has been executed, giving the exact details of the trade. These details should then be entered into the trading records. The investor should be sent  written confirmation of the trade within three days of the settlement. A failure to take these steps could see a broker facing allegations for unauthorised trading.

Unauthorised trading can often take place where brokers are given incentives to meet their goals, or where the broker is in personal financial difficulty and seeks to generate income by trading without the investor's permission. The Financial Conduct Authority enforces the law in the financial markets, and can impose penalties or prosecute depending on the individual circumstances of the case. If you are facing allegations for unauthorised trading, it is vital you seek expert advice as soon as possible. Our specialists can offer guidance on investigatory meetings, and provide you with a robust defence to give you the best possible outcome.

Bright Line Law is highly regarded as a specialist provider, winning the Financial Times Innovative Lawyers of 2017 award, as well as being Top Ranked within the UK Bar Chambers for 2018 and 2019. Bright Line Law is a specialist provider in this area, contact a member of our team, call us on + 44 (0)203 709 9470, or fill in our online enquiry form.

Jonathan Fisher QC
Lead Counsel

Email jf@brightlinelaw.co.uk
Telephone + 020 3872 2852

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