FSA makes Call Recording Mandatory from March 09
New regulations issued by the Financial Services Agency to its members in March 2008 come into full force in March of this year.
The regulation requires their members to record all telephone conversations and electronic communications relating to client orders and the conclusion of transactions in the equity, bond and derivatives markets.
It is a further requirement that these recordings be stored for a minimum of 6 months and should be readily accessible.
Full details are featured in the FSA policy statement PS08/1.
In a press release issued in March 2008 the FSA declared their aims to be to promote efficient, orderly and fair markets, help retail consumers achieve a fair deal and improve its business capability and effectiveness.
The FSA believes economic benefits will result from the new rules with an increased probability of successful enforcement where market abuse has occurred with a resultant increase in market confidence and greater pricing efficiency.
The new rules were developed following FSA consultation with the industry of the taping rules and their scope and practicality.
Mobile phone conversations are exempted from the new policy however this will be the subject of a subsequent review.
Full details of the new FSA policy are available by following this link:
http://www.fsa.gov.uk/pages/Library/Policy/Policy/2008/08_01.shtml
The document can also be downloaded as a PDF file from this site by clicking here.
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