Standards

FSA consults on changes to share trading

The Financial Services Authority (FSA) has issued a discussion paper on the potential fragmentation of the share trading market in the wake of proposed rules that could open up the sector to greater competition.

Introducing the paper, FSA director of markets Sally Dewar said: “While recognising that the Treasury’s modernisation of the stamp duty regime could facilitate an increase in competition and provide greater choice for market participants, the potential fragmentation of the market raises issues about how best to ensure markets remain efficient and orderly, and investors are protected”.

The paper is inviting discussion on possible ways of mitigating risks, including more effective responsibilities for oversight of issuer disclosures and market oversight, and greater trading transparency.

The final date for submissions is 7 September and the discussion paper can be found at: http://www.fsa.gov.uk/pages/Library/Policy/DP/2007/07_03.shtml.

August 2007