# The Financial Services Act 1986 (Investment Advertisements) (Exemptions) Order 1988, Article 9: Advertisements issued to persons sufficiently expert to understand the risks involved


(1) In this article “relevant person” means a person who is not an authorised person and who is not unlawfully carrying on investment business in the United Kingdom.
(2) Subject to the provisions of paragraph (4) of this article, section 57 of the Act shall not apply to an investment advertisement issued or caused to be issued by a relevant person if either—
(a) in the case of an advertisement which takes the form of a document, the only persons in the United Kingdom to whom the relevant person issues or causes the advertisement to be issued are persons whom he reasonably believes to be persons of a kind described in paragraph (3) below and, in a case in which a person is described in paragraph (3) below as acting in a particular capacity, the advertisement was issued to that person in that capacity; or
(b) in any other case, the relevant person reasonably believes that the means by which the advertisement is issued is such that it will not generally be made available in the United Kingdom except to persons of a kind described in paragraph (3) below and, in a case in which a person is described in paragraph (3) below as acting in a particular capacity, the relevant person intended the advertisement to be received by him in that capacity.
(3) A person falls within this paragraph if he is either—
(a) an authorised person; or
(b) an exempted person; or
(c) a person who is acting in the course of a business or employment which involves the dissemination of information concerning investments or activities of the kind described in Part II of Schedule 1 to the Act through newspapers, journals, magazines or other periodical publications or by way of sound broadcasting or television; or
(d) a government, local authority or public authority within the meaning of Note 1 to paragraph 3 of Schedule 1 to the Act; or
(e) a body corporate or an unincorporated association which either—
(i) if it is a body corporate and has more than 20 members or is the subsidiary of a holding company which has more than 20 members, it, or any of its holding companies or subsidiaries, has a called up share capital or net assets of not less than £500,000; or
(ii) if it is a body corporate other than one described in sub-paragraph (e)(i) above, it or any of its holding companies or subsidiaries has a called up share capital or net assets of not less than £5 million; or
(iii) if it is an unincorporated association, it has net assets of not less than £5 million; or
(f) a person who holds a permission granted under paragraph 23 of Schedule 1 to the Act; or
(g) a person acting in his capacity as a director, officer or employee of a person of a kind described above in this paragraph being a person whose responsibilities, when acting in that capacity, involve him engaging in activities which fall within Part II of Schedule 1 to the Act or which would fall within that Part were it not for the provisions of Part III of that Schedule.
(4) This article does not apply to an investment advertisement which contains an invitation or information of the kind described in section 57(2) of the Act in connection with an offer which is an offer of a kind described in section 14 of the Companies Securities (Insider Dealing) Act 1985 for shares in a body corporate.
(5) In paragraph (3) above, the expression “net assets” has the meaning assigned to it in section 264 of the 1985 Act.

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Source: https://www.legislation.gov.uk/uksi/1988/316/article/9 (the official version)
Page: https://openlegislation.uk/financial-services-act-1986-investment-advertisements-exemptions-order-1988/article-9
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.