# The Financial Services and Markets Act 2000 (Regulated Activities) Order 2001, Article 83: Options

Extent: E+W+S+N.I.

(1) Options to acquire or dispose of—
(a) a security or contractually based investment (other than one of a kind specified by this article);
(b) currency of the United Kingdom or any other country or territory;
(c) palladium, platinum, gold or silver; ...
(d) an option to acquire or dispose of an investment of the kind specified by this article by virtue of paragraph (a), (b) or (c);
(e) subject to paragraph (4), an option to acquire or dispose of an option to which paragraph 5, 6, 7 or 10 of Part 1 of Schedule 2 ...applies.
(2) Subject to paragraph (4), options—
(a) to which paragraph (1) does not apply;
(b) which relate to commodities;
(c) which may be settled physically; and
(d) either—
(i) to which paragraph 5 or 6 of ... Part 1 of Schedule 2 ..., applies, or
(ii) which in accordance with paragraphs 5, 6 and 8 of Part 2 of Schedule 2 are to be considered as having the characteristics of other derivative financial instruments and not being for commercial purposes, and to which paragraph 7 of Part 1 of that Schedule applies.
(3) Subject to paragraph (4), options—
(a) to which paragraph (1) does not apply;
(b) which may be settled physically; and
(c) to which paragraph 10 of Part 1 of Schedule 2 ... applies.
(4) Paragraphs (1)(e), (2) and (3) only apply to options in relation to which—
(a) an investment firm or qualifying credit institution is providing or performing investment services and activities on a professional basis,
(b) a management company which has a Part 4A permission to do so is providing the investment service specified in paragraph 4 or 5 of Part 3 of Schedule 2 or the ancillary service specified in paragraph 1 of Part 3A of that Schedule,
(c) a market operator is providing the investment service specified in paragraph 8 or 9 of Part 3 of that Schedule, or
(d) a full-scope UK AIFM which has a Part 4A permission to do so is providing the investment service specified in paragraph 1, 4 or 5 of Part 3 of that Schedule or the ancillary service specified in paragraph 1 of Part 3A of that Schedule.
(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

---
Source: https://www.legislation.gov.uk/uksi/2001/544/article/83 (the official version)
Page: https://openlegislation.uk/financial-services-and-markets-act-2000-regulated-activities-order-2001/article-83
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.