At Legatus, we prioritise financial regulation to ensure transparency, compliance, and client protection, aligning our practices with the highest standards to foster trust and security in every interaction.

Legatus operates outside the scope of the Financial Conduct Authority (FCA) regulations, which were primarily established to enforce accountability for investment houses, banks, and similar financial institutions that handle client investments.

Unlike these entities, Legatus does not have traditional clients; instead, we have shareholders who are granted specific rights and protections under the Companies Act of 2006. This legislation provides a robust framework ensuring transparency, fair governance, and accountability to our shareholders, aligning with our commitment to integrity and ethical business practices.

Nevertheless, we recognised that some stakeholders expressed concerns about our lack of FCA regulation.

In response, we proactively submitted a voluntary application to the FCA, demonstrating our willingness to go above and beyond in meeting regulatory expectations. However, the FCA ultimately rejected our application, clarifying in their response:

“The Regulations confirm that, where a business trades for its own account and does not have a customer (other than a member of the same group), it will not need to register.”

This determination by the FCA affirms that, given our unique structure and operational model, Legatus falls outside the regulatory scope intended for entities with direct client relationships. Nonetheless, our adherence to the principles of transparency, ethical governance, and shareholder protection remains unwavering.