FCA reforms rules around mini-bonds offering to retail investors

Part of scheme to lower business costs

The Financial Conduct Authority is cutting down on the amount of prospectus documents listed firms have to provide before issuing new shares, including a move to a single disclosure standard for corporate bond prospectuses in a bid to embolden retail investors to purchase the asset.

The watchdog said most companies will only have to provide "lengthy prospectuses to issue more shares" when they are raising more than 75% of their existing capital, a jump from the current 20% threshold. FCA to launch Consumer Duty-focused review of complex ETPs The FCA is also cutting the length of time between the proposal coming out and the initial public offering in half from six days to three, in a bid to accelerate firms coming to market. In the supporting documents, the FCA said it was "stepping back from some of our pre-emptive gates and checks, recognising that targeted d...