CFM90870 - Debt cap: financial services groups: qualifying activities

This guidance applies to worldwide group periods of account ending before or straddling 1 April 2017.

The three types of qualifying activities

TIOPA10/S266 treats a worldwide group as a qualifying financial services group for a period of account of that group if substantially all the trading income of the group (measured by reference to either the group as a whole or just the relevant group or group securitisation companies) is derived from qualifying activities. There are three types of qualifying activities (S267):

• Lending activities (see CFM90880) and activities that are ancillary to lending activities (see CFM90890).
• Insurance activities (see CFM90900) and insurance related activities (see CFM90910).
• Relevant dealing in financial instruments (see CFM90930).