SQE1 FLK1 Q91: Financial Promotion: the 'in the course of business' limb

Описание: This SQE1 sample question tests the statutory financial promotion restriction under FSMA 2000, and candidates lose the mark by spotting the inducement and jumping straight to the exemptions without checking whether the communication was made in the course of business. The video works through both limbs of the restriction and shows why a solicitor recommending shares to a stranger after a half marathon, about a company she has invested in herself, falls outside the restriction altogether.

Chapters
0:00 The question in one line
0:13 The facts
0:23 The options
0:37 Key fact 1
0:50 Key fact 2
1:03 Key fact 3
1:16 Key fact 4
1:29 The answer
1:41 Why B is wrong
1:55 Why C is wrong
2:08 Why D is wrong
2:21 Why E is wrong
2:28 The rule
2:41 About AntLaw

The rule
A person must not, in the course of business, communicate an invitation or inducement to engage in investment activity unless they are authorised or the content is approved by an authorised person. Both the inducement element and the 'in the course of business' element must be present; a purely social or personal communication falls outside the restriction altogether.

Remember
No business context, no financial promotion offence — check the 'in the course of business' limb before you ever reach the exemptions.

Practise this topic
AntLaw has 14,344 SQE1 practice questions across all 12 FLK subjects, in 57 languages, with mock exams, AI explanations and score prediction. Try 10 questions free at https://antlaw.ai

Source
Official SQE1 sample question 91, FLK1 — https://sqe.sra.org.uk/assessments/sq...
SQE1 sample questions are the property of the Solicitors Regulation Authority and are reproduced from sqe.sra.org.uk. This explanation is written by AntLaw and is not endorsed by the SRA or Kaplan.

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