21 Nov
2019
TPMAs: an alternative way to hold client money

As well as being able to structure themselves as an ABS, our firms are now able to use a third-party managed account (TPMA) to handle client money. The third party receives and distributes money on the firm and the client’s behalf.

 

Using a TPMA can offer additional fraud protection, full transparency for clients and real-time notifications, with no need for an accountant’s report.

 

Our new guidance sets out what firms need to do if they decide to use a TPMA.