CISI Platforms (IOC) key terms

An online service that lets advisers and clients hold, trade and administer investments across multiple product providers through a single custody and reporting arrangement, usually with consolidated valuation and dealing facilities.

A single administrative account that shelters several tax wrappers and investments under one arrangement, charging a consolidated fee and producing one set of reports instead of separate provider statements.

A platform whose primary users are authorised financial advisers, offering client servicing tools, bulk rebalancing and adviser charging facilities alongside custody for underlying investments.

A platform where retail clients deal and administer investments themselves without an adviser intermediary, typically offering lower-cost execution services and limited or no regulated advice.

The firm that holds legal title to client investments, safeguards assets, settles trades and maintains the underlying records on which platform valuations and reporting depend.

A pooled holding structure in which investments are registered in the name of a nominee company rather than the client, with beneficial ownership tracked in the platform's books.

A legal container such as an ISA, pension or bond that determines how investment returns are taxed, sitting around the underlying funds and shares held on the platform.

An individual savings account allowing tax-free growth and withdrawals within annual subscription limits, available on platforms in cash, stocks and shares, or innovative finance forms.

A self-invested personal pension: a registered pension arrangement where the member or adviser chooses the underlying investments, receiving tax relief on contributions and subject to annual and lifetime allowance rules.

The recurring fee a platform levies for custody, administration and technology services, usually expressed as a percentage of assets under administration and deducted from the client's account.

The fee an adviser agrees with a client for advice and ongoing servicing, collected through the platform under a facilitated charging arrangement and shown separately from platform costs.

The aggregate of all charges a client bears, including platform, advice, fund and transaction costs, expressed as a single figure so comparisons between arrangements are meaningful.

The annual management and associated costs deducted within a collective investment scheme, reducing the fund's value rather than being billed separately to the investor.

A distinct version of the same fund carrying different fee levels, distribution arrangements or currency, which determines what the platform can rebate and what the client ultimately pays.

A fund share class with no commission built in, priced so that adviser and platform charges are paid explicitly rather than recovered through the product, following retail distribution reforms.

A payment returned to the client or platform from a product provider, typically a share of fund charges; its treatment depends on the applicable inducement and disclosure rules.

Any fee, commission or non-monetary benefit paid to or received by a firm from a third party in connection with its services, permitted only where it enhances quality and is properly disclosed.

A pre-defined asset allocation maintained by a discretionary manager or adviser, replicated across many client accounts on the platform and rebalanced centrally according to the agreed mandate.

An arrangement where a firm makes investment decisions for a client's portfolio without prior consent for each trade, under a written mandate and separate regulatory permission.

An arrangement in which the adviser recommends transactions and the client approves each one before dealing, so responsibility for the investment decision stays with the client.

A service where the firm carries out a client's instructed transaction without giving a personal recommendation, with limited suitability obligations and clear warnings on the absence of advice.

The regulatory requirement to ensure a recommendation or discretionary decision matches the client's objectives, risk tolerance, financial situation, knowledge and experience, supported by documented evidence.

The process of collecting and verifying information about a client's identity, circumstances, objectives and risk appetite before onboarding and throughout the relationship.

A documented assessment of how much investment loss and volatility a client can and is willing to accept, used to match portfolios and to evidence suitability of recommendations.

The periodic reassessment of whether a client's holdings remain appropriate given changes in circumstances, markets or charges, with a documented outcome and any recommended adjustments.

The framework of customer due diligence, monitoring, record-keeping and reporting obligations designed to prevent platforms being used to launder criminal proceeds or finance terrorism.

An individual entrusted with prominent public functions, or a close associate or family member, who triggers enhanced due diligence because of heightened corruption risk.

Evidence explaining where the money used for an investment or contribution came from, such as salary, savings or a property sale, required to satisfy due diligence checks.

An explanation of how a client's overall fortune was accumulated, distinct from the origin of a particular payment, used to assess the plausibility of the relationship.

A confidential disclosure made to the financial intelligence unit when a firm knows or suspects money laundering or terrorist financing, with a prohibition on tipping off the client.

Disclosing to a client or third party that a suspicious activity report has been made or that an investigation is underway, which is itself a criminal offence in most regimes.

Cash held on behalf of clients, which must be segregated from the firm's own assets in designated accounts and reconciled regularly under client money rules.

Investments and cash belonging to clients that a firm safeguards, subject to rules on segregation, record-keeping, reconciliation and, on failure, prompt return to clients.

The regular comparison of the firm's internal records against statements from custodians, banks and providers to confirm that client assets and cash actually exist as recorded.

The process by which a traded security is delivered against payment, completing the transaction after execution; platform cash and holdings only update once settlement occurs.

The date on which an order is executed and the price fixed, which may differ from the settlement date and affects how the transaction appears in valuations and reporting.

The confirmation issued after a transaction showing the security, quantity, price, charges, taxes and settlement date, serving as the client's formal record of the deal.

The obligation to take all sufficient steps to obtain the best possible result for clients when executing or placing orders, considering price, cost, speed and likelihood of settlement.

Combining several clients' orders into a single trade to obtain better pricing, subject to rules on fair allocation and a documented policy on how fills are distributed.

Adjusting holdings back to target weights after market movement, involving sales and purchases that generate transaction costs and possible tax consequences for the client.

Selling investments held outside a tax wrapper and repurchasing them within an ISA, using the annual allowance while managing capital gains and timing risk during the transfer.

The maximum amount a client may contribute to a given tax wrapper in a tax year, which platforms must monitor and enforce across all accounts the client holds.

The calculation of a portfolio's worth at a point in time using prices, exchange rates and accrued income, which may rely on estimates where market prices are unavailable.

The periodic statements and disclosures given to clients showing holdings, transactions, charges and performance, required to be accurate, timely and understandable.

The provision of clear information about costs, risks, conflicts and the nature of the service before and during the relationship, enabling the client to make informed decisions.

A projection showing how an investment might grow or what income it might produce under stated assumptions, including the effect of charges, not a forecast of actual returns.

The conduct principle that firms must deliver outcomes customers expect in areas such as product design, communication, service and complaints, rather than merely following process.

A client whose circumstances such as health, bereavement, low literacy or financial pressure reduce their ability to make decisions, requiring adjusted communication and extra care.

Situations where the firm's or an employee's interests could damage a client's, which must be identified, avoided where possible, managed and disclosed where they persist.

The outcome-based standard requiring firms to act in good faith, avoid foreseeable harm and support clients' financial objectives across products, price, communication and support.

A firm's ability to prevent, withstand and recover from disruption to technology, people or third parties so that critical platform services such as dealing and valuation continue.

Delegating a function such as custody, technology hosting or administration to a third party while the regulated firm retains full responsibility for the service and its risks.

Documented arrangements for maintaining or restoring critical operations during disruption, including backups, alternative sites and communication with clients and regulators.

The risk of loss or harm from attacks on systems and data, such as phishing, ransomware or fraud, mitigated through controls, testing, staff training and incident response.

The investigation a firm performs before onboarding a client, appointing a provider or accepting a product, to verify facts and assess risk before committing.

Additional checks applied to higher-risk relationships, such as politically exposed persons or unusual funding patterns, including senior sign-off and closer ongoing monitoring.

A customer who receives the highest level of regulatory protection, as distinct from professional or eligible counterparty classifications which carry fewer safeguards.