Section 469 | Creditors who are financial traders

(1)This section sets out the conditions referred to in section 468(1)(a).

(2)Condition A is that the creditor disposes of or acquires assets representing creditor relationships in the course of carrying on any activities forming an integral part of a trade carried on by it in the accounting period.

(3)Condition B is that the asset representing the creditor relationship was acquired in the course of those activities.

(4)Condition C is that that asset—

(a)is listed on a recognised stock exchange at the end of that period, or

(b)is a security the redemption of which must occur within 12 months of its issue.

(5)Condition D is that there is a time in that period when assets of the same kind as the asset representing the creditor relationship are beneficially owned by persons other than the creditor.

(6)Condition E is that in that period there is not more than 3 months in total during which the equivalent of at least 30% of the assets of that kind is beneficially owned by connected companies.

(7)Section 470 supplements this section.