What does the FCA require for financial promotions to avoid misleading information?

The FCA requires that financial promotions be clear, fair, and not misleading in order to protect consumers from being misled. This principle ensures that all information provided in promotions is presented accurately and transparently, allowing consumers to make informed decisions based on the complete picture rather than being swayed by misleading or ambiguous information.

Financial promotions serve as a critical communication tool between financial service providers and consumers, so the emphasis on clarity and fairness is vital for maintaining trust and integrity in the financial markets. Clear communications help consumers understand the risks and features of financial products, contributing to informed choices. This approach also aligns with the FCA's broader goals of consumer protection and market integrity.

In contrast, the other options suggest practices that do not align with FCA regulations, such as being vague, focusing only on benefits while ignoring potential risks, or allowing exaggerated claims, all of which could lead to consumer misunderstanding and harm.