This is the ruling which has been laid down by the Financial Services Authority (FSA) to help it both detect and deter abuse within the UK markets.
On top of phone calls from landlines - mobile phones are exempt, subject to a review in 18 months - the new rules will also apply to any electronic communications undertaken by the adviser.
In both cases the legislation relates to communications concerning client orders and the conclusion of transactions within these markets.
Changes to initial regulatory plans mean that the retention period for recorded calls and communications has been reduced from the original period of three years to just six months.
In addition, discretionary investment managers will not be required to record telephone conversations and electronic communications with firms that are subject to the taping rules.
