The RSA supports the operation of fair and well-managed syndication. The forthcoming changes to the Syndicate and Racing Club codes of conduct underpin this and well-run syndicates should not have a problem with compliance as these new codes come into effect.
Dan Abraham, Chairman of the Racehorse Syndicates Association, said:
“As syndicates grow in popularity, the Code of Conduct will assist in providing protection for their members, many of whom are making their first venture into ownership. New members in particular are often unsure what questions to ask a syndicator and the Code will provide confidence and transparency to anyone joining a syndicate, especially for the first time. The Code of Conduct supports the In The Paddock initiative and the work of the Racehorse Syndicates Association to enhance the ownership experience for syndicate members.”
Richard Wayman, Chief Operating Officer of the BHA, said:
“As syndication continues to grow it is vital that structures are in place to protect and build confidence among both new and existing syndicate members. The recent National Racehorse Owners Survey highlighted that syndicates were a common place for many people to start their ownership journey and, if the sport is to better retain racehorse owners, it is crucial that everyone joining syndicates understand how their ownership will operate.
“Transparency is the key and that is what the Code has been introduced to encourage. While many syndicates will already adhere to the Code, syndicators are recommended to review their syndicate agreements as soon as possible in case any amendments are required.”
The Code will apply to all ownership entities registered as a syndicate and, where the syndicator is paid for their role and/or the entity was formed through a public offering.
Following the Code being included in the Rules of Racing, syndicators will have a three month grace period before they will be required to fully comply. The BHA would, however, encourage all syndicators to consider if any changes are necessary as soon as possible to ensure that they meet the requirements of the Code.