Financial Services - Regulatory & Risk
Pyrrhus defeats the FCA
The Upper Tribunal has directed the FCA to prohibit former insurance broker Stephen Allen from performing any function in relation to a regulated activity.
Read moreBringing EU regulation home – a sign of things to come?
A short recent judgment is a reminder of the need for financial institutions to keep an eye not only on what their home regulator is doing, but also European regulators.
Read moreUnder pressure: will the FOS provide Accelerated Dispute Resolution?
The FOS will soon be under increased pressure to reduce the time it takes to reach its decisions following the implementation of the EU Alternative Dispute Resolution (ADR) directive in three months' time.
Read moreHave the pension reforms lived up to eggs-pectations?
It was widely reported that this Easter anyone over the age of 55 would be considering their nest eggs, rather than chocolate ones, in the wake of the new pension reforms which came into force on Monday.
Read moreFirms in danger where data breach causes distress
Hot on the heels of the launch of the pensions wave of the FCA's ScamSmart (as discussed by Sam's post), last Sunday a Daily Mail expose revealed that private pension data is being passed on by data firms without their customers' knowledge.
Read moreProfessional Indemnity insurance for financial advice: is the market broken?
In yesterday's New Model Adviser, Mark Neale has urged advisers to put pressure on professional indemnity insurers to fix a market he has described as a 'broken reed'.
Read moreExtending the PRA's powers over auditors and actuaries
Auditors and actuaries are used to being overseen by the Financial Reporting Council (FRC).
Read morePensions, pensions, and yet more pensions in the FCA's Business Plan
The FCA has published its Business Plan for 2015/2016.
Read moreRegistering the effects of the MLRs
A recent case is a stark reminder of the wide-reaching impacts of the Money Laundering Regulations 2007.
Read moreDo not-so smart pension reforms mean FCA wants pensioners to be ScamSmart?
Less than two weeks after Martin Wheatley's speech identifying April's 'big bang' pension reforms as "[t]he defining challenge of our time" ...
Read moreUnrealistic expectations? - FCA research highlights investors' lack of understanding of structured products
Findings published by the FCA beg the question, are firms are doing enough to ensure that customers understand structured products before investing?
Read moreNew Senior Managers' Regimes to kick off in early March 2016
The FCA and PRA have taken their most significant step to date in the relentless pursuit of greater accountability of senior management and the promotion of good governance and culture.
Read moreCompeting agendas? How the FCA, PSR and CMA plan to work together
In mid-February, the UK investment and corporate banking sector braced itself for yet another regulatory investigation, as the FCA announced its plans to launch a wholesale market study into the industry in Spring 2015.
Read morePensions Freedoms and the Second Line of Defence – some flesh on the bone
In late January the FCA issued a Dear CEO letter to pension providers, proposing new protections to be provided to consumers seeking to access their pension pot when the new pension freedoms are introduced from 6 April 2015.
Read moreA step closer to ring-fencing of banking activities?
The Government has taken some tentative steps towards ensuring ring-fenced banks cannot become liable for the pension schemes of other entities.
Read moreSFC provides further guidance on Corporate Professional Investor Regime
As noted in my blog dated 3 October 2014 concerning the SFC's conclusions on professional investors and client agreements (link), the SFC is looking to enhance the protection afforded to professional investors who are not institutional investors.
Read moreIs that your final answer? – FCA introduces "second line of defence" ahead of pension freedoms
In a 'Dear CEO' letter to pension providers published on Monday the FCA set out new protections that will constitute a "second line of defence" for customers seeking to access their pensions.
Read moreSimplified, retrospective and still inconsistent
Despite laudable aims, yesterday's FCA guidance on what constitutes regulated advice was published alongside a report on the (perceived) retrospective application of rules ...
Read moreFCA takes a long hard look at how insurance brokers manage the risks of bribery and corruption…
Could do better, reports the Financial Crime team of the FCA on the cohort of commercial brokers who were subject to the recent thematic review on managing bribery and corruption risks (TR14/17).
Read more'Many eyes' approach to sanctions compliance
The many eyes approach to sanctions compliance in the Lloyd's market is not just for managing agents but useful guidance for all.
Read moreChickens coming home to roost: SFO's first conviction of a company for bribery after contested trial
Hot on the heels of the SFO's first conviction under the Bribery Act 2010, discussed in George's post, and just as some of us were disappearing for a Christmas break...
Read moreComplaint trends for 2015
The FOS yesterday published its 2015/16 budget consultation. In short, we can expect more of the same.
Read moreMerry Christmas from the FOS
With the festive season upon us, the FOS has taken the opportunity to spread some Christmas cheer by reminding everyone of the possible problems that can arise at this time of year, including "faulty presents, storm damage, broken boilers and even a spoilt surprise."
Read moreFinancial Reporting has received its fair share of column inches in recent weeks
Headlines have, for obvious reasons, been grabbed by issues with Tesco's financial reporting. Indeed, the fallout from the scandal is still being felt -
Read moreHow far will the FCA stretch FIT?
Yesterday's Burrows final notice is a further sign that the FCA will look at the personal conduct of Approved Persons outside of their roles in financial services in order to assess their fitness and propriety.
Read moreSFO makes first use of Bribery Act in prosecution for fraudulent UCIS
Earlier this week three individuals were sentenced at Southwark Crown Court following the first prosecution by the SFO under the Bribery Act 2010.
Read moreAn uneasy contrast for the FCA – balancing commercial drive with cultural reform
Yesterday's speech delivered by Martin Wheatley has reinforced the FCA's increasingly more collaborative approach to its engagement with financial services firms.
Read moreConduct Risk Briefing offers wealth managers insights into regulator's thinking
'Source of wealth' is key.
Read moreFCA report on complaints handling more optimistic than many feared
The FCA has finally published its report on its review of consumer complaint handling at 15 major retail financial services firms.
Read moreFinancial Services: Minimising Risk in a Dawn of Opportunity
Over the last few years, firms have been asking themselves how they will make money in the post RDR world.
Read moreFCA keeps SIPP investments under close scrutiny
We blogged previously on the tougher attitude that the FCA is taking concerning the obligations of SIPP operators, and the increased focus on the suitability of underlying SIPP investments.
Read moreIn the garden but without pay
Sunrise Brokers LLP v Rodgers is the salutary tale of an equity derivatives broker who gambled in his decision to leave his employer for a competitor.
Read moreCrestfallen claimants: High Court upholds bank disclaimers in claim for negligent advice
In the latest in a line of court rulings upholding disclaimers, the High Court, in the recent case of Crestsign v NatWest & RBS, held that, as a result of careful disclaimer wording, the banks did not owe a common law duty of care to their customer not to provide negligent advice.
Read moreProject Innovate: an incubator for growth?
The FCA launched its new Innovation Hub yesterday, with the aim of fostering support to businesses looking to benefit consumers in the financial services sector.
Read moreArguing until Blue(fin) in the face: Court tells FOS that beneficiaries under a D&O policy are not consumers
The Financial Ombudsman Service has suffered a major defeat in the Administrative Court which will come as a relief to D&O insurers and brokers.
Read moreCultural Revolution: FCA offers re-education in the provinces
In a speech at Mansion House last night, Martin Wheatley announced a masters degree in regulation in conjunction with Henley Business School which, he said, will "set the global standard".
Read moreFCA approves 'independent' use of internal specialist advisers
Ever since RDR 'independence' rules were introduced nearly two years ago, financial advisers have sought clarification on referring clients to internal specialists within their firm for expert advice.
Read moreChanges to the UK Corporate Governance Code – real change?
The UK Corporate Governance Code (the Code) sets out principles of good governance for premium listed companies in the areas of board composition and development, remuneration, shareholder relations, accountability and audit.
Read moreFOS is not unfair; it just doesn't apply the law
The new CEO of FOS, Caroline Wayman, gave evidence to the Treasury Select Committee yesterday, including (reportedly) in response to a poll that revealed 58% of advisers considered FOS unfair in its decisions on financial advice.
Read moreMarket Misconduct Tribunal gives Tiger Asia the "cold shoulder"
Hong Kong's Market Misconduct Tribunal (the MMT) has banned Tiger Asia Management LLC (a hedge fund based in New York) and one of its principal officers from dealing in Hong Kong securities for four (of a maximum five) years.
Read moreIs no news always good news? Drop in complaints may hint at conclusions from over-due FCA complaints review
The FCA's latest publication of complaints data has revealed a decrease of 5% in the overall number of complaints.
Read moreSIPPs: FCA announces new capital framework
SIPP Operators will be forced to hold an extra £18m in reserve capital under new rules outlined by the FCA last month.
Read moreSlapdash SIPPs told to sharpen up by FCA
SIPP Operators have repeatedly been in the headlines since the FCA completed its second thematic review in 2012.
Read moreBank backs another winner in interest rate swaps saga – but is it luck or judgement?
Despite their costly on-going review work and redress exercises, banks that sold interest rate swaps are still facing parallel court claims.
Read moreCredit where credit's due
The controversy surrounding payday loans looks set to continue as the FOS has issued a warning to consumers about payday loan middlemen.
Read moreFOS respondents still at risk of further action despite Clark v In Focus ruling
When Lady Justice Arden handed down her judgment in the Court of Appeal case of Clark v In Focus ...
Read moreHMRC closing the gap on tax avoidance
Anyone who has invested in, promoted, or advised on any form of tax mitigation scheme may be feeling slightly nervous following the latest announcement from HMRC concerning the on-going saga of tax avoidance. And understandably so.
Read moreCoCos go pop!
In the wake of the banking crisis, the Financial Services Act 2012 gave the FCA a range of new and enhanced powers with which to pursue its regulatory objectives.
Read moreHas the FOS decided Lehman's collapse was not foreseeable; or is that too remote a hope?
Nearly six years have elapsed since we first saw the iconic photographs of Lehman Brothers' employees filing out of the former bank's worldwide headquarters, carrying their belongings in cardboard boxes.
Read moreEnhancing Supervision: How will the FCA's new regulatory model work in the real world?
Readers may recall the FSA's 'close supervision' of firms, which could arise after an ARROW visit if significant failings were identified.
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