FCA retires Finalised Guidance 12/15 and 14/1 on describing advice services and inducements

Of relevance to: All firms providing advice on or distributing retail investment products and financial instruments to retail clients Key date: With immediate effect Two Finalised Guidance publications (FG12/15: Retail Distribution Review: independent and restricted advice and FG14/1: Supervising retail investment advice: inducements and conflicts of interest) and a factsheet [...]

Read More

CFDs: FCA Statement

Of relevance to:  Firms offering CFD products Last December the FCA published Consultation Paper CP16/40 “Enhancing conduct of business rules for firms providing contract for difference products to retail clients” proposing a package of measures to improve investor protection for retail investors tempted to invest in CFDs – details can [...]

Read More

Brexit and Fund Managers

Alternative Investment Fund Managers (AIFMs) and MiFID firms need to consider the impact that Brexit will have on their business in the light of recent opinion issued by ESMA to relevant EU national regulators. The European Securities and Markets Authority (ESMA) issued an opinion on 31 May 2017 to EU [...]

Read More

PRIIPs: Final FCA Rules

Of Relevance to: Most firms providing investments or investment services to retail investors, including AIFMs, UCITS Management Companies and the Authorised Fund Managers of NURS As advised in Regulatory Roundup 87, the Packaged Retail and Insurance-based Investment Products Regulation (“PRIIPs”) Regulation will apply from 1 January 2018 (although the carve [...]

Read More

FCA Review: Suitability

Of Relevance to: Firms providing personal recommendations to retail customers The FCA seems happy with the outcome of a review of suitability it undertook last year which captured 1,142 individual pieces of advice given by 656 firms. The review looked at pension and investment personal recommendations delivered by firms to [...]

Read More

PRIIPs: Implementation Date Confirmed

PRIIPs: Implementation Date Confirmed Of Relevance to: Most firms providing investments or investment services to retail investors, including AIFMs, UCITS Management Companies and the Authorised Fund Managers of NURS Firms involved in Packaged Retail and Insurance-based Investment Products (“PRIIPs”) will be aware of the delay in the date of application [...]

Read More

Loan-based Crowdfunding

Of Relevance to: Firms that operate loan-based crowdfunding platforms Those firms operating loan-based crowdfunding platforms – and specifically ones which facilitate loans to lending businesses – should have received, and actioned by now, a ‘Dear CEO’ letter from the FCA. The FCA is concerned that such lending businesses may be [...]

Read More

PRIIPs – Joint Consultation

Of Relevance to: Most firms providing investments or investment services to retail investors, including AIFMs, UCITS Management Companies and Authorised Fund Managers of NURS A joint EBA/EIOPA/ESMA consultation paper (JC 2017 05) has been published concerning Packaged Retail and Insurance-based Investment Products (“PRIIPs”) with environmental or social objectives. The PRIIPs [...]

Read More

Crowdfunding: FCA Interim Report

Of Relevance to: Firms offering crowdfunding Responses to its ‘call for input’ in July of this year on crowdfunding has left the FCA feeling that there is evidence of potential investor detriment. The Regulator has published its initial findings in Feedback Statement FS16/13. Initial findings re investment-based crowdfunding includes: Not [...]

Read More

FSCS Review

Of Relevance to; All firms, particularly those with clients that qualify as ‘eligible claimants’ The FCA has published consultation paper CP16/42 “Reviewing the funding of the Financial Services Compensation Scheme (“FSCS”)”. It may be recalled that the joint HM Treasury and FCA Financial Advice Market Review (“FAMR”) suggested some reforms [...]

Read More

PRIIPs: Implementation Delay Confirmed

Of relevance to: Most firms providing investments or investment services to retail investors, including AIFMs, UCITS Management Companies and the Authorised Fund Managers of NURS As advised in Regulatory Roundup 80, the European Parliament rejected a proposed Delegated Regulation which was a key part of the Packaged Retail and Insurance-based [...]

Read More

Activities and Exam Qualifications

Of relevance to: Firms and their employees where appropriate qualifications are required under TC The title of the FCA’s latest Consultation Paper CP16/24 “Review of the FCA’s appropriate qualification exam standards” neatly sums up its purpose. SYSC 5 places a requirement on firms to employ personnel with appropriate skills, knowledge [...]

Read More

PRIIPs Delay

Of relevance to: Most firms providing investment or investment services to retail investors, including AIFMs, UCITS Management Companies and the Authorised Fund Managers of NURS The July edition of the Regulatory Roundup (Issue 78) included a reminder (“PRIIPs: Are you ready?”) that Regulation 1286/2014 on the provision of a Key [...]

Read More

Data Breaches and GDPR

In the last few weeks alone, we have seen massive password files allegedly posted online from LinkedIn (117 million users in June), Twitter (32 million users in June) and MySpace (427 million users late May). While these data files may have been the result of past breaches, password and log-on [...]

Read More

FCA Bans Compliance Officer for Life

The Financial Conduct Authority has banned Mr Peter Johnson, former compliance officer of Keydata Investment Services Ltd, from performing any function in relation to any regulated financial activity and publicly censured him. Were it not for Mr Johnson’s serious financial hardship, the FCA would have fined him £200,000. Compliance Officers [...]

Read More