Corporate & Financial Weekly Digest

Corporate & Financial Weekly Digest

Tag Archives: FCA

FCA Publishes Fifth Consultation on UK Implementation of MiFID II

Posted in Financial Markets, UK Developments
On March 31, the Financial Conduct Authority (FCA) published its fifth consultation paper (CP17/8) on the implementation of the revised Markets in Financial Instruments Directive (MiFID II). CP17/8 covers the following three areas: occupational pension scheme (OPS) firms; the decision procedure and penalties manual and enforcement guide; and consequential changes to the FCA Handbook and… Continue Reading

Investment Association Consults on New Code for Charges and Transaction Costs Disclosure

Posted in Financial Markets, UK Developments
On March 27, the Investment Association (IA), the UK investment management trade association, opened a consultation on a new code (Code) for enhanced disclosure of charges and transaction costs. The goal of the Code’ is to develop a consistent and comprehensive framework to allow fund and asset managers to deliver underlying charges and transaction cost… Continue Reading

Anti-Money Laundering: FCA Releases Draft Guidance on PEPs for Consultation

Posted in Financial Markets, UK Developments
On March 16, the Financial Conduct Authority (FCA) released draft guidance (Guidance) for consultation (Consultation) on the treatment of politically exposed persons (PEPs). Section 333U of the UK’ s Financial Services and Markets Act (FSMA) requires the definition of PEPs in the Guidance be in line with the Money Laundering and Transfer of Funds (Information… Continue Reading

HM Government to Create Office for Professional Body Anti-Money Laundering Supervision

Posted in Financial Markets, UK Developments
On March 15, HM Treasury unveiled plans to create a new UK watchdog for tackling potential weaknesses in the supervisory system that criminals and terrorists may be trying to exploit. The new “Office for Professional Body Anti-Money Laundering Supervision” (OPBAS) will focus its work on accountancy and legal sectors with the goal of helping to… Continue Reading

FCA Highlights Best Execution Concerns at Investment Managers

Posted in Financial Markets, UK Developments
On March 3, the UK Financial Conduct Authority (FCA) published a Press Release in which it expresses concern about how investment managers are failing to ensure effective oversight of best execution. The FCA’s concerns include: poor practices not being addressed despite the FCA’s 2014 thematic review on the topic; poor use of management information on… Continue Reading

HM Treasury Amends Definition of Financial Advice

Posted in Financial Markets, UK Developments
On February 28, HM Treasury published its response (Response) to its consultation on amending the definition of “financial advice” for the purposes of article 53 of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001(RAO). The Response gives summaries of responses submitted to the consultation by market participants, as well as the government’s… Continue Reading

FCA Publishes Discussion Paper on Illiquid Investments and Open-Ended Funds

Posted in Financial Markets, UK Developments
On February 8, the UK Financial Conduct Authority (FCA) published a discussion paper (Paper), seeking stakeholder views on open-ended funds investing in illiquid assets. One of the difficulties highlighted in the Paper is the liquidity mismatch that is created when an investor wishes to withdraw its money on short notice, when illiquid assets cannot be… Continue Reading

FCA Extends AIFMD Annex IV Reporting to Master Funds

Posted in UK Developments
On January 25, the UK Financial Conduct Authority (FCA) published amendments to its rules on Annex IV reporting under the EU Alternative Investment Fund Managers Directive (AIFMD). The amendments will affect non-European Economic Area (EEA) Alternative Investment Fund Managers (AIFMs) that market feeder Alternative Investment Funds (AIFs) in the United Kingdom under the United Kingdom’s… Continue Reading

FCA Publishes Updated Page on MiFID II Legal Entity Identifiers

Posted in EU Developments, UK Developments
On December 2, the UK Financial Conduct Authority (FCA) updated its website on the revised Markets in Financial Instruments Directive (MiFID II) to include a new section on transaction reporting and legal entity identifiers (LEI Update) under MiFID II. The LEI Update sets out the function and purpose of an LEI, and clarifies that from… Continue Reading

UK FCA Confirms No Guidance to be Published on the Application of the UCITS Remuneration Code

Posted in EU Developments, Financial Markets, UK Developments
On November 17, the UK Financial Conduct Authority (FCA) updated its webpage focused on Undertakings for Collective Investment in Transferable Securities fund (UCITS) remuneration issues to confirm that it does not intend to publish any specific guidance on the application of the UCITS Remuneration Code. The FCA notes that UCITS management companies may wish to… Continue Reading

FCA Publishes Interim Report on Asset Management Market Study

Posted in Financial Markets, UK Developments
On November 18, the UK Financial Conduct Authority (FCA) published an interim report on its findings from an asset management market study (Report). The FCA launched the market study in November 2015, focusing on competition in the asset management industry and the ability of retail and institutional investors to get value for money when purchasing… Continue Reading

Who Pays for MiFID II implementation in UK?

Posted in EU Developments, Financial Markets
On November 16, the UK Financial Conduct Authority (FCA) published a consultation (Consultation) on regulatory fees and levies, and its policy proposals for 2017/2018. The Consultation sets forth the FCA’s proposals on: 1) the structure of a new levy to fund action against illegal money lending; 2) the relevant groups (fee-blocks) of regulated firms from… Continue Reading

UK Treasury Committee Publishes FCA Letter on Asset Management, Financial Services and Passporting in a Post-Brexit Environment

Posted in Brexit/UK Developments
On November 8, the House of Commons Treasury Committee published a letter (Letter) it had received from Andrew Bailey, Chief Executive of the UK Financial Conduct Authority (FCA) (dated October 28). The Letter had been prepared in response to a number of questions raised at a Treasury Select Committee hearing held on July 20 (which… Continue Reading

HM Treasury Responds to Consultation on Implementation of UCITS V in the UK

Posted in UK Developments
On October 31, HM Treasury published its response (Response) to the consultation it conducted in Q4 2015 (Consultation) on the United Kingdom’s implementation of the UCITS V Directive (2014/91/EU) (UCITS V). The objective of UCITS V was to make certain changes to the existing UCITS legislative framework to assist in further enhancing the global appeal… Continue Reading

CFTC and UK Financial Conduct Authority Sign Memorandum of Understanding

Posted in CFTC, Derivatives, Dodd-Frank Developments, UK Developments
The Commodity Futures Trading Commission and the UK Financial Conduct Authority (FCA) have entered into a memorandum of understanding pursuant to which they have agreed to cooperate in the supervision and oversight of certain regulated firms that operate on a cross-border basis in the United States and in the United Kingdom. The affected firms include… Continue Reading

FCA Publishes September 2016 Issue of ‘Market Watch’

Posted in Financial Markets, UK Developments
On September 27, the UK Financial Conduct Authority (FCA) published the 51st edition of Market Watch, its periodic newsletter on market conduct and transaction reporting issues in the United Kingdom. The latest Market Watch provides the FCA’s commentary on its recent thematic review (Review) of market abuse systems and controls in place at UK-regulated firms… Continue Reading

FCA Publishes Further Commentary on Payments for Order Flow

Posted in Financial Markets, UK Developments
On September 27, the UK Financial Conduct Authority (FCA) published an update on its work in relation to payments for order flow (PFOF) in its latest Market Watch newsletter on market conduct and transaction reporting issues. Notably, the commentary on PFOF follows previous guidance on the practice (PFOF Guidance) published by the UK Financial Services… Continue Reading

FCA Publishes New Notification Form for Transaction Reporting Errors

Posted in Financial Markets, UK Developments
On September 15, the UK Financial Conduct Authority (FCA) published a new form (Form) to be used when notifying the regulator of transaction reporting errors or failures in breach of Chapter 17 of the FCA’s Supervision Manual (SUP). Chapter 17 of SUP requires firms to notify the FCA of any transaction reporting errors or failures… Continue Reading