Corporate & Financial Weekly Digest

Corporate & Financial Weekly Digest

Tag Archives: FCA

FCA and PRA Publish 2018/19 Business Plans

Posted in UK Developments
On April 9, the UK Financial Conduct Authority (FCA) published its business plan for 2018/19. The business plan divides key priorities for the FCA over the coming year into three main areas: (1) the United Kingdom’s withdrawal from the European Union (Brexit); (2) cross-sector priorities; and (3) sector-specific priorities. The FCA’s business plan anticipates that… Continue Reading

FCA Publishes Statement Regarding the Requirement for Firms Offering Cryptocurrency Derivatives To Be Authorized

Posted in UK Developments
On April 6, the UK Financial Conduct Authority (FCA) published a statement on the requirement that firms trading in cryptocurrency derivatives may need to be authorized. The statement confirms that performing activities or providing services that amount to regulated activities in relation to derivatives are likely to require FCA authorization when performed in relation to… Continue Reading

FCA Adopts Senior Managers Regime for Its Own Senior Management

Posted in UK Developments
The UK Financial Conduct Authority (FCA) has published a document setting out its intention to self-apply the principles of the Senior Managers Regime (SMR) to strengthen transparency and “reinforce the standards,” noting that certain differences in the application of the principles are inevitable due to the FCA’s status as a regulatory authority and public body,… Continue Reading

FCA Publishes Changes Affecting Authorized Fund Managers and Proposes Further Changes

Posted in UK Developments
On April 5, the UK Financial Conduct Authority (FCA) published a policy statement with the final rules from its consultation paper 17/18 on asset management market study remedies and changes to the FCA Handbook. The policy statement announces the following prominent changes, among others: Authorized Fund Managers (AFMs) must assess the overall value delivered to… Continue Reading

FCA Welcomes Agreement on Terms of Brexit Implementation Period; BoE Announces “Dear CEO” Letters and PRA Policy Statements

Posted in UK Developments
On March 28, the UK Financial Conduct Authority (FCA) published a statement on the withdrawal of the United Kingdom from the European Union (Brexit) following UK-EU agreement in relation to aspects of the transition period—notably the end date for the transition period of December 31, 2020.… Continue Reading

UK Government Launches Fintech Sector Strategy

Posted in Financial Markets, UK Developments
On March 22, the UK government held its second annual International Fintech Conference. The Conference forms part of the UK’s plans to maintain its world leading position in technology-enabled innovation in financial services (FinTech). The Conference follows the launch of the European Commission’s FinTech Action Plan, further details of which are available in the Corporate… Continue Reading

FCA Launches Survey of Firms that Passport Into the UK

Posted in Brexit, Brexit/UK Developments, Financial Markets, UK Developments
On March 9, the UK Financial Conduct Authority (FCA) launched a short online survey for firms providing cross-border services into the UK from other European Union/European Economic Area (EEA) jurisdictions (“passporting”), or marketing funds in the UK. The survey follows the UK government’s December 2017 announcement that, if necessary, it will legislate to provide a… Continue Reading

FCA Publishes Webpage on Review of Closet Trackers

Posted in Financial Markets, UK Developments
On March 14, the UK Financial Conduct Authority (FCA) published a webpage in relation to its review of potential closet tracker funds and closet constrained funds. The review forms part of the FCA’s supervision to protect investors and maintain a competitive market. On its webpage, the FCA explains that both types of funds look like… Continue Reading

FCA Webpage on Capital Requirements Adds Important Transitional Arrangement

Posted in UK Developments
On March 5, the UK’s Financial Conduct Authority (FCA) published a webpage explaining that Article 493 of the Capital Requirements Regulation (CRR) has been updated by Article 1(2) of the IFRS 9 Regulation (an International Financial Report Standard promulgated by the International Accounting Standards Board). The CRR now incorporates a transitional arrangement,  allowing firms such… Continue Reading

FCA Confirms Amendment to the LEI Validation Rule Effective March 2018

Posted in UK Developments
On March 2, the UK’s Financial Conduct Authority (FCA) updated its webpage for firms subject to transaction reporting obligations under the revised Markets in Financial Instruments Directive. The European Securities and Markets Authority’s (ESMA) statement on December 20, 2017, regarding transition measures (for further information please see the January 5 edition of Corporate & Financial… Continue Reading

CFTC and UK Financial Conduct Authority Sign Cooperation Arrangement on Financial Technology Innovation

Posted in CFTC, Digital Assets and Virtual Currencies, UK Developments
On February 19, the Commodity Futures Trading Commission and the UK Financial Conduct Authority (FCA) signed the “Cooperation Arrangement on Financial Technology Innovation,” which memorializes the intention of the CFTC and FCA to collaborate and support their respective financial technology (FinTech) initiatives—LabCFTC and FCA Innovate. The arrangement intends to support these FinTech initiatives through an… Continue Reading

FCA and CFTC Enter Into Cooperation Agreement on FinTech

Posted in CFTC, Digital Assets and Virtual Currencies, UK Developments
On February 19, the UK’s Financial Conduct Authority (FCA) and the United States Commodity Futures Trading Commission (CFTC) (collectively the Regulators) published a press release announcing that they have signed a Cooperation Agreement on the same date with each other on financial technology (FinTech) innovation.… Continue Reading

FCA Publishes “Dear CEO” Letter on Quality of Prudential Regulation Returns

Posted in Financial Markets, UK Developments
On February 19, the UK’s Financial Conduct Authority (FCA) published a “Dear CEO” letter that it recently sent to IFPRU investment firms and BIPRU firms (as defined below) concerning the quality of information submitted to the FCA in prudential regulation returns.… Continue Reading

FCA Publishes Report on Algorithmic Trading

Posted in UK Developments
On February 12, the UK Financial Conduct Authority (FCA) published a report on algorithmic trading compliance in wholesale markets. The report highlights key requirements in the revised Markets in Financial Instruments Directive (MiFID II) relating to algorithmic trading activity, and contains examples of good and bad practices observed during the FCA’s reviews of FCA regulated… Continue Reading

FCA Provides Update on EMIR United States Equivalence Decision and Intragroup Exemptions

Posted in EU Developments
On February 12, the United Kingdom Financial Conduct Authority (FCA) updated its webpage on the European Market Infrastructure Regulation (EMIR), about the equivalence decision for derivative transactions in the United States  adopted by the European Commission on October 13, 2017. The equivalence decision determined that the rules promulgated by the Commodity Futures Trading Commission on… Continue Reading

FCA Revises List of MiFID II Position Limits

Posted in Derivatives, Financial Markets, UK Developments
The UK Financial Conduct Authority (FCA) has reviewed the bespoke position limits set for a number of commodity derivatives traded on UK venues. Following its review and as a result of strong growth in some commodity derivative contracts, the FCA has increased the limits of approximately 20 commodity derivative contracts as of February 8.… Continue Reading

FCA and ICO Publish Joint Update on GDPR

Posted in Financial Markets, UK Developments
On February 8, the UK Financial Conduct Authority (FCA) and the UK Information Commissioner’s Office (ICO) published a joint statement on the EU General Data Protection Regulation (GDPR). GDPR will go into effect in the UK on May 25. The GDPR is designed to strengthen the rules governing data protection across the European Union and… Continue Reading

Application Window for Cohort 4 of the Regulatory Sandbox Is Open Until the End of January

Posted in Digital Assets and Virtual Currencies, UK Developments
The application window for businesses to be part of cohort 4, the latest cohort, of the UK Financial Conduct Authority’s (FCA) regulatory sandbox is open until January 31. Businesses such as authorized firms, unauthorized firms that require authorization and technology businesses can apply to each cohort of the FCA’s sandbox.… Continue Reading

FCA Transaction Reporting Instrument Reference Data Errors and Omissions Form Now Available

Posted in EU Developments, Financial Markets, UK Developments
On January 11, the UK Financial Conduct Authority (FCA) updated its webpage on instrument reference data to make available a new instrument reference data errors and omissions form for trading venues or systematic internalizers (SIs) to complete if their instrument reference data is incomplete or inaccurate.… Continue Reading

FCA Publishes Guidance and Updated Forms and Webpages Reflecting MiFID II Implementation

Posted in EU Developments, Financial Markets, UK Developments
On January 3, the UK Financial Conduct Authority (FCA) published a document containing general guidance on the authorization process, forms and prudential categories following the FCA’s implementation of the revised Markets in Financial Instruments Directive (MiFID II). The document provides guidance on applications for authorization as a MiFID investment firm made by a first-time applicant… Continue Reading

FCA “Dear CEO” Letter to CFD Providers and Distributors Highlights Concerns Following Review of CFD Market

Posted in EU Developments, Financial Markets
  On January 10, the UK Financial Conduct Authority (FCA) published a “Dear CEO” letter that it has sent to providers and distributors of contract for difference (CFD) products to retail customers. The letter reminds firms that CFDs are high-risk, complex financial products and refers to the FCA’s recent review of the CFD market. During… Continue Reading