FIN.

Category - Investments

PRA consults on update to PIN process

The PRA is proposing amendments to its Pre-Issuance Notification regime for capital instruments within the scope of CRR.  The proposed amendments reflect changes arising from CRR II, and also the PRA’s experience...

FCA publishes quarterly consultation

FCA’s latest quarterly consultation covers a number of minor changes to the rules that will be made only if there is a no-deal Brexit on 31 October,  and also other miscellaneous amendments including: minor...

ESAs respond on crypto assets

EBA and ESMA have published a joint response to the Commissions’ paper on crypto-assets.  The response explains the work the ESAs are undertaking, including an imminent national stock-taking exercise on the...

ASA takes action on misleading crypto ad

ASA has told HDR Global Trading to take down an ad and ensure in future that financial information was set out so as to be readily understood by the audience it was aimed at and that the risks of the relevant...

FCA updates skilled persons statistics

FCA has released the figures for skilled persons reports it commissioned in Q1 2019/20. It commissioned 9 reports in total – of which 3 related to each of retail lending and wholesale financial markets, 2 to...

Up next from FCA

The latest version of FCA’s Policy Development Update highlights: expected feedback on Investment Platforms Market Study Remedies by the end of the year; potential policy statement on general insurance value...

FCA publishes SMCR final rules

FCA has at last published its final rules on extending the SMCR to solo-regulated firms, including CMCs. It has, in the main, implemented the changes it consulted on in its consultation on “optimising” the...

Tribunal refuses suspension application

Sussex Independent Financial Advisers Limited had applied to the Tribunal for a suspension of the FCA’s decision to vary its permission to remove all its permitted activities on the basis that the firm did not...

Regulators tweak exit arrangement rules

FCA has announced an extension to the directions made under its temporary transitional power which it introduced in February.  The direction will now give firms until 31 December 2020 to make the necessary adjustments...

Commission adopts unfair terms guidance

The European Commission has adopted a guidance note on the Unfair Contract Terms Directive.  The note covers: the objectives and scope of the directive; key terminology such as “supplier” and...

JMLSG updates on Guidance

JMLSG has thanked all those who responded to its proposed changes on the chapters in Part II of its guidance addressing credit unions and brokerage services to funds. It has now put the finalised chapters to Treasury...

FCA discusses AI in financial services

In a recent speech, Christopher Woolard of the FCA considered three lenses through which the FCA views the issues relating to AI: what are new, and what are existing issues; how to ensure that AI creates value for...

ESMA updates MiFID 2 FAQs

ESMA has updated its FAQs on MiFID 2 and MiFIR in respect of investor protection and intermediaries.  There is a new question on how to classify financial instruments under RTS 27 for best execution purposes when ESMA...

EBA reports on POG guidance implementation

EBA has reported on how industry has implemented its Product Oversight and Governance arrangements guidelines. It found a mix of good and bad practices. Some of its criticisms were that: often the manufacturer’s...

CMA launches digital advertising market study

The CMA has launched a study into online platforms and digital advertising. The study will focus on harm caused by consumers in connection with three areas of digital advertising: the extent online platforms (such as...

FCA speaks on regulating innovation

Christopher Woolard has spoken on regulating financial innovation. He explained how valuable early engagement is, and how working with innovative firms helps FCA to get a good bird’s eye view of what it should...

FCA makes CFD limiting rules

FCA has confirmed the restrictions it is putting in place for firms that offer CFDs to retail customers. It is requiring all firms that offer  CFDs and CFD-like options to retail consumers to: limit leverage –...

Treasury updates on mini-bond review

Treasury has written to Nicky Morgan updating on the progress of its review into the failure of London and Capital Finance and the government and FCA review of mini-bonds.  Alongside the FCA review into the...

FCA summarises new rules

FCA’s latest Handbook Notice confirms the following rule changes: the changes to, mainly MIPRU, MCOB and SUP that took effect on 4 June in relation to crowdfunding platforms that offer home finance products, where...

EU Council adopts crowdfunding position

The Council of the EU has adopted a position it hopes will make it easier for crowdfunding platforms to provide services across the EU, by setting minimum requirements that the platforms must meet and harmonising...

FCA publishes first perimeter report

FCA has published the first of what will be an annual report on its regulatory perimeter. Among other things, the report is designed to explain what challenges the perimeter is presenting and whether there might be a...

FCA consults on financial resources

FCA is consulting on the approach it takes to assessing adequate financial resources – and what it means by the term. The paper has been prompted by the levels of compensation FSCS has paid out relating to firms...

Up next from FCA

FCA’s latest Policy Development Update heralds a few interesting papers on the near horizon, including: a consultation in June on alternatives to high cost credit; perhaps, a policy statement on general insurance...

FSB Report on Crypto-Asset Risks

The FSB has published a report on crypto-assets,  which will be delivered to G20 Finance Ministers and Central Bank Governors ahead of their meeting in Fukuoka in June 2019. In particular the report notes: the work...

FSB publishes LEI implementation review

Following the launch of its peer review of LEIs in August last year, the FSB has now published the outcome of this review. Overall, the review found that take up of LEIs was patchy, being most concentrated in...

FCA extends temporary permissions deadline

FCA has confirmed the deadline for EEA firms to notify it of their intention to use the temporary permissions regime is now 30 October. FCA has updated its website with details of how the TPR applies, and its policy for...

FCA calls for input on FAMR and RDR

FCA has called for feedback on its planned approach to reviewing the RDR and FAMR. The purpose of the review is to find out whether the two initiatives have succeeded in their objectives, focussing on what consumers...

FSCS sets next year’s levy

FSCS has set its 2019/2020 levy.  It will be £532m, which is slightly more than its forecast, but still less than the 9 month levy for last year (had it been a 12 month levy). FSCS puts the increase down to an uplift in...

FSB updates on market issues

FSB, in its latest plenary meeting, discussed: current vulnerabilities in the global financial system; developing a surveillance network for potential vulnerabilities; areas where supervisory policies and practices...

FCA confirms miscellaneous new rules

FCA’s latest Handbook Notice confirms the following rule changes: to COBS 22 in relation to introducing a ban on selling, marketing and distributing binary options to retail customers, which already took effect...

FCA publishes PFOF findings

FCA has published an update to its Market Watch item on payment for order flow.  It has now carried out a review of 15 firms, to check how they monitor  compliance with FCA requirements around conflicts, inducements and...

FCA publishes research agenda

One of the documents that accompanied FCA’s Business Plan is its Research Agenda.  This sets out its intentions in respect of the themes that underpin the Business Plan. The document explains how FCA welcomes...

ESAs publish PRIIPs KID FAQs

The ESAs have published further Q&As on the KID requirement for PRIIPs. The updates are on both general topics (in respect of calculating the minimum holding period for a product)  and MOPs, in terms of the form and...

ESMA publishes appropriateness briefing

ESMA has updated its supervisory briefing on MiFID 2 appropriateness requirements and execution only.  The briefing covers: working out when an appropriateness assessment is needed; getting information from clients; the...

FCA makes binary option banning rules

FCA has published its final position and Handbook Rules on permanent product intervention measures that will ban sale, marketing and distribution of binary options to retail consumers.  ESMA has extended its temporary...

FCA and SEC sign updated Brexit MoUs

FCA and SEC have signed two MoUs to ensure minimal disruption when the UK leaves the EU. Andrew Bailey, FCA CEO met Jay Clayton, SEC Chairman to sign the MoUs. The first MoU updates the comprehensive supervisory...

ESMA updates funds and MAR FAQs

ESMA has updated its FAQs on: the application of the UCITS Directive to include clarification on benchmark disclosure obligations for UCITS both in the KIID and where funds name a target in their investment objectives...

FCA publishes final no-deal Brexit rules

Perhaps in anticipation of what would follow later in the day, FCA published its final instruments and guidance that would apply in the event of a no-deal, no-implementation period Brexit, on the morning of 29 March...

ESMA updates MiFID 2 FAQs

ESMA has updated its Q&As on MiFID 2 and MiFIR investor protection and intermediaries topics. There are several new questions, including on: reverse solicitation by third country firms the target market of CoCo-bond...

AFME publishes no-deal selling restrictions

AFME has published suggested wording for selling restrictions for equity transactions to use in the event of a no-deal Brexit.  It is designed for the most common scenarios and comprises an EEA public offer restriction...

FCA clarifies MAR status on hard Brexit

FCA has updated the information on its website about the Market Abuse Regulation, to clarify that the Treasury’s intention is to convert MAR and the Short Selling Regulation into UK law on a hard Brexit. This...

FCA extends temporary permissions window

In light of the current short extension to Brexit, FCA has decided to extend the notification window for EEA firms to apply for temporary permissions. The window was due to close on 28 March, but will now close on 11...

FCA looks at life beyond Brexit

In a speech on Brexit delivered by Nausicaa Delfas, Executive Director of International, the FCA reminded firms that the deadline for notifications under the temporary permissions regime is 28 March 2019.  Firms that...

FCA plans UK Benchmarks register

FCA is planning a new UK Benchmarks Register to replace the ESMA register post-Brexit for UK supervised users, for use by them and UK and third-country supervised benchmark administrators that want their benchmarks to...