Securities

Securities

Broker Dealers

Examples of regulatory initiatives affecting broker-dealers active in trading securities that we have familiarity with include:

  • FMSB Suspicious Transaction and Order Reporting Statement of Good Practice
  • FCA Thematic Review 19/4: Understanding Money Laundering Risks in the Capital Markets
  • The Securities Financing Transactions Regulation ("SFTR")
  • Short selling restrictions

 

Retail Brokerages

Examples of regulatory initiatives affecting retail brokerages offering trading in securities and security-linked products that we have familiarity with include:

  • ASA expectations re: the advertisement of spread betting
  • FCA restrictions on the sale of CFDs and related products to retail customers
  • Actions to restrict payment for order flow in the UK and EU
  • FCA Guidance for Firms on the Fair Treatment of Vulnerable Customers

 

Investment Managers

Examples of regulatory initiatives affecting investment managers involved in trading securities that we have familiarity with include:

  • Dear CEO letter re: FCA Expectations of Principal Firms in the Investment Management Sector
  • ESMA Guidelines on Transaction Reporting, Order Record Keeping and Clock Synchronisation under MiFID II
  • SFTR

 

The representatives of C&G Regulatory Solutions have experience in managing the regulatory affairs of entities trading equities and fixed income products.

Broker-dealers and execution only brokers

Examples of the types of support that we can offer brokerage houses include:

  • Helping firms assess whether a proposed trade structure is likely to meet the Financial Conduct Authority’s (“FCA”) expectations regarding payment for order flow
  • Assessing trade structures against regulatory reporting requirements, for example those related to pre and post trade transparency
  • Working with front desk teams to draft and revise best execution policies and governance arrangements
  • Designing and delivering role specific conduct rules training based on scenarios from the securities markets

 

Research Houses

Examples of the types of support we can offer research houses include:

  • Assistance in navigating the rules regarding research unbundling in the second Markets in Financial Instruments Directive (“MiFID II”)
  • Help with designing policies and procedures to meet the FCA’s requirements concerning the governance and structure of research

 

CFD and spread betting providers

Examples of the types of support that we can offer CFD and spread betting providers include:

  • Training staff on how to identify and serve vulnerable customers
  • Reviews of proposed and existing financial promotions against the requirements of the FCA and other relevant regulatory authorities, for example the Advertising Standards Agency (“ASA”)
  • Helping firms understand the market abuse risks associated with the trading of CFDs. For example, working with trade surveillance teams to help identify recurring themes/topologies
  • External assistance with product design in an effort to meet all relevant regulatory obligations from launch

 

Investment Managers

Examples of the support we can offer investment managers include:

  • Creation and maintenance of policies and procedures governing the investment manager’s activities
  • Assistance with understanding transaction reporting requirements in the Markets in Financial Markets Regulation (“MiFIR”)
  • Help in responding to enquiries from regulatory authorities

 

This is non-exhaustive list – we may be able to provide advice and guidance on other topics too. Please contact us for a free, no-obligation, one hour initial consultation to discuss your requirements.