FCA Market Watch 79

FCA Market Watch 79

In May, FCA Market Watch 79 discussed failures in market abuse surveillance attributed to issues with data, automated alert logic and testing of surveillance models. The FCA believes that firms may find these observations useful for enhancing the implementation, testing, and oversight of their technical systems for market abuse surveillance, thereby reducing the risk of […]

FCA Market Watch 77

Financial Crime, Market Watch 77, OCG

Introduction FCA Market Watch 77[1] was published in February shedding some light on the trading activities of organised crime groups (OCGs) within equity markets. The UK regulator emphasises the risks that OCGs pose to market integrity and the actions firms can take to mitigate these risks. This article is a bitesize recap for busy professionals. […]

Top 5 regulatory priorities in 2024

regulatory priorities

Looking to the year ahead, we explore the regulatory priorities that are likely to have a significant impact for firms in 2024.   Consumer Duty Annual Report   Firms should be gearing up for their first annual report on retail customer outcomes, a key aspect of complying with the Consumer Duty. The inaugural report is […]

FCA publishes final report outlining its ICARA observations

On 27th November 2023 the UK Financial Conduct Authority (“FCA”) published its final report outlining how investment firms are engaging with the Internal Capital Adequacy and Risk Assessment (“ICARA”) process introduced by MiFIDPRU on 1st January 2022. The report builds upon the initial feedback provided by the FCA in February. The final report is essential […]

From Losses to Litigation: client’s lawsuit against broker explained

lawsuit against broker

Introduction A recent court case[1] saw a client of Forex Capital Markets Limited (“FXCM”) looking to recover losses and substantial damages arising from trading oil CFDs in 2020. The case is particularly interesting with Consumer Duty on the horizon and the prospect of brokers facing higher expectations for the standard of care that they provide […]

The Role of Compliance Consultants in London: Ensuring Regulatory Adherence for Business Success

Compliance Consultants London

In today’s rapidly evolving business landscape, regulatory compliance has emerged as a crucial factor for businesses in London. With the Financial Conduct Authority (FCA) serving as the regulatory body overseeing financial services, companies must navigate a complex network of rules and regulations to uphold legal and ethical operations. This is where compliance consultants in London […]

Market abuse peer review (FCA Market Watch 73)

trade surveillance system

The UK Financial Conduct Authority (“FCA”) published its latest Market Watch newsletter on 26th April 2023, following a market abuse peer review of firms offering Contracts for Difference (“CFDs”) and spread bets (“CFD providers”). Many of the findings are equally applicable to firms offering other financial instruments. This article provides a summary of the key […]

Change in control: a cautionary tale

FCA change in control

A recent supervisory notice highlighted the importance of getting the ‘change in control’ process correct when acquiring a UK financial services firm. It is also a timely reminder for investment firms, authorised payment institutions and E-money firms of the requirements for a change in control[1]. In this article, we highlight the rules and the severe […]

UK cryptoasset regulation

UK cryptoasset regulation

On 1 February 2023, HM Treasury (“HMT”) published a consultation[1] setting out proposals for the UK’s financial services regime for cryptoassets. The UK government has highlighted its ambition to make Britain a global hub for cryptoasset technology. Rishi Sunak previously asserted that “effective regulation” would encourage “the businesses of tomorrow to invest, innovate and scale […]

FCA publishes letter to wholesale brokers

The FCA has published a portfolio letter setting out a new strategy for supervising wholesale brokers. The letter notes that periods of sustained volatility since 2019 have heightened financial, credit, liquidity and operational risks. The FCA observed that some firms’ liquidity risk management and stress testing was not fit for the current market environment. The […]