FIN.

Category - Investments

Tenet firms enter administration

The Tenet Group Limited is winding down its operations, which has now resulted in two of its hosting firms entering administration. The firms closed to new business at the end of March, and most of their advisers either...

Treasury speech: reform of capital markets

Bim Afolami, Economic Secretary to the Treasury, has delivered a speech on reforms to reinforce the UK’s capital markets. The speech highlighted that the Government is committed to building on the strong...

Market Watch focuses on surveillance

The latest edition of Market Watch looks at the effectiveness of surveillance arrangements, systems and controls. The FCA looks at the impact of failures when firms’ systems do not work as intended and the length...

BoE looks at AI and financial stability

Jonathan Hall of the FPC has spoken on whether increasing use of AI models could have a negative impact on financial stability. He sees two key risks: that deep trading agents could lead to a brittle and highly...

FCA publishes Q1 fin proms data

The FCA has published its financial promotions data for Q1 2024 on its actions against firms breaching financial promotion rules, and referrals and investigations into unregulated activity. During the period: 2,211...

FCA updates complaints data

The FCA has published updated complaints data based on returns from then nearly 300 firms reporting at least 500 complaints within 6 months or 1000 within a year. Key findings from the 2023 H2 data include: Complaints...

BoE outlines CCP stress test for 2024

BoE has set out the key elements of its 2024 supervisory stress test for UK central counterparties. The clearing services of all three UK authorised CCPs (ICE Clear Europe Ltd, LCH Ltd and LME Clear Ltd) will be in...

FCA publishes Link findings

The FCA has published its findings against Link Fund Solutions, explaining its conclusion that the firm failed to manager the liquidity of the Woodford Equity Income Fund from 31 July 2018 to 3 June 2019 and therefore...

FCA consults on new way to pay for research

The FCA is consulting on a range of ways in which asset managers might choose to pay for investment research. It says that, while firms are generally getting the research they want under the current rule format, the...

FCA updates perimeter report

The FCA has updated its Perimeter Report on its website.  It was last updated in March 2023. Among the issues discussed are: FCA’s general approach to the perimeter; when it will take action against unauthorised...

FCA makes minor rule changes

The FCA has published its latest Handbook Notice. It has made changes to several parts of the rulebook, but mainly minor changes. The changes include: Removing SUP 1A which no longer reflects the FCA’s approach to...

BoE consults on enforcement changes

The BoE, including the PRA, is consulting on proposed changes to its SOPs and procedures for enforcement, following the additional responsibilities FSMA 2023 has placed on it. The changes relate to enforcement policy...

HNWI/SCSI Fin Prom limits change again

We’ve written an article explaining the effects of the Budget reversal of the January increase on limits that high net worth and self-certified sophisticated investors need to meet to make use of financial...

FCA updates social media guidance

The FCA has published its updated guidance on social media advertising.  The guidance applies equally to firms and promotors, including influencers. It does not contain any new obligations, but is a reminder of...

FCA updates on skilled persons reports

The latest statistics for skilled persons reports FCA commissioned in Q3 2023/24 show: 24 reports in total 7 related to the retail banking and payments sector, 6 to retail investments, 5 to wholesale markets and 4 to...

FCA updates on Woodford

FCA has updated its website with further updates on the Woodford Equity Income Fund. It has confirmed the redress scheme became fully operational on 5 March and that payments are expected around Easter.

FCA consults on changes to UK EMIR reporting

The FCA is consulting on draft guidance for reporting under the revised UK EMIR Article 9 reporting requirements. This follows the FCA/BoE joint policy statement which confirmed changes to the derivative reporting...

The IA reviews pay guidelines

The Investment Association (IA) has written to FTSE 2350 companies’ Remuneration Committee Chairs. IA outlines how investors will engage with investee companies on executive pay in the 2024 AGM season. Investors...

Government defends Edinburgh Reform progress

The Government has responded to criticism from the Treasury Committee on how the Edinburgh Reforms are progressing. Following the Government’s report in December (a year after it announced the reforms) that it had...

Market Watch focuses on organised crime

The latest edition of FCA’s Market Watch looks at actions firms can take to mitigate the risks of being used by Organised Crime Groups. It says suspicious trading by members of OCGs forms a large proportion of the...

FCA intervenes in 10,000 ads in 2023

FCA has published its financial promotions data for the last quarter of 2023 and the entire past year. It has: caused over 10,000 promotions to be withdrawn or changed in 2023 (a 17% increase on the previous year);...

FCA speech: the UK listing regime

Clare Cole, Director of Market Oversight at FCA, has delivered a speech about developments since the UK Listing Review and the next steps for reform. Highlights include: In December, FCA set out detailed proposals for...

Changes to FPO exemptions

Changes to the exemptions for “business angel” investors took effect on 31 January.  Read our article on the changes for promotions to HNWIs and SCSIs.

FCA confirms rule updates

FCA’s latest Handbook Notice confirms rule changes its Board agreed in December, and the new motor finance complaints rules, as well as two changes agreed on 25 January. The two latest changes: update SUP 12.4...

FCA updates on retained EU laws

FCA has updated its website with details of the current state of play in relation to the repeal and replacement of retained EU laws in the financial services sector. Coming up in 2024 will be many changes and papers...

BoE consults on use of requirements on FMIs

The BoE is consulting on how it plans to use its powers under FSMA 2023 to place requirements on CSDs and CCPs mandating that they take, or don’t take, a particular action. It must use its power proportionately...

BoE publishes FMI supervision report

BoE has published its annual report on its supervision of FMIs. The report looks at what FMIs are, and BoE’s supervisory focuses over the past year. Its priorities for the future will include enhancing both...

Treasury makes Digital Sandbox Regulations

Treasury has made Regulations under FSMA 2023 to create the digital securities sandbox under which firms can apply for a place to test developing technology to help FMI activities.  The sandbox is open to UK Recognised...

FCA publishes regulatory initiatives grid

The FCA has published the Financial Services and Regulatory Initiatives Forum’s latest biannual Regulatory Initiatives Grid. This will allow the financial services industry and other stakeholders to understand and...

FCA consults on fee policy

FCA is consulting on its policy proposals for the 2024/5 fee year. For application fees, FCA did not increase these fees last year, but now feels it is appropriate to do so as its costs for processing applications are...

FCA updates on Woodford Scheme

Link Fund Solutions is to convene a meeting of all affected investors on 13 December to vote on whether to approve the proposed settlement fund in relation to the LF Equity Income Fund. FCA has confirmed it believes the...

Treasury to update Fin Prom exemptions

Following its consultation on exemptions in the FPO for promotions to high net worth individuals and sophisticated investors, Treasury has decided to make some updates. It will: increase the financial thresholds needed...

FCA speech: next steps for Consumer Duty

Nisha Arora (Director of Cross Cutting Policy and Strategy at the FCA) has delivered a speech on the Consumer Duty and the next steps for firms. The speech highlighted the following examples of good practice identified...

Market Watch updates on market soundings

The latest edition of Market Watch updates FCA’s views on market soundings, following on from previous editions. FCA says it has recently found cases where recipients of soundings have traded between receiving the...

Treasury and FCA hold perimeter meeting

Treasury and FCA have published the record of their July meeting to discuss aspects of the regulatory perimeter. The issues discussed included: discussion of FCA’s plans around expectations on firms carrying out...

FCA updates complaints data

FCA has published updated complaints data based on returns from firms. Snapshots from the 2023 H1 data include: a slight increase in complaints from the previous 6 months (5%); most significant increases in the...

FCA censures LCF over fin proms

FCA has censured London Capital & Finance for issuing misleading financial promotions about minibonds to retail investors. The promotions made the minibonds look a more attractive investment than they were and...

UK Finance respond to ban on cold calling

UK Finance has responded to HM Treasury’s proposals to ban cold calling in financial services and is supportive of the proposals. The measures aim to protect consumers, particularly elderly and vulnerable...

FCA speaks on encouraging investment

Sarah Pritchard has spoken on the role of regulation in encouraging investment in the City. She noted that proportionate regulation and a debate around risk appetite are key considerations in the review of financial...

FCA reminds firms of incoming crypto rules

FCA has set out its expectations in advance of the rules on advertising of crypto products coming into force on 8 October. The rules are specifically designed to make marketing clearer and more accurate and to ban...

FCA updates on wholesale data market study

The FCA has published an update report on its wholesale data market study. As a reminder, the FCA launched its market study in March 2023 to investigate competition problems in the markets for benchmarks, credit ratings...

FCA updates on UK MiFIR obligations

The FCA has published a direction on the revocation of its transitional direction for the share trading obligation (STO) under UK MiFIR. The direction specifies that the STO was revoked on 29 August 2023 by the...

FCA clarifies Advice Guidance Boundary Review

FCA has issued an update on how it and the Treasury will carry out their joint review of the boundary between advice and guidance. Industry feedback has made it clear that consumer needs for advice are diverse, entail...

Consumer Duty takes effect

The Consumer Duty has taken effect for all on-sale products. FCA has reminded consumers of the protections it gives them.
Read our summary of what FCA is expecting from firms.

FCA makes new rules

FCA’s latest Handbook Notice confirms: changes to ICOBS to reduce the impact of financial difficulties by enabling customers to maintain an appropriate level of insurance; amendments to FCA’s Glossary and...