By David Berman, Nicola Higgs, Jon Holland, Andrea Monks, Rob Moulton, and Nell Perks The FCA stated that the perpetrator’s character is key to non-financial misconduct investigations, which suggests a mismatch with recent case law. In last year’s Frensham[1] case, the Upper Tribunal considered how relevant a (non-dishonesty-based) criminal offence committed in one’s personal life … Continue Reading
Monitoring the progress of the Financial Services and Markets Bill and regulatory divergence between the UK and the EU will continue as a key theme in 2023. The Financial Services and Markets Bill leaves a significant amount of the essential regulatory detail to be developed later by HM Treasury (through regulations), followed by development of … Continue Reading
The Financial Services Skills Commission has issued an insight paper outlining how companies can collect and evaluate data on employees’ socioeconomic backgrounds. By David Berman, Nicola Higgs, Rob Moulton, and Dianne Bell Socioeconomic backgrounds of employees and socioeconomic diversity at senior levels across the UK financial services industry is beginning to feature more prominently in … Continue Reading
As the FCA’s remit continues to grow, the regulator pledges flexibility in the face of global financial and geopolitical headwinds. By Rob Moulton, Anne Mainwaring, Jaime O’Connell, and Dianne Bell On 7 April 2022, the FCA released its new Business Plan as part of a package including a three-year strategy document setting out the outcomes … Continue Reading
The regulators suggest improvements to the supervision of firms passporting retail products and services in the EU. By Rob Moulton, Thomas Vogel, and Charlotte Collins The French and Dutch financial services regulators (the AFM and the AMF) have published a joint position paper on strengthening conduct supervision of cross-border retail financial services. The regulators are … Continue Reading
This annual publication outlines some of the primary focus areas in 2022 for UK-regulated financial services firms. There has been a marked shift away from dealing with immediate post-Brexit priorities to more fundamental consideration of the direction of travel of UK financial services regulation, and this is borne out across many of the topics covered … Continue Reading
FCA makes clear that it expects a cultural shift in how firms focus on consumers. By David Berman, Nicola Higgs, Rob Moulton, and Charlotte Collins On 7 December 2021, the FCA published its second Consultation Paper (CP21/36) on introducing a new Consumer Duty. This follows an earlier consultation in May 2021, which set out high-level … Continue Reading
This decision shines a spotlight on the activities of unregulated introducers. By Rob Moulton, Nicola Higgs, and Charlotte Collins In a recent decision, the Court of Appeal upheld the FCA’s findings that unregulated introducers had been carrying on regulated activities without permission by persuading individuals to transfer their personal pensions into alternative investment products and … Continue Reading
By Rob Moulton, Nicola Higgs, Anne Mainwaring, and Charlotte Collins The latest edition of our Private Bank Briefing provides a roundup of legal and compliance issues impacting private banks and their clients from Q3 2021. In this edition, we include a summary of the latest sustainable finance developments, and pinpoint areas of post-Brexit regulatory divergence in relation … Continue Reading
Discussion Paper opens debate on potential new rules to improve diversity in financial services. By Rob Moulton, David Berman, Paul Davies, and Charlotte Collins On 7 July 2021, the FCA, the PRA, and the Bank of England published a joint Discussion Paper on diversity and inclusion in the financial sector. The regulators, in particular the … Continue Reading
The FCA is proposing to set higher expectations for firms operating in retail markets. By Andrea Monks, David Berman, Jon Holland and Charlotte Collins On 14 May 2021, the FCA published a Consultation Paper (CP21/13) on introducing a new Consumer Duty. This consultation is intended to fulfil the FCA’s new statutory obligation to consult on … Continue Reading
The guidelines aim to promote the adoption of robust practices for managing technology risks in the financial sector. By Farhana Sharmeen and Marc Jia Renn Tan On 18 January 2021, the Monetary Authority of Singapore (the MAS) issued revised guidelines (the Guidelines) to take into account the fast-changing cyber threat landscape and financial institutions’ increased … Continue Reading
The role and expectations of bystander employees: the missing piece of the puzzle? By David Berman, Catherine Drinnan, Joseph B. Farrell, Sarah Gadd, Lilia B. Vazova, and Nell Perks While much attention continues to be paid to the implementation and maintenance of effective whistleblowing and speak-up frameworks (which tend to focus predominantly on reporting post-event, … Continue Reading
This annual publication outlines some of the primary focus areas in 2021 for UK-regulated financial services firms. Some of these topics are attracting attention because they are an emerging trend, or because they are at a key stage in the implementation cycle. Other topics are longstanding, but remain at the top of the PRA’s and … Continue Reading
Court of Appeal sets out correct approach to transfer of long-term Insurance. Victoria Sander, Jon Holland, Alex Cox, and Duncan Graves Latham & Watkins has won an appeal on behalf of Rothesay Life Plc (Rothesay) in an unprecedented challenge to the High Court’s refusal to sanction the transfer of around 370,000 annuity policies in August … Continue Reading
FCA’s Stephen Hanks discusses onshoring and how to ensure regulatory compliance before the year’s end. With the end of the Brexit transition period looming, many financial services firms are asking what they need to do between now and the end of the year to ensure regulatory compliance. In this episode of Connected With Latham, Anne … Continue Reading
As COVID-19 sharpens the focus on corporate culture and ESG, organisations should be aware of heightened regulatory scrutiny. Corporate culture remains high on the financial regulatory agenda, and it’s likely to attract even more attention in the future. The impact of the COVID-19 pandemic has sharpened the focus on organizational culture and the social and … Continue Reading
The guidelines aim to strengthen the accountability of senior managers in financial institutions. By Farhana Sharmeen and Marc Jia Renn Tan On 10 September 2020, the Monetary Authority of Singapore (the MAS) issued guidelines (the Guidelines) to strengthen the accountability of individuals who are employed by, or acting for or by arrangement with, financial institutions, … Continue Reading
New resource developed following increased regulatory focus on outsourcing. Latham & Watkins has partnered with the Association for Financial Markets in Europe (AFME) and law firms Matheson and BSP to develop: Outsourcing – Guidance on the Legal and Regulatory Framework, a pioneering resource examining the key European legislation, rules, and guidance for financial services firms … Continue Reading
A ruling by the EU’s top court invalidates the key mechanism for transferring personal data from the EU to the US and imposes additional conditions for use of the standard contractual clauses. By Gail E. Crawford, Fiona M. Maclean, Michael H. Rubin, Ulrich Wuermeling, Calum Docherty, and Amy Smyth On 16 July 2020, the Court of … Continue Reading
The new guidelines reflect the European Commission’s aim to provide additional certainty for regulated entities outsourcing to cloud services. By Rob Moulton, Fiona M. Maclean, Becky Critchley and Anna Lewis-Martinez On 3 June 2020, ESMA published a consultation paper on draft guidelines regarding outsourcing to cloud service providers. The purpose of the proposed guidelines is … Continue Reading
Implications for users of third-country trading venues as ESMA confirms the list of venues who meet the criteria in its updated opinions on transparency and position limits. By Rob Moulton and Anna Lewis-Martinez On 3 June 2020, ESMA published updated versions of its opinions on post-trade transparency and position limits for third-country trading venues (TCTVs) … Continue Reading
The government sets out a bold and ambitious arrangement for financial services, including free market access and a new Financial Services Committee. By Rob Moulton and Anna Lewis-Martinez On 19 May 2020, the UK government published draft legal texts of 12 documents, and an accompanying letter, setting out its approach to the UK’s future relationship … Continue Reading
The CMA recognises that businesses may need to cooperate to ensure supply of essential products and services during the COVID-19 outbreak. By Rob Moulton, David Little, Gregory Bonné, and Anna Lewis-Martinez On 27 March 2020, the FCA and Payment Systems Regulator (PSR) announced their support for the Competition and Markets Authority’s (CMA’s) guidance on its … Continue Reading
