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FCA Publishes Policy Statement Extending Rules to Payment Services and E-Money Sectors

From August 2019, certain existing FCA rules and guidance will extend to payment service providers and e-money issuers in a signal that the FCA wants a consistent approach to consumer protection. The FCA has published a...more

Brexit and Financial Services - FCA Issues Further Guidance For Firms

The FCA outlines how it intends to use its temporary transitional powers in a no-deal scenario. Key Points: ..The FCA has highlighted areas in which transitional relief will not be granted in a no-deal...more

Regulating Crypto-assets and ICOs? ESMA and EBA Consider the Benefits

ESMA and the EBA publish documents considering the application of the EU regulatory regime to crypto-assets and ICOs. Key Points: ..ESMA highlights the importance of taking a technology-neutral approach to regulation,...more

FCA Consults on Further Amendments to the SMCR

The FCA seeks to clarify the position of the Head of Legal and the scope of the Client Dealing Function. Key Points: ..The FCA is proposing to exclude the Head of Legal from the scope of the Senior Managers...more

Brexit and Financial Services — UK Equivalence Decisions

HM Treasury has published draft legislation that will allow the UK to make timely equivalence decisions in relation to the EU. Key Points: ..Post-Brexit, HM Treasury will take on the role of making equivalence decisions...more

European Commission Report on the Operation of the AIFMD

Report concludes that the AIFMD has been helpful in building a market for AIFs, but is not free from issues. Key Points: ..The report concludes that the AIFMD has played a significant role in helping to create an...more

Brexit and Financial Services - Temporary Permissions

The UK’s temporary permissions regime appears to be a helpful concession for inbound firms, but there are some hidden challenges. Key Points: ..The UK regulators have set out further details of the rules they propose...more

UK Scores Highly on Anti-Money Laundering Review

FATF has published its highly anticipated report on the effectiveness of the UK’s anti-money laundering and counter-terrorist financing measures. On 7 December 2018, the Financial Action Task Force (FATF) published its...more

FCA Finalises Changes to its Financial Crime Guide

The FCA has finalised a new chapter on insider dealing and market manipulation. Key Points: ..Firms should take note of the new guidance, which applies immediately. ..Helpfully, the FCA has clarified that firms do...more

FCA Proposes Permanent Product Intervention Measures for Retail CFDs and Binary Options

The rules will echo ESMA’s temporary measures, however the FCA will extend the CFD restriction to capture closely substitutable products (such as turbo certificates). The FCA has launched two consultations on: ..Banning...more

FCA to Clarify Scope of the Client Dealing Function

The FCA has announced that it plans to consult further on the scope of the Client Dealing Function under the SMCR. Key Points: ..The FCA acknowledges that the scope of the Client Dealing Function needs to be clarified,...more

FCA CP18/36 — The Second Brexit Onshoring Consultation

The FCA has published a second consultation on the Brexit onshoring project. Like the first, and many other Brexit onshoring documents, it is both long and very technical. However, a number of important policy points are...more

Brexit and Financial Services — Onshoring MiFID II

Latham & Watkins demystifies the process for onshoring the MiFID II regime, and outlines the key changes for firms operating in the UK. Key Points: ..The onshoring process is designed to preserve the status quo as much...more

UK Cryptoassets Taskforce Publishes its Final Report

The Taskforce’s final report outlines the UK’s policy and regulatory approach to crypto-assets and distributed ledger technology in financial services. Key Points: ..The Report provides an overview of crypto-assets and...more

A New Sheriff in Town? UK MPs Call for Regulation of “Wild West” Crypto-assets

The House of Commons Treasury Committee has published its recommendations for the regulation of crypto-assets in the UK. Key Points: ..The House of Commons Treasury Committee has proposed that the UK government should...more

First Details of Brexit Temporary Permissions Regime Published — Key Questions Answered

UK regulators expand on plans to smooth the transition for inbound passporting firms in the event of a “no deal” Brexit. Overview - HM Treasury published draft legislation on 24 July 2018 to establish a temporary...more

Regulators Publish Final Rules on SMCR Extension

The FCA and the PRA have published their Policy Statements, setting out final rules on the SMCR regimes for insurers and FCA solo-regulated firms. Key Points: ..The FCA has announced that the extended SMCR will apply to...more

UK Fair and Effective Markets Review Progress Report — A One-Stop Shop

FEMR progress report commends the efforts of firms to drive higher market standards - HM Treasury (HMT), Bank of England (BoE), and the Financial Conduct Authority (FCA) have issued a progress report in relation to the...more

The MiFID II Inducements Regime

MiFID II contains a number of inducements requirements, including rules relating to conflicts of interest, research, hospitality, corporate access, and payment for order flow. This Client Alert outlines these requirements and...more

Global Developments on Best Execution

Best execution is currently a hot topic for global regulators and the past year has seen notable regulatory focus in this area. Amid this development, firms are recommended to review their global best execution compliance...more

Commission Publishes Study of EU Market in Retail Investment Products

The Commission shares the results of a 2017 study into the current functioning of European markets for retail investment products. Key Points: ..The European Commission’s Final Report is the result of examining a broad...more

Cricket’s Ball-Tampering Scandal: 10 Lessons for Financial Services

A recent sports scandal provides helpful guidance for current efforts to improve conduct and culture in the financial services industry. Introduction - The Australian cricket team is coached by a popular ex-player,...more

Next Steps in the Asset Management Market Study

FCA publishes final rules and further consultation on outstanding remedies under its asset management market study. Key Points: ..The FCA has published a Policy Statement (PS18/8) setting out final rules and guidance...more

FCA Proposes New Guidance on Financial Crime Systems and Controls

The FCA is proposing to add a new chapter on insider dealing and market manipulation to its Financial Crime Guide. Key Points: ..The FCA proposes to add a new Chapter 8 to Part 1 of its Financial Crime Guide, outlining...more

Transforming Culture in Financial Services - The FCA Renews Its Approach

New FCA Discussion Paper demonstrates how the regulator’s thinking in relation to culture has evolved. Introduction - In Discussion Paper (DP) 18/2, the FCA has taken an unusual approach to a topic that has received...more

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