PIMFA WEEKLY BULLETIN
PRESS RELEASES
ABOUT PIMFA CONSUMER DUTY WEALTHTECH
PIMFA response to Advice Guidance Boundary Review
We have submitted our response to the FCA and HMT’s Advice Guidance Boundary Review.
In the main, we are reasonably positive about the proposals put forward with some caveats about the extent to which Targeted Support can be used to recommend specific solutions as well as its use in decumulation. Our response also focuses on the improvements we think can be made to Simplified Advice where we believe the scope should be extended to decumulation transactions whilst also looking for movement on the cap.
Our response can be found here
Member queries should be directed towards Simon Harrington
The symposium is FREE to attend for PIMFA members and associate members and solely funded by our wonderful sponsors, and we encourage individuals at all stages of their career, from Chief Executives to Interns, to join us for two days of motivational talks, regulatory updates, industry panels, personal development roundtables and thought-provoking content related to our industry, and to career development.
The event is open to all! Women and men welcome.
New PIMFA Guest Blog – ‘D&O risks to watch in 2024’
Businesses face an array of social, political, and economic challenges in the current market. If you’re a director or an officer, this is likely to bring additional scrutiny from stakeholders and investors and raises the risk of potential litigation.
Here, Michael Lea, Partner & Head of Management Liability at Lockton, summarises the main emerging risks for directors and officers in 2024, and the consequences from an insurance perspective.
This can be read here
Financial Conduct Authority: Consultation on publicising enforcement investigations
The Financial Conduct Authority (FCA) has published Consultation Paper 24/2 (CP24/2), which sets out its proposed new approach to publicising enforcement investigations and changes to its Enforcement Guide (EG).
With respect to publicising investigations, the key proposals in CP24/2 include:
• proactively publishing more information about FCA enforcement investigations, including their opening and progress (currently information is published only where investigations lead to outcomes);
• deciding whether and what to publish on a case-by-case basis, using a new public interest framework; and
• recognising that there are specific legal considerations, not announcing investigations into named individuals.
Proposals for the Enforcement Guide include setting out the FCA's key enforcement policies, and information about the FCA's strategic approach.
The deadline for comments is 16 April 2024 and PIMFA will be responding to this consultation. If you have views or comments please contact Alex Roberts
Financial Conduct Authority: Enforcement Strategy speech by Therese Chambers (Joint Executive Director of Enforcement and Market Oversight)
The Financial Conduct Authority (FCA) has published a speech by Therese Chambers where she discussed:
• Proposals to ensure the maximum impact in deterring misconduct and crime, including proposals in CP24/2 to increase transparency
• The importance of tools used in addition to enforcement (i.e. industry cooperation, assertive supervision and intervention powers) in dealing with harm
• The need for swift investigations to thwart criminals and for industry and regulators to work together to stop opportunistic market abuse
Financial Conduct Authority: Market observations and suspicious transaction and order reports
The Financial Conduct Authority (FCA) has published:
• The total number of market observations received, noting 298 were reported in 2023
• The total number of suspicious transaction and order reports (STORs) received: 4375 STORs were submitted in 2023
HM Treasury: Money Laundering Advisory Notice
HM Treasury (HMT) has published a Money Laundering Advisory Notice, reflecting changes to the countries in scope of High Risk Third Countries, as defined in the Money Laundering Regulations, following updates to the lists of the Financial Action Task Force (FATF) at its Plenary meeting in February 2024.
• The FATF added Kenya and Namibia to the list of jurisdictions subject to increased monitoring.
• Barbados, Gibraltar, Uganda and the United Arab Emirates will no longer be subject to the FATF’s increased monitoring process.
Treasury Select Committee: Call for Evidence regarding Russia financial sanctions
The Treasury Select Committee (TSC) has published a Call for Evidence as part of the inquiry into the effectiveness of the UK's financial sanctions relating to Russia.
The TSC is requesting written evidence on:
1. Whether financial sanctions instituted by the UK on Russia, are complete and effective in terms of the entities that have been designated, and the entities which have to comply with the rules
2. Whether assets frozen as part of the UK’s financial sanctions on Russia should be confiscated, and whether there are legal precedents for such a move
3. Whether financial sanctions imposed by the UK should be widened to include those who purchase Russian oil and gas
4. The effectiveness of the work of the Office of Financial Sanctions Implementation (OFSI)
5. The effectiveness of the system of designation of financial sanctions, in that it relates to the implementation of financial sanctions, and the relationship between the designation and implementation of financial sanctions
6. The implementation of financial sanctions against Russia by each part of the financial sector (including the insurance sector), and the maritime sector
7. The mitigation of any unintended consequences of financial sanctions
The deadline for submissions is 28 March 2024. If you have views or comments to make in relation to any of these areas, please get in touch with Alex Roberts
Financial Markets Standards Board: Standard for Client Onboarding
The Financial Markets Standards Board (FMSB) has published a Standard for Client Onboarding: Documentation and Processes and its Annexes in the form of a Transparency Draft.
The Standard has been drafted through consensus by an FMSB working group to harmonise the KYC/AML documentation requirements when onboarding or reviewing a client relationship under Standard or Simplified Due Diligence.
The consultation closes on 3 May 2024. If you have views or comments please contact Alex Roberts
PIMFA welcomes FCA proposals for Sustainability Disclosure
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