Fortnightly bulletin 2nd november 2016

WMA Bulletin 2nd November 2016 Dear WMA member WMA Bulletin is a fortnightly snapshot delivering the latest news and current affairs from within the wealth management industry and WMA.

What's going on in our industry?

Millennials Members may be interested to read some of the latest discussion in a Bloomberg article around U.K. Millennials becoming ‘collateral damage from pensions’ as the pensions gap continues to grow.

The next round of the WMA Millennial Forum will be beginning in December 2016 and this will be a key theme of their work. If representatives from members firm would like to be involved please email Noelle Buckley.

What is WMA up to?

Brexit In mid-October WMA called on the Department for Exiting the European Union (DEXEU) to introduce the wealth management sector and its role in the UK economy, and to register our key concerns regarding the Brexit negotiations. We have also sent our summary of these plus the next version of the full paper. We also visited the European Commission in Brussels to discuss the WMA’s Brexit position.

You can read the WMA's latest paper here: The UK wealth management sector - summary requirements for Brexit and after

UK Shareholders’ Association On 25th October WMA met representatives of the UK Shareholders’ Association (UKSA). Whilst UKSA’s primary focus was in respect of remuneration and corporate governance, the discussion also covered nominee accounts, the Government’s proposals to get rid of share certificates and retail access to equity and bond issuances.

Private Investor Indices asset allocation change Asset allocation changes to the FTSE WMA Private Investor Indices were implemented yesterday (1st November) - view the current asset allocation here.

Packaged Retail and Insurance-based Investment Products (PRIIPs) The College of EU Commissioners is scheduled to discuss PRIIPs on 9th November, after which an official announcement on a potential delay to implementation of at least part of the new Regulation can be expected. The European Commission has already confirmed it is drafting new Regulatory Technical Standards (RTS) with the European Supervisory Authorities (ESAs) in the light of the European Parliament’s rejection of some of the previous ones. They will be adopted in the coming weeks. The aim is for all to be formally approved by the College and published as new RTS in February 2017.

WMA Trading Group The WMA Trading Group, consisting of a number of Heads of Trading from a range of WMA member firms, met on 20th October to discuss issues of mutual interest. As well as key areas of MiFID II such as best execution and transaction reporting, the Group also discussed data fees and the effectiveness of the intra-day auction process.

Anyone interested in being involved in these quarterly meetings/conference calls please contact Andy Thompson.

Prospectus Regulation Ahead of the first Prospectus Regulation trilogue on 27th October the WMA met the European Commission in mid-October to set out our position. In discussion with the Head of Unit for Securities Markets in charge of the Regulation, we set out our active support for the European Parliament’s proposal to remove the €100,000 corporate bond denomination exemption for full prospectus issue in the Council text. A successful outcome will help open up the corporate bond market to retail investors.

Proposed industry guidance: Failure to prevent the criminal facilitation of tax evasion On 25th October 2016 the WMA, Association of British Insurers, Investment Association, and the Association of Professional Financial Advisers discussed the proposed industry guidance that will provide member firms with examples of where they could potentially fall foul of this offence going forward. A more detailed note on this issue is in the next WMA Update.

What's coming up in our industry?

Retail Financial Services Action Plan European Commission officials have confirmed the publication of a Retail Financial Services Action Plan for the EU in January 2017. The plan had been scheduled for earlier publication but the Commission made significant changes to the first version following the resignation of Jonathan Hill and his replacement with Dombrovskis.

European Commission 2017 Work Programme On Tuesday 25th October the European Commission published its 2017 Work Programme, setting out its key initiatives for the coming year. The plans include the Retail Financial Services Action Plan, a White Paper on the Future of Europe, a mid-term review of the implementation of the CMU and a Framework for an EU Personal Pension Product. The European Commission communication can be found here.

What's coming up in WMA? 1 week to go WMA Annual Summit 9th November 2016 (08:30 to 19:30) The Grange Hotel, Tower Bridge E1 8GP

Only 7 days to go - why you shouldn't miss this...

- Engage with over 400 senior industry leaders - 10 hours of networking- including a 2 hour drinks reception - 6 hours of CPD - 30 high calibre speakers - Closing keynote by Sir Ranulph Fiennes Bt OBE, 'World's Greatest Explorer' Ticket price: Members: Only ÂŁ299 + VAT / Non-Members ÂŁ599 + VAT

BOOK YOUR PLACE TODAY

WMA Briefing Events Various locations November and December 2016

Join us at the WMA Briefings across the UK. These events provide member firms with information on current and upcoming UK and EU Regulatory, Business and Operational issues that the WMA are currently working on for the community. They are also a great opportunity for firms to discuss with WMA any issues affecting them and to network with industry peers.

Briefings are free to members and entitle attendees to 1.5 CPD hours. To book your place and for more information on any WMA Briefing, click on the relevant city below or visit the WMA website here for a list of all our events.

Birmingham - Dublin – Glasgow – Leeds - Liverpool – Newcastle