News

The FCA has published proposed guidance on its rules relating to outsourcing to the cloud and other third-party IT services (Guidance Consultation 15/06). The guidance sets out areas of interest for firms to consider in outsourcing, namely: legal and regulatory considerations; risk management; international standards; oversight of the service provider; data security; the Data Protection […]

When banks outsource the delivery of critical banking services to suppliers they are required to adhere to a number of regulatory obligations and must obtain notify the FCA before implementing those arrangements. In its paper containing its checklist of things banks should give consideration to when thinking about entering into critical technology outsourcing agreements (6-page […]

The Financial Conduct Authority (FCA) has published the results of its thematic review of delegated authority arrangements in the general insurance market click here http://bit.ly/1G9Ggwg The review revealed that some firms do not treat their delegated authority arrangements as outsourcing, or have not adequately considered their regulatory obligations in relation to the outsourced functions. The FCA […]

The GFSC have issued a FAQ to answer the following question Can I rely on a 3rd party to perform my AML Compliance Function? A business may outsource a function which forms a part of its compliance arrangements designed to deter, forestall and prevent financial crime. Guidance on the factors which a business should consider […]

The FCA has published a document entitled “Outsourcing in the asset management industry: Thematic project findings report”. The report contains the FCA’s findings regarding its assessment as to whether asset managers are effectively mitigating the risks in connection with outsourcing. During the assessment the FCA looked in particular at whether asset managers: (i) had adequate […]

The Financial Conduct Authority (FCA) is concerned about the due diligence advisers perform on investment product providers and will continue to monitor the area, technical specialist for the regulator Rory Percival has said. Speaking at the Defaqto investment outsourcing conference on Tuesday, Percival said advisers should think about what best practice should look like and […]

FSA toughens rules around centralised outsourcing tools – Financial Services Authority requires adviser firms to lay out costs and benefits to client in clear language – Firms looking to transfer a client’s investment into a centralised investment proposition must demonstrate not only why the new investment suits the client’s needs but also why it does […]

The following may be of interest and a good time to refresh on the “Substance” issues and requirements General matters 1. In the General Secretariat’s report published yesterday, each of the Cayman Islands and the BVI were recognised for their cooperation and positive dialogue in respect of their economic substance requirements, and remain committed to […]