Related provisions for BIPRU 4.3.31
81 - 100 of 111 items.
A depositary appointed under COLL 6.6A.8R(3) must: (1) ensure that it has the infrastructure necessary to keep in custody UCITS custodial assets that can be registered in a financial instruments account opened in the depositary’s books; (2) establish adequate policies and procedures sufficient to ensure the compliance of the depositary, including its managers and employees, with its obligations under the regulatory system; (3) have: (a) sound administrative and accounting procedures
If an unauthorised administrator makes arrangements for a mortgage administrator to administer its regulated mortgage contracts, the exclusion may cease to be available because the mortgage administrator ceases to have the required permission, or because the arrangement is terminated. The exclusion gives the unauthorised administrator a one-month grace period during which it may administer the contracts itself. If the period of administration exceeds one month, the unauthorised
1Where appropriate the FCA will also take the following factors into account:
(1) the complexity of the company or partnership (as this may have a bearing on the effectiveness of winding up or any alternative action); (2) whether there is a significant cross border or international element to the business being carried on by the company or partnership and the impact on the business in other jurisdictions; (3) the adequacy and reliability of the company or partnership's
1It is the responsibility of an insurance intermediary's senior management to determine, on a continuing basis, whether the firm is an exempt insurance intermediary for the purposes of this requirement and to appoint an auditor if management determines the firm is no longer exempt. SUP 3.7 (amplified by SUP 15) sets out what a firm should consider when deciding whether it should notify the FCA of matters raised by its auditor.
A firm should establish and maintain appropriate systems and controls for the management of its IT system risks, having regard to:(1) its organisation and reporting structure for technology operations (including the adequacy of senior management oversight);(2) the extent to which technology requirements are addressed in its business strategy;(3) the appropriateness of its systems acquisition, development and maintenance activities (including the allocation of responsibilities
This chapter contains rules on reverse stress testing, which require a firm to identify and assess events and circumstances that would cause its business model to become unviable. This chapter also requires the firm's senior management or governing body to review and approve the results of the reverse stress testing exercise. This should help the firm's senior management to identify the firm's vulnerabilities and design a strategy to prevent or mitigate the risk of business f
When giving notice, the firm must provide: (1) details of the amount and type of own funds the firm is seeking to raise through the intended issue and whether the capital instrument is intended to be issued to external investors or other members of its group;(2) a copy of the term sheet and details of any features of the capital instrument which are novel, unusual or different from a capital instrument of a similar nature previously issued by the firm or widely available in the
4A sponsor will generally be regarded as having appropriate systems and controls for identifying and managing conflicts6 if it has in place effective policies and procedures:(1) to ensure that decisions taken on managing conflicts of interest are taken by appropriately senior staff and on a timely basis;(2) to monitor whether arrangements put in place to manage conflicts are effective; and6(3) to ensure that individuals within the sponsor are appropriately trained to enable them
(1) A firm must use Form E where an approved person is both permanently8 ceasing to perform one or more controlled functions and needs to be approved in relation to one or more FCA controlled functions in relation to7 the same firm or in relation to a firm in the same7group.(2) A firm must not use Form E if: 2(a) the approved person has never before been approved to perform for any firm:2(i) an FCA controlled function that is2 a significant-influence function; or2(ii) an FCA-designated
Positions/portfolios held with trading intent must comply with the following requirements:(1) there must be a clearly documented trading strategy for the position/instrument or portfolios, approved by senior management, which must include the expected holding horizon;(2) there must be clearly defined policies and procedures to monitor the position against the firm's trading strategy including the monitoring of turnover and stale position in the firm'strading book; and(3) there
(1) The permanent risk management function must:(a) implement the risk management policy and procedures;(b) ensure compliance with the risk limit system, including statutory limits concerning global exposure and counterparty risk, as required by COLL 5.2 (General investment powers and limits for UCITS schemes) and COLL 5.3 (Derivative exposure)2;(c) provide advice to the governing body, as regards the identification of the risk profile of each scheme it manages;(d) provide regular
In assessing whether its connection with any person could affect whether a UK recognised body is a fit and proper person, the FCA4 may have regard to:4(1) the reputation and standing of that other person, including his standing with any relevant UK or overseas regulator;(2) breaches of any law or regulation by that other person; (3) the roles of any of the UK recognised body's key individuals who have a position within organisations under the control or influence of that other
The design and results of a firm's reverse stress test must be documented and reviewed and approved at least annually by the firm's senior management or governing body. A firm must update its reverse stress test more frequently if it is appropriate to do so in the light of substantial changes in the market or in macroeconomic conditions.
(1) SUP 10A (FCA Approved Persons in Appointed Representatives) deals7 with the approved persons regime for appointed representatives of SMCR firms5. (2) In general this chapter does not apply to appointed representatives of SMCR firms5. SUP 10A applies instead.(3) In theory, a person employed by an appointed representative of an SMCR firm5 could come within one of the controlled functions in this chapter. If so, that person will be performing a senior management function and
A firm should establish and maintain appropriate systems and controls for the management of the risks involved in expected changes, such as by ensuring:(1) the adequacy of its organisation and reporting structure for managing the change (including the adequacy of senior management oversight);(2) the adequacy of the management processes and systems for managing the change (including planning, approval, implementation and review processes); and(3) the adequacy of its strategy
(1) 1A person subject to enforcement action may
agree to a financial penalty or other outcome rather than contest formal action
by the FCA.4Alternatively, they may enter into a focused resolution agreement and in this way partly contest the proposed action (see DEPP 5.1.8AG to DEPP 5.1.8DG).54(1A) 5Further, even if the person subject to enforcement action wishes to fully contest the proposed enforcement action, they may choose to do so by (i) agreeing to the FCA issuing the required
A person performs the other overall responsibility function in relation to a firm if that person:(1) is performing:(a) a function allocated to that person under SYSC 26.3.1R (Main rules)2 in relation to the firm; 3(b) FCA-prescribed senior management responsibility (z)2 in the table in SYSC 24.2.6R2 (functions in relation to CASS) allocated to that person under SYSC 24.2 (Allocation of FCA-prescribed senior management responsibilities: Main allocation rules)2; or32(c) 3(if the
When considering whether the treatment described is misleading, factors a firm should consider include:(1) the degree of independence of control of the fund, including the relation of the fund's board and senior management to the firm or to other funds or to both;(2) the terms on which the counterparty, when acting as trustee, is able to satisfy its obligation to the firm out of the fund of which it is trustee;(3) whether the beneficial owners of the fund are connected to the
(1) An authorised fund manager of a UCITS scheme 6 must establish, implement and maintain an adequate and documented risk management policy for identifying the risks to which that scheme is or might be exposed.(2) The risk management policy must comprise such procedures as are necessary to enable the authorised fund manager 6 to assess the exposure of each UCITS it manages to market risk, liquidity risk and counterparty risk, and to all other risks, including operational risk,
1Schedule to the Recognition Requirements Regulations, paragraph 2A
(1) |
The composition of the management body of a [UK RIE] must reflect an adequately broad range of experience. |
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(2) |
The management body must possess adequate collective knowledge, skills and experience in order to understand the [UK RIE’s] activities and main risks. |
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(3) |
Members of the management body must - |
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(a) |
commit sufficient time to perform their functions on the management body; |
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(b) |
act with honesty, integrity and independence of mind; and |
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(c) |
effectively - |
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(i) |
assess and challenge, where necessary, the decisions of the senior management; and |
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(ii) |
oversee and monitor decision making. |
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(4) |
The management body must - |
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(a) |
define and oversee the implementation of governance arrangements that ensure the effective and prudent management of the [UK RIE] in a manner which promotes the integrity of the market, which at least must include the - |
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(i) |
the segregation of duties in the organisation; and |
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(ii) |
the prevention of conflicts of interest; |
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(b) |
monitor and periodically assess the effectiveness of the [UK RIE’s] governance arrangements; and |
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(c) |
take appropriate steps to address any deficiencies found as a result of the monitoring under paragraph (b). |
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(5) |
A [UK RIE] must - |
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(a) |
devote adequate human and financial resources to the induction and training of members of the management body; |
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(b) |
ensure that the management body has access to the information and documents it requires to oversee and monitor management decision-making; and |
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(c) |
notify the FCA of the identity of all the members of its management body. |
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(6) |
A [UK RIE] and, if it has a nomination committee, its nomination committee must engage a broad set of qualities and competences when recruiting persons to the management body, and for that purpose have a policy promoting diversity on the management body. |
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(7) |
The number of directorships a member of the management body can hold at the same time must take into account individual circumstances and the nature, scale and complexity of the [UK RIE’s] activities. |
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