FCA

collateral, FCA, Securities Lending, title transfer

We are sending this letter to you and other FCA-authorised firms acting as brokers in wholesale financial markets, who currently, or may in the future, offer services (including clearing broker…

LIBOR “end game” strategizes for fallbacks, compounded indexes and tough legacy contracts (Premium)

July 15, 2020

Derivatives, ESTR, LIBOR, SOFR, SONIA

€STR, alternatives to LIBOR, benchmark reform, Central Banks, FCA, SARON, SOFR, topstory

Far from throwing the LIBOR transition off track, COVID-19 has only made it more pressing as authorities consider how scarce term lending transactions became during the global pandemic’s period of…

FCA gives MTF license to derivatives venue Crypto Facilities

July 7, 2020

crypto derivatives, crypto exchanges, Crypto Facilities, crypto regulation, FCA, Kraken

Crypto Facilities, a subsidiary of Kraken, the largest cryptocurrency exchange in Europe by euro trading volumes, has become the first cryptocurrency company to obtain a Multilateral Trading Facility (MTF) license…

UK, Italian and Spanish regulators temporarily ban short selling on 154 securities

March 13, 2020

The FCA notifies that it temporarily prohibits short selling in the following instruments under Articles 23 (1) and 26 (4) of Regulation (EU) No 236/2012 of the European Parliament and of the…

FCA begins review on data in wholesale markets

March 10, 2020

FCA, UK

The FCA is using its Call for Input (CFI) to better understand how data and advanced analytics are being accessed and used, the value offered to market participants and whether…

How prescriptive regulatory trends are emerging for tech (Premium)

February 26, 2020

Technology

artificial intelligence, bigtech, FCA, fintech, QuantLR, Quantum Computing, regtech, topstory

Regulators are considering a more prescriptive approach to tech supervision in ways that might surprise. We attended a series of conferences that highlighted how trends are shaping out even as…

FCA researchers say eliminating latency arbitrage could reduce global equity trading costs $5bn/a

January 28, 2020

FCA, HFT, latency arbitrage

Researchers from the Financial Conduct Authority used stock exchange message data to quantify the negative aspect of high frequency trading, known as “latency arbitrage.” The key difference between message data…

FCA and Bank of England announce proposals for data reforms across the UK financial sector

January 7, 2020

The Financial Conduct Authority (FCA) and the Bank of England (Bank) today outlined their plans to develop their data and analytics capabilities. Both authorities depend on access to high-quality data…

UK regulators consult on operational resilience and third-party risk management

December 5, 2019

Bank of England, FCA, outsourcing, PRA, risk management

The Bank of England (BoE), Prudential Regulation Authority (PRA) and Financial Conduct Authority (FCA) have published a shared policy summary and co-ordinated consultation papers (CPs) on new requirements to strengthen…

FCA publishes user suggestions in advance of data platform overhaul

October 17, 2019

data management, FCA

Suggestions from 1,000+ users and other stakeholders of the FCA’s current data collection platform will help shape how the UK regulator will develop the new platform, with some key changes…

FCA issues one-pager and sets up hotline for Brexit prep

September 12, 2019

Brexit, FCA

The Financial Conduct Authority has published a one-pager on how firms should prepare for Brexit. The UK will leave the EU without an implementation period on 31 October 2019 unless…

FCA gives 18 months phase in for key PSD2 requirement

August 13, 2019

FCA, PSD2

The Financial Conduct Authority (FCA) has agreed a plan that gives the payments and e-commerce industry extra time to implement Strong Customer Authentication (SCA). From 14 September 2019, new European…

Capital markets blockchain weekly roundup

August 1, 2019

AWS, blockchain, CBDC, crypto assets, crypto regulation, FCA, MAS, Project Ubin, settlement, SGX

Our weekly list of announcements about how capital markets and regulators are engaging with digital assets. Crypto fund Incrementum’s report compares Libra v XRP in global currency competition Corporations like…

Manatt: US task force considers fintech regulation

July 19, 2019

FCA, fintech, fintech regulation, OCC, Securities and Exchange Commission, US House

The newly formed US House Financial Services Committee’s Task Force on Financial Technology (Committee) recently held its first hearing, and it included some interesting perspectives from both US and UK…

FCA changing data collection platform

July 18, 2019

News and Notes – Fintech, Uncategorized

data management, FCA

UK regulator Financial Conduct Authority (FCA) will be using new technology and analytical techniques to improve how it regulates and operates in the future, working with the Bank of England…

Capital markets tokenization weekly roundup

July 4, 2019

Binance, CFTC, ErisX, Euronext, FCA

Our weekly list of announcements about how capital markets and regulators are engaging with digital assets. FCA proposes ban on sale of crypto-derivatives to retail consumers The Financial Conduct Authority…

FCA confirms recognition of the FX Global and UK Money Markets Codes

June 26, 2019

FCA, FX Global Code, UK Money Markets Code

Following consultation feedback, the Financial Conduct Authority (FCA) is today confirming that it is recognising the following voluntary market codes of best practice under its codes recognition scheme: FX Global…

Regtech at crossroads: are more prescriptive vendor standards coming?

June 17, 2019

Artificial Intelligence, Technology

artificial intelligence, ASIC, blockchain, FCA, ICMA, machine learning, regtech

It’s becoming apparent that technology alone isn’t the answer for regulatory compliance, so what is? We spoke with JWG Group after its annual RegTech Capital Markets Conference to find out…

BoE official reveals early results of financial AI adoption survey

June 4, 2019

News and Notes, News and Notes – Fintech

AI ethics, artificial intelligence, Bank of England, FCA

Excerpts from speech by James Proudman, executive director of UK Deposit Takers Supervision at FCA Conference on Governance in Banking, June 4 2019 The art of managing technology is an…

FCA: over £27 million reported lost to crypto and forex investment scams

May 21, 2019

Action Fraud, crypto assets, FCA, fraud, FX

Over £27million ($34.4mn) lost to scams involving crypto and forex investments in 2018/19 Victims lost on average over £14,600 last financial year Reports tripled to over 1,800 from the year…

FCA announces GFIN cross-border testing pilot next steps

April 30, 2019

FCA, fintech regualtion, GFIN

The FCA announced the next steps as part of the Global Financial Innovation Network (GFIN or Network) cross-border testing pilot. In total, 44 unique applications were submitted across the 17…

Canadian and UK regulators to cooperate on fintech sandbox

April 22, 2019

CSA, FCA, fintech

The securities regulatory authorities in Alberta, British Columbia, Manitoba, New Brunswick, Nova Scotia, Québec and Saskatchewan (participating jurisdictions) today announced a co-operation agreement with the UK’s Financial Conduct Authority (FCA).…

FCA considers fintech regulation, increases use of advanced analytics

April 19, 2019

advanced analytics, Data, FCA, regtech

The Financial Conduct Authority (FCA) published its business plan for 2019/20, which outlines the key priorities for the coming year. While Brexit transitioning remains a major focus, there are also…

FCA’s digital reporting platform uses blockchain and APIs

March 26, 2019

APIs, blockchain, DRR, FCA, regulatory reporting

Every year financial firms and regulators face increased challenges around regulatory reporting. The current manual process is complex with over 20,000 rules across 58,000 firms and it’s only growing. Each…

FCA sandbox startup TokenMarket in UK’s first STO

February 19, 2019

FCA, STOs, TokenMarket

Global investment platform, TokenMarket announced plans to raise up to £10 million ($12.9mn) via a Security Token Offering (STO). The offering, which is open to professional and self-certified investors, landmarks…

FCA authorizes UK firm to trade cryptocurrency CFDs

February 2, 2019

B2C2, CFDs, cryptocurrencies, derivatives, FCA

Cryptocurrency liquidity provider B2C2 announced that its UK subsidiary, B2C2 OTC, is now authorized and regulated by the UK’s Financial Conduct Authority to arrange and deal in Contracts for Difference…

FCA encourages prompt action on LIBOR fallback plans

January 29, 2019

FCA, LIBOR

LIBOR transition and contractual fallbacks Speech by Edwin Schooling Latter, Director of Markets and Wholesale Policy at the FCA, delivered at the International Swaps and Derivatives Association (ISDA) Annual Legal…

FCA cryptoassets consultation is first step to regulated institutional marketplace

January 23, 2019

cryptoassets, FCA, Linedata

The FCA issued a consultation on guidance, which, once finalized, will set out the cryptoasset activities it regulates. The guidance will help firms understand whether their cryptoasset activities fall under FCA…

FCA flags “significant” applications and harmful effects of advanced tech in wholesale markets

January 15, 2019

artificial intelligence, Big Data, blockchain, FCA, GDPR, outsourcing, Sector Views

The FCA released its Sector Views report for January 2019. It identified a number of risks for wholesale financial markets. In the Investment Management Section, the FCA identified automation as…

FT: FCA probes and warns dozens of cryptocurrency transacting firms

January 6, 2019

cryptocurrencies, FCA

The UK financial regulator is probing more than a dozen companies in connection with cryptocurrency transactions amid concerns about growing market risks. The Financial Conduct Authority confirmed it was investigating…

FCA proposes permanent measures for retail CFDs and binary options

December 10, 2018

CFDs, FCA

The Financial Conduct Authority (FCA) is proposing rules to address harm to retail consumers from the sale of certain complex derivative products with the publication of two consultation papers. The…

FCA report warns on increase in cyber attacks and technology outages

November 29, 2018

cybersecurity, FCA

To gain a better understanding of the industry’s resilience, the Financial Conduct Authority surveyed 296 firms during 2017 and 2018 to assess their technology and cyber capabilities. The survey looked…

FCA’s Cryptoasset Taskforce report reveals potential ban on derivatives

October 30, 2018

cryptoasset, derivatives, FCA, UK Treasury

The Financial Conduct Authority (FCA) has, as part of a finance ministry-led Cryptoasset Taskforce, published a report on the UK’s policy and regulatory approach to cryptoassets. The Taskforce Report has…

FCA praises e-money sector for tackling money laundering and terrorism financing risks

October 7, 2018

FCA, money laundering, terrorism financing

The aim of the Financial Conduct Authority’s thematic review was to increase its understanding of the risks of money laundering and terrorist financing in the e-money sector. The UK regulator…

UK Treasury committee says “Wild West” cryptoassets should be regulated

September 19, 2018

Bank of England, cryptocurrencies, FCA, UK Treasury

The UK’s Treasury Committee published a unanimously-agreed report on crypto-assets for its Digital Currencies inquiry. The Treasury Committee provides oversight of public bodies such as the UK’s finance ministry, as…

FCA chief warns on crypto assets, cyber and data risks

September 12, 2018

Andrew Bailey, FCA, operational risk

Excerpts from speech by Andrew Bailey, chief executive of the FCA, delivered at our 2018 Annual Public Meeting on 11 September 2018. Operational resilience and the consequences of its loss:…

Global fintech “sandbox” boosted by a dozen regulators and friends

August 8, 2018

FCA, fintech regulation, Global Financial Innovation Network

The Financial Conduct Authority and 11 financial regulators and related organizations have launched the consultation phase of a fintech initiative: the Global Financial Innovation Network (GFIN). This builds on the…

FCA warns on cryptocurrency derivatives and ICO authorization requirements

April 9, 2018

News and Notes, News and Notes – Fintech

cryptocurrency derivatives, cryptocurrenices, FCA, ICOs

The FCA released a statement expressing it is “aware” of a growing number of UK firms offering so-called cryptocurrencies and cryptocurrency-related assets. Cryptocurrencies are not currently regulated by the FCA…

Could LIBOR legally be a synthetic? The FCA says its time to take a close look

March 5, 2018

Interest rates, LIBOR

Andrew Bailey, Benchmarks, FCA, LIBOR, SOFR, SONIA, topstory

The UK Financial Conduct Authority’s (FCA) Andrew Bailey has suggested that some version of an interest rate benchmark be legally considered LIBOR after 2021 for the purpose of legacy contracts,…

Could LIBOR legally be a synthetic? The FCA says it’s time to take a close look

March 5, 2018

Interest rates, LIBOR

Andrew Bailey, Benchmarks, FCA, LIBOR, SOFR, SONIA, topstory

The UK Financial Conduct Authority’s (FCA) Andrew Bailey has suggested that some version of an interest rate benchmark be legally considered LIBOR after 2021 for the purpose of legacy contracts,…

FCA’s Bailey discusses risk free rates, considers synthetic LIBOR proxy

March 2, 2018

alternatives to LIBOR, FCA

Excerpt from speech by Andrew Bailey, chief executive of the FCA, at the ACME, ICMA and ISDA breakfast briefing: LIBOR reference rates are no longer supported by significant volumes on…

Reuters: UK regulator to check MiFID II reporting data quality shortly, despite systems glitches

February 28, 2018

The Financial Conduct Authority will begin data quality checks on MiFID II transaction reports even though it has experienced some systems glitches. Connectivity issues suffered by its Market Data Processor (MDP),…

FCA calls for views on machine readable tech for regulation

February 23, 2018

FCA, machine learning

The FCA is calling for views on a proof of concept that could potentially make it easier for firms to meet their regulatory reporting requirements and improve the quality of…

BoE and FCA launch next phase of LIBOR transition work

November 30, 2017

alternatives to LIBOR, BoE, FCA, SONIA

The Bank of England and the Financial Conduct Authority (FCA) announced the next phase of work with market participants on LIBOR transition. From January 2018, the market-led Working Group on Sterling…

FCA confirms LIBOR support until 2021

November 27, 2017

alternatives to LIBOR, FCA

The Financial Conduct Authority (FCA) has confirmed that all 20 of the panel banks have agreed to support the LIBOR benchmark ensuring the sustainability of the rate until 2021. Andrew…

R3 unlocks regulatory reporting on Corda with Financial Conduct Authority and two global banks

October 2, 2017

Richard Stinchfield

Corda, FCA, R3

September 12, 2017 (London/New York/Singapore) – Enterprise software firm R3, the Financial Conduct Authority (FCA), RBS and another major global bank have built a prototype application for regulatory reporting of mortgage…

FCA chief says LIBOR out by 2022 in favour of transaction-based approach

July 27, 2017

alternatives to LIBOR, Andrew Bailey, FCA, LIBOR

In a speech at Bloomberg in London, Andrew Bailey examined important questions about the future of LIBOR, and commented that while significant improvements have been made to since April 2013, the absence…

UK FCA finds most firms following regulatory requirements in dividend arbitrage

June 7, 2017

Dividend Arbitrage, FCA, UK

Most rms executing transactions with, or on behalf of clients engaged in dividend arbitrage, appear to comply with our requirements. However, a small number of rms may not have undertaken…

UK FCA Proposes Clampdown on retail CFDs

December 7, 2016

Martin Walker

Derivatives, Investments, UK

CFDs, Contracts for Differences, FCA, topstory, UK