British regulator outlines accountability rules for asset management sector
23 Apr 2018

The Financial Conduct Authority (FCA) has published a set of new rules for the asset management industry, outlining its stance on accountability rules for top executives.

The FCA had previously stated that it would consult on a new specific Prescribed Responsibility (PR) for authorised fund managers (AFMs) as part of its extension of the senior managers and certification regime (SM&CR) across the financial services sector.

“This PR would make clear that a Senior Manager, usually the chair of the board of an AFM, must take reasonable steps to ensure that the firm complies with its obligation to carry out the assessment of value, the duty to recruit independent directors, and the duty to act in the best interests of fund investors,” it explained.

It has now decided to introduce the PR for AFMs.

“We also continue to believe that AFMs should decide for themselves whether to appoint an independent director as chair or not.”

It added that it plans to publish the rest of its final rules for the extension of the SM&CR later this year.

Read more:

UK: FCA issues first serious crime prevention order, bans illegal lender

Unexplained wealth orders: UK working on 100 cases

New head of UK Serious Fraud Office selected

You can claim CPD minutes for reading this article, by signing up to our CPD Wallet

FREE CPD Wallet
Must Read

Elise Bean – The Inside Track – The US Senate’s Investigations into Financial Crime

Elise Bean joins Tom Devlin (from KYC360) in conversation to discuss her new book, highlights of her investigative career, and learning points for both banks and financial crime investigators arising from the PSI's work Read More

Financial crime: Court orders banks to open account for convicted fraudster

The Royal Court in Jersey has ruled that a trust for a convicted fraudster should be allowed to open a bank account on the Isle, despite being denied banking services in other jurisdictions. The case put before the Jersey court is linked to another infamous scam, unrelated to the trust… Read More