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.

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