FCA warns CEOs to tackle non-financial misconduct

The FCA has warned CEOs that how a firm handles non-financial misconduct is indicative of a firm's culture. It is the FCA's view that embedding healthy cultures includes, therefore, taking steps to address the discrimination, harassment and bullying that remains "prevalent" in firms. In a 'Dear CEO' letter (the Letter), which follows recent incidents in the wholesale general insurance sector, the FCA considers the need for fundamental change in firms' culture and calls on leaders to bring about that change. Read more

FCA Deploys Temporary Intervention Powers to Ban Mass Marketing of Mini-Bonds

On 26 November 2019, the FCA announced that it would use its temporary intervention powers to restrict the mass marketing of speculative mini-bonds to retail customers. Although the intervention will allow the promotion of unlisted speculative mini-bonds to sophisticated and/or high net worth individuals, marketing materials which are produced by or approved by an authorised firm will also have to include a specific risk warning and disclose costs or payments made to third parties that are deducted from investors' money. Read more

Hong Kong SFC launches key risk indicator platform to enhance risk monitoring

Last Friday, the Securities and Futures Commission (SFC) issued a circular to announce the launch of a key risk indicator (KRI) platform to collect and analyse KRI data from selected licensed corporations (LCs). The platform is aimed at facilitating the SFC’s supervision of global firms which are exposed to the changing dynamics of global markets. … Read more