FCA outlines its updated approach to alternative asset management supervision

In a "Dear CEO" letter sent in early August 2022, the FCA outlined the robust approach it will take to the supervision of firms in its alternative asset management portfolio – namely FCA authorised hedge funds, private equity firms and firms that manage and advise alternative assets directly. Relevant firms can expect the FCA to focus on excessive investment risks to retail and elective professional investors, conflicts of interest, inadequate mitigation against ongoing market disruption, poor market abuse controls, and culture, as well as ESG disclosures. Read more

FCA publishes policy statement on improvements to the Appointed Representative regime

The Financial Conduct Authority (FCA) has this month published its policy statement (PS22/11) confirming its final rules reshaping the Appointed Representative (AR) regime to make authorised financial firms acting as principal more responsible for their ARs. The FCA had previously set out its proposals and invited feedback in a consultation paper (CP21/34) in December 2021. In seeking to address harms and protect consumers, these proposals focused on: (i) collecting additional information on ARs and strengthening reporting requirements for principals; and (ii) clarifying and strengthening the responsibilities and expectations of principals. Read more

FCA publishes final IFPR remuneration disclosure rules

The FCA has now published its final rules on remuneration-related disclosures under the Investment Firms Prudential Regime (“MIFIDPRU”) that will apply to UK investment firms for performance years commencing on or after 1 January 2022. Read more

IFPR: FCA publishes final Policy Statement 21/17

With a month to go until the Investment Firms Prudential Regime (IFPR) starts to apply on 1 January 2022, the FCA has published its final policy statement (PS21/17). PS21/17 contains final rules and feedback to the FCA's third consultation on IFPR, CP21/26. The FCA has made some relatively minor adjustments and clarifications and affected firms should consider how to factor in these changes within their IFPR implementation. Read more