PSD2 | Are firms ready?

PSD2

Two months from today, on 13 January, the revised Payment Services Directive (PSD2)1 will come into effect across the European Union (EU). To understand how prepared the industry is for this deadline Deloitte surveyed over 70 firms across 18 European countries, between August and September, to gather their views.

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Posted on 13/11/2017 | 0 Comments

Millennial money – robo-advice for simple financial planning

Millennial money

In our recent report, “The next frontier”, we detailed our views on where automated financial advice - more commonly known as ‘robo advice’ - could spread beyond investments. In this article we take a closer look at simple financial planning – i.e. financial decisions that can be made based on short advice processes, such as choosing between investing in an ISA and paying down debt. To form our views we undertook interviews with experts, key players and start-ups, as well as a survey of over 2,000 consumers.

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Posted on 09/11/2017 | 0 Comments

Open Banking | Disruption is afoot for regulators as well as banks

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The much anticipated “Open Banking” revolution will start in 2018 and will have profound implications for the retail banking sector. But what is perhaps less commonly acknowledged is that Open Banking has the potential to disrupt its own architects too. As the dynamics in retail banking change as a result of new products and services made possible by Open Banking, regulators too may need to rethink the way they operate and how they should redesign themselves to remain fit for the future.

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Posted on 07/11/2017 | 0 Comments

The impact of IFRS 9 on capital and regulatory reporting

The impact of IFRS 9

Background

Regulatory reporting and disclosure requirements will change significantly for firms under IFRS 9 as highlighted by recent European Banking Authority (EBA) and Prudential Regulatory Authority (PRA) publications.

IFRS 9 determines how firms should classify and measure financial assets and liabilities for accounting purposes and includes three main areas: Classification & Measurement, Impairment and Hedge Accounting rules. These accounting changes are reflected in regulatory reporting across FINREP, COREP and Pillar 3 disclosures, where some of the first results will be observed.

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Posted on 06/11/2017 | 0 Comments

Root Cause Analysis (RCA) | Improving complaint categorisation

Root Cause Analysis (RCA)  improving complaint categorisation

This is the first in a series of blogs in which I will share some of my thoughts about good complaint RCA practices observed in the course of our work across a wide range of firms.

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Posted on 31/10/2017 | 0 Comments

A New Regulatory Capital Regime for MiFID Investment Firms - EBA’s Final Recommendations

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The European Banking Authority (EBA) has published its proposal for a new prudential framework for MiFID investment firms. The recommendations have been submitted to the European Commission (‘the Commission’), which is expected to propose legislation by the end of the year. Industry does not anticipate implementation to occur before 2020.

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Posted on 20/10/2017 | 0 Comments

A New European System of Financial Supervision: European Commission proposes changes to the powers, governance and funding of the ESAs

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The European Commission has proposed a legislative package that is intended to increase substantially the powers of the three European Supervisory Authorities (ESAs)1 and to replace the funding currently provided by national competent authorities (NCAs) with direct funding by firms.

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Posted on 09/10/2017 | 0 Comments

The Building Society Risk Function – How effective is yours?

Risk management challenge

This blog is part of a series of insights on Building Society risk management.

One of the key focus areas of regulatory reviews performed over the last 18 months has been the effectiveness of the Risk Function. As part of the feedback issued to Building Societies following their supervisory review and evaluation process, the Prudential Regulation Authority (‘PRA’) has emphasised that it considers an effective Risk Function to be crucial to the future well-being of societies and the successful delivery of their business strategies.

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Posted on 02/10/2017 | 0 Comments

Stepping up to the risk management challenge for Building Societies

Risk management challenge

Over the last 18 months, the level of regulatory focus on the adequacy of the design, implementation and operating effectiveness of Risk Management Frameworks within the Building Society sector, and the adequacy of their Risk Functions, has heightened significantly. As a direct consequence, these matters are high on the agenda of Boards, Risk Committees and Audit Committees across the sector.

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Posted on 02/10/2017 | 0 Comments

FCA’s competition remit shows its teeth: investment consultancy market investigation is launched

FCA

On 14 September, the Financial Conduct Authority (FCA) announced its final decision to make a Market Investigation Reference (MIR) to the Competition and Markets Authority (CMA) in relation to investment consultancy and fiduciary management services. This is the first time that the FCA has made such a reference to the CMA. The statutory deadline for the investigation is 13 March 2019.

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Posted on 25/09/2017 | 0 Comments