Investment Management in Financial Services UK

FCA competition study seeks better value for money in the asset management industry

The Financial Conduct Authority (FCA) published terms of reference on 18 November 2015 for its market study into asset management. The study will focus on: (i) how asset managers compete to deliver value for money; (ii) whether asset managers are willing and able to control costs and quality along the value chain; and (iii) the effect of investment consultants and other advisers on competition for institutional asset management. Across these topics, the FCA will also consider whether any barriers to innovation or technological improvements are preventing investors from getting better value for money.

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Posted on 19/11/2015 | 0 Comments

Navigating MiFID II | Strategic decisions for investment managers


MiFID II will have significant and wide-ranging implications for the strategy, operations, conduct and governance of a broad range of firms in Europe. It raises many important questions for the investment management industry. What are the key challenges and implications of MiFID II? How can investment managers gain a competitive advantage? And how much progress have investment managers made in implementation? We discussed these questions with 15 investment managers and two independent external experts to inform our new paper Navigating MiFID II - Strategic decisions for investment managers. The key findings are highlighted below.

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Posted on 26/10/2015 | 0 Comments

GIE bulletin - Draft AEOI guidance released


On 17 September 2015, HM Revenue and Customs (HMRC) released their draft guidance on the Automatic Exchange of Financial Account Information guidance. The guidance is intended to help Financial Institutions (FIs) with the four different Automatic Exchange of Information regimes; the US Foreign Account Tax Compliance Act (FATCA), the Crown Dependencies and Overseas Territories (CDOT) and the Common Reporting Standards (CRS) and the EU Directive on Administrative Cooperating (DAC) in tax matters.

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Posted on 22/10/2015 | 0 Comments

Complaint handling | the importance of a strategic approach to complaint reduction


Complaint reduction should be a priority for every firm. A robust and structured complaint reduction strategy can deliver many advantages, for example:

  • The  customer experience is improved as issues which could have caused complaints are identified and resolved.
  • The morale of front-line staff can improve if they are given the knowledge and skills to resolve customer concerns before they become complaints.
  • The potential to reduce reputational risk through the identification and elimination of common complaint causes, leading to less likelihood of negative regulatory or media activity.
  • A potential reduction in complaint processing costs as incoming volumes, ombudsman referrals and re-worked complaints decrease.

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Posted on 30/09/2015 | 0 Comments

Funding our future | The role of investment management in meeting the long-term savings challenge


By 2050, the UK population is projected to grow by almost 20%, to 77 million. By contrast, the populations in Germany, Italy, and the Netherlands are projected to decline. The investment management industry stands to benefit from the long-term opportunity presented by population growth in the UK, in spite of the challenges brought on by changing regulation, the pace of innovation, and the growing demand for low-cost products and services.

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Posted on 14/09/2015 | 0 Comments

Qualifying securitisation | What is it and what does it mean for the market?


In September 2015 the EU Commission is expected to bring forward a legislative proposal in on ‘high-quality’ securitisation as part of the Capital Markets Union. The Commission suggests it may be possible to incentivise the issuance of high quality securitisation through a differentiated capital charge relative to standard securitisation. This in turn could re-invigorate the European securitisation market.

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Posted on 29/06/2015 | 0 Comments

Management information for conduct risk: Underpinning better decision-making

MI for CR image

Regulators are placing increasing emphasis on the management of conduct risk within financial services firms. Central to this is the right management information (MI). The importance of MI is also set to increase in the UK under the Senior Managers Regime (SMR) and Senior Insurance Managers Regime (SIMR), where strong conduct risk MI will help Senior Managers to demonstrate that they have taken reasonable steps to understand conduct risks and that they have put in place appropriate controls.

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Posted on 29/04/2015 | 0 Comments

Automation will change the character of London businesses | How will Financial Services adapt to the new environment?

London futures image

Since the Industrial Revolution, technological advances have transformed business and commerce, and changed the character of jobs that people do. With the rapid progress of digitisation, a further period of major transformation is under way. London, its Financial Services industry included, will inevitably feel the change and will need to respond.

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Posted on 1/04/2015 | 1 Comments

EBA guidelines on limits on exposures to shadow banking entities


On 19th March the European Banking Authority (EBA) issued a consultation paper which sets out its approach to limiting exposures from banks to the shadow banking sector, proposing that the large exposures regime be used to restrict exposures, in addition to existing Pillar II requirements.

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Posted on 26/03/2015 | 0 Comments

FCA Business Plan ǀ What firms can expect from the FCA in 2015-16


Yesterday, the Financial Conduct Authority (FCA) published its Business Plan. Firms should read this document closely, as it outlines the FCA’s view on the key risks to its objectives, its priorities, and the activities it intends to undertake in 2015-16. 

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Posted on 25/03/2015 | 0 Comments