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On July 18, 2024, the Financial Conduct Authority (FCA) launched a consultation to enhance the treatment of politically exposed persons (PEPs) by financial firms, including banks, payment firms, and lenders. This follows concerns about the disproportionate checks and unfair treatment faced by PEPs and their families. Key Highlights: - Tighten the definition of a PEP to the minimum required by law. - Promptly review the status of PEPs and their associates once they leave public office. - Communicate effectively with PEPs, explaining actions taken. - Assess the actual level of risk posed by customers and ensure information requests are proportionate. - Improve training for staff who deal with PEPs. Why It Matters: "Public service comes with greater scrutiny, but it must be proportionate and fair," said Sarah Pritchard, FCA's executive director of markets and international. The consultation aims to ensure a balanced approach that does not disadvantage those in public roles. The consultation is open for input until October 18, 2024. Firms are encouraged to implement improvements immediately. Follow Global Regulatory Insights for the latest in regulatory news and insights. #FCA #PEPs #FinancialRegulation #Compliance #RiskManagement #Consultation #LegalUpdates #GRI

🎉 I’m happy to share that I completed the "Enhancing Financial Inclusion with a Risk-Based Approach" certification from #CAMS! This has helped me understand how to support financial inclusion while managing risks. #FinancialInclusion #RiskManagement #Certification #ContinuousLearning #ProfessionalDevelopment #CareerGrowth #Finance #Banking #Compliance #Education #Networking #CAMS

Our latest Financial Services Compliance newsletter is out now. Stay up-to-date with the latest FS news, including: ▪ASIC release proposed update on digital asset guidance ▪ASIC flags key observations from inaugural IDR data publication ▪Financial adviser charged with dishonest conduct ▪ASIC announces new enforcement priorities Receive these updates direct to your inbox by subscribing via this link: https://lnkd.in/gh8Pscsr Richard Beissel, Richard Hopkin, Emma Johnson, Zac Mizgalski, Claudia Van Eckeren, Monique Micklethwaite, Chloe Kowalczuk #Compliance #FinancialServices #RegulatoryUpdates #RiskManagement #AFSL #FinancialAdviser  

🔒 Ensuring the Safety of Client Funds: Best Practices and Regulatory Insights 🔒 We understand the importance of safeguarding client funds. Our latest blog delves into the best practices and regulatory insights to protect assets, comply with regulations, and stay ahead of upcoming legislation. Discover how segregated accounts, regular reconciliation procedures, and periodic audits can help maintain the integrity and security of client funds. Learn about the upcoming PSD3 and PSR legislation and how ARQ can assist with gap analysis, compliance services, training, and risk solutions. Read the full article here: https://lnkd.in/dsyagJeE #ARQGroup #PartnershipInGrowth #ARQInsights #ClientFunds #FinancialSecurity #Compliance #Regulations #PSD3 #PSR #FinancialServices #RiskManagement

In 2020 alone, financial institutions globally faced over £30 billion in fines due to non-compliance with various regulations, a significant portion of which was tied to failures in consumer duty and risk management. This staggering figure highlights not just the financial implications but also underscores the broader impacts on brand reputation and customer trust. For financial firms, adhering to consumer duty isn't just about meeting legal requirements; it's about fostering trust and ensuring the long-term loyalty of customers. Failure to comply can lead to severe financial penalties, damage to reputation, and lost business opportunities as consumers increasingly favor institutions that prioritize their interests and rights. As the financial industry continues to evolve, integrating robust consumer duty practices into risk management strategies is not optional—it’s essential. Doing so not only mitigates the risk of penalties but also positions a firm as a trustworthy and customer-centric leader in a competitive market. Book a demo with Albany Group today to find out how Conect can help you stay compliant with consumer duty https://buff.ly/3yn9vmM #Finance #RiskManagement #ConsumerDuty #Compliance #FinancialServices

Between September 2023 and July 2024, the UK's Financial Conduct Authority (FCA) reviewed firms' approaches to PEP customers to evaluate their adherence to the existing guidance. Findings included: ❌ Some firms included definitions for PEPs and RCAs that were not in line with the regulations and the FCA guidance ❌ A small number of firms were not effectively considering the customer’s actual risk in the assessment and risk rating ❗ Some firms need to ensure they update their policies to reflect the legislative developments and recent amendment to Regulation 35 of the UK MLRs With financial institutions’ management of PEPs subject to heightened scrutiny and new regulatory requirements, FINTRAIL summarises the key takeaways from the FCA’s most recent guidance in our latest blog: 👉 https://lnkd.in/eTSZEGgV #financialcrime #compliance #peps

Unlock the Power of Due Diligence with our Manual! 🔍 Are you a financial professional, personal investor, or investigator looking to understand the art of due diligence? Look no further! Our comprehensive manual is your guide to navigating the complexities of identifying and mitigating risks in business relationships, especially in high-risk scenarios. 🏢 From a deep dive into client and corporate structure examinations to strategies for preventing financial crimes like money laundering and fraud, this manual has it all. Learn how to apply a risk-based approach, comply with stringent regulations, and implement effective strategies with our practical processes. 🛡️ Perfect for financial institutions determined to safeguard their operations and boost regulatory compliance. Don’t miss out on this invaluable resource! 👉 Grab your copy here: https://lnkd.in/e9d-UZ8d #Finance #DueDiligence #RiskManagement #Compliance #FinancialEducation #Investing #AntiFraud #MoneyLaunderingPrevention #BusinessRisk #FinancialCrimePrevention

The case study below highlights the FCA's focus on ensuring firms have robust systems and controls in place to prevent financial crime and market abuse, and the significant penalties imposed when firms fail to meet these standards.   Floris Jakobus Huisamen: Date: 13 February 2024 Penalty: Financial penalty of £31,800. Order prohibiting Mr Huisamen from performing any function in relation to any regulated activities carried on by any authorised or exempt person or exempt professional firm. Reason: Mr Huisamen was appointed as a Director of London Capital & Finance plc (LCF) on 1 July 2016 with the remit for Risk and Compliance. On 11 October 2023 the authority gave LCF a final notice for failing to ensure its financial promotions were fair, clear and not misleading over the period 7 June 2016 to 10 December 2018. As a director Mr Huisamen played a key role in the sign off process for confirming that LCF financial promotions complied with the financial promotion rules, including the fair, clear and not misleading rule. Regulatory Reference: Penalties imposed under section 66 & 56 of the FSMA respectively. Key Issues: During the relevant period, LCF failed to ensure that its financial promotions were fair, clear and not misleading, thereby breaching COBS 4.2.1(1)R. ComplyPortal understands the critical importance of rigorous and continuous compliance monitoring and reporting. We recognise that adhering to regulatory requirements is not just about avoiding penalties but also about maintaining trust and credibility in the market. Our tried and tested solution is designed to help firms meet the complex requirements set by regulators. By providing comprehensive tools for compliance monitoring, reporting and audit trails,   To learn the full details of this case and others along with how they could have been prevented, read the full article: https://lnkd.in/eKtEQ9D7 #FCA #compliancemonitoring #compliancemanagement #regulatorycomplianceuk #complyportal #complianceoffice #complianceautomation #regtech #fintech #financialpromotion #COBS #FinalNotices

Ensuring Financial Integrity: The Role of Audits and Certification in Banking Audits and certification play a critical role in the banking sector, ensuring financial integrity and regulatory compliance. Through meticulous examination of financial records and operations, auditors detect and address discrepancies, promoting transparency and accountability. Certification confirms that a bank's financial statements conform to applicable laws and regulations, providing assurance to stakeholders and investors. This rigorous process mitigates risks, safeguards against financial instability, and upholds industry standards. By validating and enhancing financial practices, audits and certification build a resilient banking environment, fostering trust and stability within the financial system. #TQV #Banking #Audits #Certification #FinancialIntegrity #RegulatoryCompliance #RiskManagement #FinancialStability 

I speak to lots of businesses on a daily basis and most are confident that they've had no financial leakage over the last 6 or 7 years - of course this is excellent news! 😊 However, in over 96% of the historic payment reviews we conduct, we find a variety of payment discrepancies that have slipped through. 🔍 We're all human, mistakes do happen from time to time, often undetected......this is where we can help identify, recover and educate you from what we find. 💡 And.......it's completely risk free! ✅ #AccountsPayable #WMA #PaymentsAudit