One of the most common ways for a jurisdiction to attract the attention—and investment—of a particular industry is to offer them a regulatory regime that is different and provides enough scope for players in the sector to leverage opportunities for growth.
Financial Services
Posted inUnited Kingdom
U.K. financial regulator and Ombudsman set out modernization plan for consumer redress
Changes to the U.K.’s Financial Ombudsman Service, which enables consumers to pursue financial services firms for compensation for unfair treatment, will place greater weight on firms’ compliance. The changes have been prompted in part by the scandal surrounding poor-value car loans provided via dealers.
Posted inFinance
CFTC sues states to assert exclusive jurisdiction over prediction markets
The Commodity Futures Trading Commission filed lawsuits against Arizona, Connecticut, and Illinois last week over the jurisdiction of prediction markets, which have gained popularity in the past year.
Posted inFinancial Services
Hong Kong wants to know if your bank has a culture problem
The Hong Kong Monetary Authority’s Bank Culture Reform program is now in its eighth year. The message for compliance teams everywhere is that regulators are moving from prescribing rules to evaluating whether culture actually works.
Posted inFinancial Services
FinCEN proposes overhaul AML rules, would end 2024 risk assessment requirements
A rule overhaul proposed by the U.S. Treasury Department’s Financial Crimes Enforcement Network is designed to reduce compliance burden and would free up banks from tracking all but the most egregious illicit financial activities.
Posted inRegulatory Policy
EU and U.K. asset managers must adapt for T+1 settlement now to start testing in 2027
On Oct. 11, 2027, the EU, U.K., and Switzerland will move to T+1 securities settlement. The date may seem distant, but the challenges are considerable.
Posted inRegulatory Enforcement
FTC warns VISA and other processors that company policies may lead to debanking
Visa, Mastercard, PayPal, and Stripe have received letters from the Federal Trade Commission, warning the companies to end any policies or terms of service that may result in the “debanking” of customers.
Posted inFinancial Services
Ex-Capula CCO refiles whistleblower retaliation lawsuit
The former U.S. chief compliance officer of London-based hedge fund Capula Investment Management, who alleged he was fired for escalating “significant regulatory compliance issues” to senior management, refiled his lawsuit in state court after his original complaint was dismissed in federal court on jurisdictional grounds.
Posted inFinancial Services
Bank of England tightens liquidity requirements for UK banks
U.K. banks must reassess how quickly they could monetize their assets in the event of a crisis under new rules proposed by the Bank of England’s regulatory body, the Prudential Regulation Authority. The proposals are the first changes to the liquidity rules since these were updated in the aftermath of the 2008 financial crisis.
Posted inEurope
Europe’s groundbreaking crypto rules put at risk by delays in implementation
Europe may have taken the lead in attempting to regulate cryptoasset firms before any other major jurisdiction, but a year after the ground-breaking rules came into force, it does not necessarily follow that they are robust or that the industry they are meant to hold accountable is embracing them.