Ouch! FCA: Financial Conduct Authority delivers another blow to Authorised Fund Managers with Assessment of Value review

Ouch! FCA delivers another blow to AFMs with Assessment of Value review

Regulatory Insights, Regulatory Reporting

Last week the FCA published the results of their review on ‘host’ Authorised Fund Management firms’ which concluded with the FCA wanting to see “significant improvements” with many currently failing to meet the FCA standards. This week, the FCA have issued their findings on the review of AFMs Assessment of Value reports. Unfortunately, this review does not provide any easier reading and delivers another huge blow to the industry.

Regulatory Round-up: March 2021

Regulatory Round-up: March 2021

Regulatory Round-ups

With the end of the first quarter of the year, March brought with it a number of developments on a range of areas, including: UCITS & AIFMD, Money Market Fund Regulation, Liquidity Risk Management, Short Selling, ESG and ELTIF Regulation. See below this month’s regulatory round-up to read about these developments and many more we tracked throughout March.

UK 0.1% Short Selling Notification Threshold Here to Stay social share image

UK 0.1% Short Selling Notification Threshold Here to Stay

Investment Compliance, Regulatory Insights

This week, on the 1st February 2021, the Statutory Instrument (SI) amending the initial notification threshold under Article 5(2) of the Short Selling Regulation (SSR) entered into force. The SI amends the reporting of net short positions to the Financial Conduct Authority (FCA), in relation to the issued share capital of a company that has shares admitted to trading on a trading venue, from 0.2% to 0.1%.

Are you complying with the cost related provisions of the UCITS framework?

Are you complying with the cost related provisions of the UCITS framework?

Regulatory Insights, Regulatory Reporting

Yesterday, ESMA announced that it will be launching a Common Supervisory Action (CSA) with national competent authorities (NCAs) on the supervision of costs and fees of UCITS across the European Union. The CSA aims to assess the compliance of supervised entities with the relevant cost-related provisions in the UCITS framework, and the obligation of not charging investors with undue costs.

During the CSA, national competent authorities will take into account the supervisory briefing on the supervision of costs published by ESMA in June 2020.

Asset Managers Need to Step Up Their Liquidity Efforts – ESMAs Five Key Priorities

Asset Managers Need to Step Up Their Liquidity Efforts – ESMA’s Five Key Priorities

Regulatory Insights, Risk Monitoring

Throughout the year regulators have focused on liquidity, and as this year draws to a close, that focus shows no signs of diminishing. “Asset managers need to step up their efforts to ensure the liquidity of their funds is adequately managed and that they are prepared for future shocks” – that was the closing remarks from Steven Maijoor’s Keynote Address at EFAMA’s Investment Management Forum which heavily focused on liquidity risk.