The Client Assets Sourcebook (CASS) – Origins and Objectives The CASS was instituted by the Financial Conduct Authority (FCA), and represents a fundamental cornerstone in the regulatory framework of the United Kingdom’s financial sector. In the wake of the global financial crisis, there emerged an exigent demand for a more structured approach to ensuring that […]

Introduction and Rationale The Common Reporting Standard (CRS), an initiative under the aegis of the Organisation for Economic Co-operation and Development (OECD), emerged from the increasing need to address the widespread issue of tax evasion on a global scale. In the wake of the 2008 financial crisis, international attention sharply focused on the scale of […]

What is Customer Due Diligence?   Customer Due Diligence (CDD) represents a foundational step for financial institutions in understanding and verifying the identities of their customers or potential customers. Rooted in regulatory imperatives such as anti-money laundering (AML) measures and Know Your Customer (KYC) directives, CDD serves as a mechanism to unearth and assess any […]

Introduced in 2007, the Markets in Financial Instruments Directive (MiFID) was an instrumental piece of European Union (EU) legislation, with its primary objective to ensure a robust level of investor protection across the entire European Economic Area (EEA). This directive emphasised the fiduciary duties of financial firms by stipulating an obligation to achieve the best […]

SOUTH AMERICA   In South America, the landscape of financial crime is complex, and money laundering constitutes a significant part of this problem. The Global Financial Integrity’s report in 2021 estimated that the illicit financial flows from developing countries, which include a substantial number from South America, amount to approximately $1 trillion annually.   High-profile […]

In July 2022, the Financial Conduct Authority (FCA) established the definitive regulations and advice pertaining to a fresh Consumer Duty, designed to instate elevated and more distinct standards of consumer protection across the sphere of financial services, whilst also necessitating firms to prioritise the needs of their clientele above all else. This new set of […]

ASIA   In Asia, financial crime continues to be a pervasive concern, with money laundering being particularly problematic. The UN Office on Drugs and Crime (UNODC) estimated that the annual amount of money laundered globally is approximately 2 to 5% of global GDP, or $800 billion to $2 trillion USD in 2021 (UNODC, 2021). Given […]

Introduction Insider dealing and market manipulation are two prominent, yet unethical practices in financial markets. Insider dealing refers to the trading of a public company’s stock or other securities by individuals with potential access to non-public, price-sensitive information. This practice, viewed as an infringement of fair market operations, is strictly regulated by a strong regulatory […]

What is The Sustainable Finance Disclosure Regulation? SFDR represents a key pivot in the realm of financial transparency. Implemented by the European Union in March 2021, SFDR is a part of a broader action plan to integrate environmental, social, and governance (ESG) considerations into the financial decision-making process. The regulation necessitates financial market participants and […]

Introduced in the UK from 2016 by the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA), the Senior Managers and Certification Regime (SM&CR) is a regulatory framework designed to enhance the accountability and conduct of individuals working in the financial services industry. SM&CR replaced the Approved Persons Regime (APR) that applied to certain […]