The European Central Bank (ECB) and the European Insurance and Occupational Pensions Authority (EIOPA) have on 18 December released a joint paper with a proposal designed to reduce the economic impact of natural catastrophes in the EU. The paper builds on the policy options presented in a 2023 joint ECB-EIOPA discussion paper which advocated a ladder approach to natural catastrophe insurance involving both the private and public sectors. Continue reading…

by Uzi Rosha

The intensified focus on conflicts of interest reflects its commitment to safeguarding investors and ensuring market integrity. For investment advisers, managing conflicts is not merely a regulatory obligation, but a fiduciary imperative. Recent enforcement cases have vividly highlighted the critical need for investment advisers to proactively address conflicts of interest. Firms that neglect to disclose or manage these conflicts are increasingly finding themselves facing severe penalties, significant reputational damage, and, most importantly, the erosion of investor trust. Both the regulators and institutional investors have made it clear: There is no room for ambiguity or complacency when it comes to conflicts of interest. Continue reading…

According to new research from Quantios, the trust and company service provider (TCSP) sector is split when it comes to AI. Only 53% of companies are either actively implementing AI solutions or developing an AI strategy. This leaves 47% of firms potentially lagging behind in their digital transformation journey. As demand for innovation soars, the pressure to invest in cutting-edge technology is mounting. Nearly a quarter (24%) of respondents agree that client digital expectations have grown this year, compared to only 9% last year – the biggest increase since Quantios began its research.  Continue reading…

In a concerted operation, Belgian and Dutch authorities have cracked down on an internationally operating ‘phone phishing’ gang, leading to the arrest of eight suspects. In addition to ‘phishing’, or trying to gain access to bank or financial data by phone or online, the suspects also visited mainly elderly victims at their homes, pretending to be bank employees or police officers. Eurojust and Europol coordinated and supported the actions in Belgium and the Netherlands, where 17 places were also searched. Continue reading…

The European Banking Authority (EBA) has recently published the findings from its fourth and final round of reviews of competent authorities’ approaches to tackling money laundering and terrorist financing (ML/TF) risks in the banking sector. With this round, the EBA has now assessed all competent authorities that are responsible for the AML/CFT supervision in thirty EU/EEA member states. Continue reading…

by Uzi Rosha

At the heart of the adviser-client relationship is the fiduciary standard, which obligates advisers to act in their clients’ best interests. It is fundamental to preserving trust and ensuring the integrity of the advisory relationship. This duty extends beyond mere disclosure and requires a proactive approach to managing conflicts. Conflicts of interest are pervasive in the advisory industry, particularly for private fund advisers. By identifying, disclosing, mitigating, and avoiding conflicts of interest, investment advisers can align their practices with regulators’ rigorous standards and protect the interests of their clients. However, it is not always the easiest responsibility to fulfil. Continue reading…

Eurojust, Europol and the European Judicial Network have published the 2024 edition of the SIRIUS European Union (EU) Electronic Evidence Situation Report. First presented at the SIRIUS Annual Conference to an audience of EU law enforcement and judicial authorities, policymakers, and representatives of service providers, the report reflects on the evolving legislative framework and the growing reliance on electronic data in criminal investigations, while highlighting the persistent barriers to effective cooperation in accessing electronic data across borders for investigation and prosecution of crimes.

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by Hassan Zebdeh

Trade-based financial crime (TBFC) is one of the most insidious threats to global finance. This shadowy practice has been plaguing international trade for years, perhaps as long as modern trade itself has existed. It’s the biggest fraud most people never heard of, quietly siphoning away trillions under the radar of even the most vigilant regulators. Continue reading…

The latest Eurobarometer has recently released reveals the highest level of trust in the European Union since 2007 and the highest-ever support for the euro. The survey also shows that Europeans have a more optimistic view about the future. They would like to see a stronger and more independent EU, especially in the face of the current global challenges. Continue reading…

The European Banking Authority (EBA) has on 29 November published the autumn edition of its risk assessment report (RAR). The Report is accompanied by the publication of the 2024 EU-wide transparency exercise, which provides detailed information, in a comparable and accessible format, for 123 banks from 26 countries across the European Union (EU) and the European Economic Area (EEA). Continue reading…