The FCA has set out plans to simplify the information supplied to investors to boost confidence and drive investment. Under the current rules, introduced across Europe when the UK was in the EU, people buying investments like investment funds are supplied with standardised documents covering prescribed information. In practice these documents were often complex, unclear, and could miss important points. This could put people off investing or lead them to make less informed decisions. 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…

by Guy Harrison

As 2025 approaches, the wealth, trust and corporate services sector faces a defining moment. Confronted with increasing regulatory complexity, rising client expectations and persistent data quality challenges, firms are under increasing pressure to modernise. As highlighted in the Quantios global survey of wealth, trust and corporate services providers as well as private banks, family offices and wealth managers, 71% of firms aspire to build a scalable business to support growth while controlling costs. Yet, the slow adoption of digital solutions as well as mounting regulatory and market pressures facing firms, may cause those costs to spiral out of control. Or worse, those firms that fail to adapt risk diminished profitability, regulatory fines, data breaches and missed opportunities for growth. 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…

The Financial Stability Board (FSB) has on 12 December published its finalised recommendations to promote greater alignment in data frameworks related to cross-border payments and consistency in the regulation and supervision of bank and non-bank payment service providers. These recommendations advance key actions from the G20 Roadmap to address legal, supervisory, and regulatory issues in cross-border payments. As part of these efforts and to enhance private sector engagement, the FSB is inviting market stakeholders in cross-border payments to join its Taskforce on Legal, Regulatory, and Supervisory matters (LRS Taskforce). 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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The European Supervisory Authorities (EBA, EIOPA, and ESMA – the ESAs) together with the European Central Bank (ECB), has recently released the results of the one-off “Fit-For-55” climate scenario analysis. Under the scenarios examined, transition risks alone are unlikely to threaten financial stability. However, when transition risks are combined with macroeconomic shocks, they can increase losses for financial institutions and may lead to disruptions. This calls for a coordinated policy approach to financing the green transition and the need for financial institutions to integrate climate risks into their risk management in a comprehensive and timely manner. Continue reading…