The Financial Conduct Authority (FCA) has issued a publication on improving the Appointed Representatives (AR) regime through greater use of data.
The FCA publication shares analysis of the data collected by them on the AR regime throughout 2021 and 2022. It updates on how this data has informed the FCA’s supervisory approach on ARs and Principals, plus how the FCA will be targeting its resources.
It also gives examples of how the data provided to the FCA has led to the interception of Principals where harm has then been prevented.
Key concerns within the FCA include Introducer Appointed Representatives, Overseas ARs and Professional Indemnity Insurance.
Firms are reminded in the publication on the rule changes that they need to comply with:
- Enhanced oversight requirements
- Annual self-assessment
- Annual review of AR’s activities and business
- Review oversight approach
- Notification of planned AR appointments
- Annual reporting.
The BVRLA attended an event to hear the FCA speak on this last week. The authority highlighted that becoming an AR shouldn’t be seen as an easy way out, and that it will be ensuring that the oversight of Principals on their AR firms is as comprehensive as if the firm were monitored by the FCA directly.
Improving the Appointed Representatives regime through greater use of data | FCA.
