The Financial Conduct Authority (FCA) UK is looking to upgrade the regulations for the asset management industry. The aim is to speed up innovation and boost competition in the industry. Firms in the FCA jurisdiction currently manage around £11 trillion in assets.
According to the discussion paper published by FCA, the regulator wants to tailor its regulations to modern needs. It would also ensure that the upcoming changes will be in accordance with international standards. Camille Blackburn, the director of the Wholesale buy-side, urged the industry to share their views to improve the existing standards.
The UK has an opportunity to update and improve the UK regime for asset management.
Camille Blackburn – Wholesale Buy-Side Director
The proposed changes may cover both domestic and foreign clients on both retail and institutional sides. The paper includes a variety of ideas that include the use of technology to enhance the user experience and convenience.
Financial Conduct Authority (FCA) has also added an online response form to gather the views of the industry participants. The last day for submission is announced to be 22 May. Once the deadline passes, FCA aims to publish a feedback statement later in the year.
The latest discussion paper also refers to the Future Regulatory Framework, which provisions a modern and tailored approach to improve regulations. The views of all industry participants, like fund managers, portfolio managers, platform providers, and financial advisors, are welcomed.
The regulator will also ensure that any proposed changes ‘take account of rules in other jurisdictions so that firms can continue to operate efficiently on a global basis’.
The UK asset management market is the 2nd largest in the world after United States. Currently, more than 2600 firms are serving retail and institutional clients, managing assets of 11 trillion pounds. This also makes it the biggest financial hub in Europe.
This post was last modified on Feb 20, 2023, 18:25 GMT 18:25