The Model Office Blog

The FCA, Digital compliance and benchmarking your performance

[fa icon="calendar"] Mar 28, 2018 5:25:01 PM / by Chris Davies

This week we spoke at the Thomson Reuters Risk and Compliance Summit about the introduction of Artificial Intelligence to Compliance and Risk management. 

From the plenary and break out sessions, it became quite obvious and pleasing to see that the industry is moving slowly but surely away from checklist and reactionary compliance activity towards a culture of constructive and pro-active strategy that takes a holistic approach across all regulatory impact across business activities.

In our opinion this means engaging your compliance needs as you would a jigsaw puzzle; organising your strategies around the full picture The FCA paints in its principles and risk based framework.

What does this mean in practice?

Firstly a Code of Conduct to encourage a culture for compliance and governance is crucial, this needs to cover The FCA theme for firm and individual accountability. Firms that have started this process enjoy:

  • Mapping their practice against the rules and directives to showcase strengths, weaknesses and blind spots
  • Increasing communications across the business to aid understanding of the issues at play and agreement on implementation
  • A co-ordinated approach to engaging the compliance needs and The FCA
  • Focus on putting right any systemic harm and stopping this from happening again.

With key regulations just in and more coming through, it is important that firm’s now build a ‘balanced scorecard’ against all the issues at play, so they can benchmark performance against the rules plus gain prescriptive guidance and steers to know what to do next and where to look for resources and strategies that will help them move forward in a functional manner and with confidence.

Model Office’s 5 key metrics are one way this can be done easily and digitally so firms can gain real-time data on their current position against the regulatory framework but also gain strategy and steers to improve performance and their knowledge on FCA requirements. MO® the digital compliance chat bot is also now available to answer questions, queries, plus she’ll conduct a full regulatory review of the business to give you the peace of mind that you are on track across:

  1. Your Focus: KYC, TCF, MiFIDII, AML, The GDPR and the suitability rules
  2. Your Engagement: Client on-boarding, documents, marketing and client digital journey (marrying offline and online activity)
  3. Your Promise: Investment and service proposition research and due diligence, technology (ATR, capacity for loss, Cash flow modeling and research tools)
  4. Your Systems: Business and client management tech, workflows, complaints handing, accounts, Data flows
  5. Your People: Senior Managers and Certification Regulations, Talent management, SPS and CPD requirements

Please click the below icon link to MO's platform and learn more about MO today..

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Topics: Financial regulation, Financial business development, Risk management, fintech, regtech, practice management, FCA, Constructive compliance, advice, HMT, suitability, FAWG, FAMR, Fitbit, MiFIDII, GDPR, Data, Chatbot, Culture, Enforcement, supervision, ThomsonReuters,

Chris Davies

Written by Chris Davies

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