The Model Office Blog

Model Office #RegTech platform Q2 question updates

[fa icon="calendar"] Jun 22, 2017 2:41:45 PM / by Chris Davies

The FCA have been busy: there is the HMT/FAMR latest on definition of advice, the Suitability Review report, the latest on Defined Benefit Pension transfers. Elsewhere we have MiFID II implementation guidance, AML and General data Protection Regime - GDPR initiatives. 

Model Office - MO, allows retail investment advisers to self assess where they feel they sit against all the FCA rules, their papers and other directives such as GDPR and MiFID II. Each quarter we update the question sets across the 5 keys to align with the latest regulatory thinking. Some of what's new: 

HMT advice definition: In our February '17 blog #RegTech and the definition of advice, we assessed the new definition to regulated advice proposed by HMT being MiFID's personal recommendation to a customer, this means:

  • MO assesses firms advice proposition, client segmentation and looks at opportunities around guidance for certain products and services

Suitability Review: MO's platform allows your firm to benchmark where it sits against the FCA suitability requirements and review findings. This covers key issues surrounding:

  • Disclosure of service costs and charges 
  • Clients are provided with clear information and are kept appropriately informed before, during and after the point of sale
  • Products and services marketed and sold are designed to meet the needs of identified client groups and are targeted accordingly

Defined Benefits Pension Transfers: MO will assess: 

  • What makes a robust pension transfer service 
  • FCA's new focus on assessing suitability and safeguarding benefits 

MiFID II: MO now assesses how well you have aligned the business across: 

  • Corporate governance of centralised investment propositions 
  • Ensuring any inducements are identified and dealt with within investment services
  • Recording client communications is uniform and effective across the business 

General Protection Data Regime: MO will ensure: 

  • You have all regulatory reporting requirements in place
  • Client consent for data usage is catered for 
  • You know how clean your data is and how well it flows through the business functions 

AML: MO ensures a focus on: 

  • Ensuring your firm has appropriate enhanced due diligence and monitors high risk situations
  • How well your systems manage aggregated financial crime data 
  • Identifying high risk customers such as Politically Exposed Persons

We also are currently updating our on-going research with our 5th year benchmark survey, you can take the survey here. 

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

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Topics: Benchmark, compliance, client centric, Financial regulation, Financial business development, fintech, Human resource development, client engagement, regtech, Constructive compliance, Risk management, practice management, FCA, advice, mifid, HMT, suitability, FAWG, FAMR, Fitbit

Chris Davies

Written by Chris Davies