Search

The Financial Conduct Authority (FCA) in the UK has published Sustainability Disclosure Requirements (SDR) to drive transparency and accountability in the real estate industry. The SDR includes an anti-greenwashing rule, which requires all FCA-authorized firms to ensure that sustainability-related claims are fair, clear, and not misleading. This new era of accountability aims to substantiate sustainability claims and encourage real estate organizations to integrate sustainability into their business strategies and decision-making processes. The FCA's approach to sustainability has sparked debate about whether the bar has been set too high or not high enough. [Extracted from the article]

A manager at the UK's financial watchdog, the Financial Conduct Authority (FCA), has lost her case at a London court after suing the regulator for not being allowed to work from home full-time. The manager, Elizabeth Wilson, requested to work remotely permanently following the easing of pandemic restrictions, but her request was turned down due to her management responsibilities. The judge ruled in favor of the FCA, stating that remote working has weaknesses and is not well-suited for the fast-paced nature of the financial industry. This case is one of the first public UK court rulings on the roll back of pandemic remote working arrangements. [Extracted from the article]

Alternative lenders are stepping in to fill the gap left by banks in the UK property market, offering developers a wider range of debt products. While banks' SME lending is still falling, developers are seeking short-term and long-term finance options to capitalize on opportunities in the market. Alternative lenders, private credit, and peer-to-peer lending are becoming popular choices for developers, with interest rates ranging from 6% to 15%. Additionally, the recovery of the UK corporate bond market is making it easier for developers to secure long-term financing or refinance projects nearing completion. [Extracted from the article]

The Financial Conduct Authority (FCA) in the UK has announced that it will review car finance loans made before 2021, potentially leading to compensation for millions of customers. The FCA will examine historical motor finance commission arrangements and sales across multiple firms, following complaints from consumers who were sold unfair loans by units of Barclays and Lloyds Banking Group. The FCA plans to outline its next steps in the third quarter of 2024 and has paused the deadline for motor finance firms to respond to customer complaints. This investigation has been compared to the payment protection insurance misselling scandal, which resulted in billions of pounds in compensation being paid by UK banks. [Extracted from the article]

NewsRound-up Independent retailers have welcomed the latest statement from the Financial Conduct Authority (FCA) on the importance of access to cash in communities. The FCA announced that from 18 September 2024, banks and building societies will be required to provide "reasonable additional cash services" when closing branches or making other changes to existing cash services. These may include banking hubs, ATMs, or post office facilities, but not just cashback without purchase.PHOTO (COLOR) [Extracted from the article]

The UK Financial Conduct Authority (FCA) has required ICE's benchmark arm to continue publishing US dollar Libor benchmarks until the end of September, after which the rate will be discontinued. The FCA has no plans to extend publication beyond this date. ICE has stated that the synthetic Libor settings, which are required to be published using a synthetic methodology, are not representative of the underlying market or economic reality. ICE will be launching new swap rates next month to be used as benchmarks in financial contracts and instruments. Additionally, ICE plans to launch a clearing service for US Treasury securities and repurchasing agreements in response to upcoming regulations. [Extracted from the article]

H2O Asset Management and its former owner, Natixis SA, are facing a €717 million ($785 million) lawsuit in France over losses related to illiquid investments at the fund boutique. The lawsuit was filed by a group of investors, including over 6,000 professional and individual investors, who also named Natixis Investment Managers, KPMG, and Credit Agricole SA's CACEIS as defendants. The scandal at H2O, which began in 2019, involved investments in illiquid securities linked to German financier Lars Windhorst, resulting in clients being unable to retrieve their funds. Natixis has since reduced its stake in H2O, and the French markets regulator and the UK's Financial Conduct Authority have taken action against the firm. [Extracted from the article]

H2O Asset Management and its former owner, Natixis SA, are facing a €717 million ($785 million) lawsuit in France over losses related to illiquid investments at the fund boutique. The lawsuit was filed by a group of investors against H2O, Natixis Investment Managers, KPMG, and Credit Agricole SA's CACEIS. The scandal at H2O, which began in 2019, involved investments in illiquid securities linked to controversial German financier Lars Windhorst. The French markets regulator fined H2O €75 million, and the UK's Financial Conduct Authority is also investigating. Natixis has reduced its stake in H2O. [Extracted from the article]

Consumer prices in the UK rose by a lower-than-expected 3.9% in November, the slowest pace in over two years. This could lead to deeper-than-expected rate cuts next year and potentially more room for tax cuts. The pound fell against the dollar, while shares in homebuilders and retailers rose. The Financial Conduct Authority (FCA) has proposed new rules to revive London's IPO market, including allowing companies to carry out certain related-party transactions without a mandatory shareholder vote. ETC Holdings has agreed to acquire Shanta Gold for £142 million, and Indivior and Actavis have settled an opioid-treatment patent dispute. UK retailers have faced challenges this year, but some have outperformed the broader market, with gains led by M&S and Next. However, higher costs in 2024 due to increased minimum wage and business tax rates could pose hurdles for retailers. Despite this, there are reasons for optimism, such as a rebound in consumer confidence and a bright outlook for retail giants like Kingfisher, Frasers, and Whitbread. [Extracted from the article]

Natixis SA, a French bank, is facing a lawsuit from investors seeking €717 million ($785 million) in relation to losses incurred at its former fund boutique, H2O Asset Management. The investors have filed the lawsuit against Natixis Investment Managers, H2O, KPMG, and Credit Agricole SA's CACEIS. The scandal at H2O arose in 2019 when investments in illiquid securities linked to German financier Lars Windhorst prevented some clients from accessing their funds. H2O was fined €75 million by France's markets regulator, and the UK's Financial Conduct Authority is also investigating. Natixis has reduced its stake in H2O since the scandal. [Extracted from the article]

The UK's finance regulator, the Financial Conduct Authority (FCA), has announced plans to simplify its listings regime in an effort to revive interest in London's stock markets. The FCA will replace the standard and premium listings rules with a single set of streamlined eligibility and ongoing requirements. The regulator also plans to allow companies to carry out certain actions, such as related-party transactions, without a mandatory shareholder vote. These changes are aimed at strengthening the attractiveness of UK capital markets and supporting competitiveness and growth. Despite previous attempts to encourage more fundraising, only a few companies have listed shares in London this year. [Extracted from the article]

The UK Financial Conduct Authority (FCA) has announced that it will not extend its temporary post-Brexit licensing regime beyond December 31. The FCA aims to complete work on the remaining 116 cases by the end of 2023. Banks, insurers, and asset managers on the temporary licensing regime have the options of winding down their businesses over a five to ten-year period, applying for full authorization in the UK, or transferring activities to another fully licensed company within their group. Out of the 116 companies and organizations still remaining, only three have submitted applications for full authorizations, while six are still finalizing their plans. Approximately 80 have informed the FCA that they are preparing to leave the UK or begin winding down operations. [Extracted from the article]

An independent review commissioned by NatWest Group's Coutts unit found that the bank potentially violated UK Financial Conduct Authority rules by not providing reasons for closing customers' bank accounts. However, the review found no evidence of discrimination based on political views or affiliations. The review identified deficiencies in the internal process for account closures and suggested improvements to policies and procedures. Coutts' CEO apologized for the shortcomings and stated that the bank is committed to implementing the review's recommendations for a better customer experience. [Extracted from the article]

Mikhail Nadel, a Russian banker accused of looting Kyrgyzstan's largest bank, has resigned from the board of UK fintech firm Dzing Finance Ltd. The company has faced scrutiny for processing fraudulent payments, leading to restrictions imposed by the Financial Conduct Authority (FCA). The FCA found that nearly one in five transactions received by Dzing last year were linked to scams. Nadel, who denies any wrongdoing, has previously been revealed to have a prominent role at Dzing. The FCA has been working to improve standards in the electronic-money institution sector due to concerns about fraud and inadequate anti-crime controls. [Extracted from the article]

The Financial Conduct Authority (FCA) has concluded its investigation into Odey Asset Management, although the probe into its former founder, Crispin Odey, is ongoing. The FCA's CEO, Nikhil Rathi, stated that while the investigation into the company has been closed, it may be reopened if new evidence emerges. Odey Asset Management recently closed its wealth business and its funds are being transferred to new firms or liquidated. Crispin Odey, who left the company in June, denies the allegations of sexual misconduct against him. [Extracted from the article]

The Financial Conduct Authority (FCA) in the UK has expressed concerns about the amount of interest that investment platforms earn on customers' cash balances. The FCA has written to firms and self-invested personal pension operators, urging them to review how much interest they retain and to stop double dipping, which is the practice of charging clients for holding their money while also keeping the interest. In a recent survey, the FCA found that 71% of sampled firms retain at least some of the interest, with an average retention rate of 50%. The FCA has given firms until February 29 to make changes, and if they don't comply, the FCA has stated that it will intervene. [Extracted from the article]

The Financial Conduct Authority (FCA) has expressed concerns about UK money managers earning interest on customers' cash balances and charging fees for holding their money, a practice known as double dipping. The FCA has urged investment platforms to review their practices and ensure fair value for customers. If firms do not comply, the FCA has stated that it will intervene. In a recent survey, the regulator found that 42 firms collectively earned £74.3 million ($93 million) from retained interest in June alone. As a result of the FCA's announcement, shares of Hargreaves Lansdown Plc, AJ Bell Plc, and Abrdn Plc fell in London. Money managers have until February 29 to make the necessary changes. [Extracted from the article]

Asset managers in the UK are rushing to adopt upcoming ESG regulations in order to gain a competitive advantage. The Financial Conduct Authority (FCA) has introduced new Sustainability Disclosure Requirements, which include four labels that fund managers must use to market products with environmental, social, or governance characteristics. Schroders Plc, one of the largest asset managers in the UK, has announced plans to repurpose a fund to comply with the new regulations ahead of their implementation next year. Schroders intends to market the fund under the FCA's Sustainable Improver label, which allows for ESG claims while investing in assets that have the potential to improve sustainability. However, concerns have been raised that the new rules still give asset managers too much leeway to self-regulate. [Extracted from the article]

The UK's Financial Conduct Authority (FCA) has proposed stricter rules for trading certain commodity futures in response to significant price movements in recent years. The aim is to limit risks associated with large positions in critical commodities such as oil and gas, which can lead to disorderly pricing and settlement conditions. The proposed measures include removing unnecessary burdens on firms and implementing tighter limits on contracts that pose the greatest risk to the economy. The FCA also suggests that trading venues should be responsible for setting position limits, allowing for more effective and timely adjustments based on market conditions. The new rules would only apply to specific critical commodity futures contracts. [Extracted from the article]

Barclays Plc shares fell by 4.5% after Qatar's wealth fund, the Qatar Investment Authority (QIA), announced that it is selling almost half of its stake in the bank. This unexpected move comes as Barclays prepares for a strategic overhaul in early 2024. The QIA's sale of 361.7 million shares was expected to be priced at 141 pence per share, raising £510 million ($644 million). Barclays' shares have underperformed compared to its peers this year, and the bank's executives have been working on ways to improve returns, including potential job cuts. The QIA's stake in Barclays was acquired during the 2008 financial crisis, and this sale represents about 45% of its position. Barclays' strategy review, led by Chief Executive Officer C.S. Venkatakrishnan, is expected to unveil more ambitious financial targets in February 2024. The bank is considering various options, such as expanding its advisory business or acquiring a wealth manager. The QIA's intervention in 2008 helped Barclays avoid a government bailout, but it has since faced legal challenges related to the fundraising efforts. The Financial Conduct Authority plans to fine Barclays £50 million for failing to disclose advisory fees paid to Qatari investment vehicles during the fundraising, although the bank intends to challenge this proposal. [Extracted from the article]

An ex-Goldman Sachs analyst and his lawyer brother are on trial in London for insider trading and fraud. Prosecutors allege that Mohammed Zina, the former analyst, used confidential information to make insider trades in ARM Holdings and other stocks, earning over £140,000. His brother, Suhail Zina, is accused of being aware of and interested in his brother's dealings. The brothers deny the allegations and have pleaded not guilty. The Financial Conduct Authority also claims that the brothers funded their alleged insider trading with personal loans from Tesco Bank. [Extracted from the article]

The UK's financial watchdog, the Financial Conduct Authority (FCA), has introduced a new framework to protect retail investors from misleading claims about environmental, social, and governance (ESG) investments. The measures include an anti-greenwashing rule, product labels to clarify a fund's goals, and marketing requirements to prevent false sustainability claims. The FCA aims to ensure that its ESG fund rules align with regulations in other jurisdictions. The move comes as the European Union faces criticism over its own ESG regime, and the FCA is open to collaborating with EU authorities on this issue. [Extracted from the article]

The UK's financial watchdog, the Financial Conduct Authority (FCA), has introduced new rules to protect retail investors from misleading claims related to environmental, social, and governance (ESG) investing. The measures include an anti-greenwashing rule, product labels to help investors understand a fund's specific goals, and marketing requirements to prevent false sustainability claims. The FCA aims to establish a clear and understandable regime for investors to assess whether funds meet their investment needs. The new rules will come into effect in May and July of next year, and around 630 UK-based funds will be affected. [Extracted from the article]

Klarna Bank AB has received regulatory approval from the Financial Conduct Authority (FCA) to offer credit and payment products in the UK. However, the approval does not cover the company's popular buy-now-pay-later loans. Klarna established a UK-based entity, Klarna Financial Services UK, to offer all of its consumer-facing products in the country. The FCA's approval puts Klarna's UK business on a secure regulatory footing, and the company has argued that its buy-now-pay-later offerings should also be regulated. Klarna recently reported its first quarterly operating profit in four years and is preparing for an initial public offering. [Extracted from the article]

The UK's markets regulator, the Financial Conduct Authority (FCA), has criticized NMC Health Plc, a Middle Eastern hospital operator, for misleading investors about its debt position by up to $4 billion. The FCA did not impose a fine, as it believed that this would reduce the funds available for creditors. NMC Health used dual sets of accounting records and repeatedly published financial statements that understated its debts. The company collapsed in April 2020, triggering investigations and lawsuits, and auditors Ernst & Young have been accused of negligence. The FCA concluded that there was knowledge within NMC at a senior level that the published information was false or misleading. [Extracted from the article]

Former CEO of NatWest Group, Alison Rose, will have her pay slashed following a scandal involving the closure of an account held by ex-politician Nigel Farage. Rose will forfeit nearly £5 million in deferred shares and will not receive her £2.9 million bonus and other long-term awards for 2023. However, she will continue to receive her remaining salary, fixed share allowance, and additional pension contributions. Rose resigned over the scandal, which raised questions about banks' ability to terminate customers without explanation. The Financial Conduct Authority is conducting an investigation into the practice. [Extracted from the article]

The Bank of England (BOE) has announced a stress test plan for over 50 financial market participants, including banks, insurers, asset managers, hedge funds, and pension funds. The exercise aims to assess how non-bank financial institutions can amplify systemic stress and will involve a hypothetical shock worse than last year's gilt market spiral. The scenario will be severe but plausible, incorporating elements from recent market events. The BOE will work closely with the Financial Conduct Authority and The Pensions Regulator, and participants will submit their responses in January, with the final report due by the end of next year. [Extracted from the article]

NatWest Group Plc has reduced the pay of former CEO Alison Rose following a scandal involving the closure of an account held by ex-politician Nigel Farage. Rose will lose nearly £5 million in deferred shares and will not receive her £2.9 million bonus and other long-term awards for 2023. However, she will still receive her remaining salary, fixed share allowance, and additional pension contributions. The bank stated that no misconduct had been found against Rose. The incident raised concerns about banks' ability to terminate customer relationships without explanation, leading to an investigation by the Financial Conduct Authority. [Extracted from the article]

The carrier has received approval from the UK Financial Conduct Authority for the £550mn sale. [ABSTRACT FROM AUTHOR]

Invesco said the implied temperature rise for its high-yield fund was calculated using data from Planetrics, which covers 66% of the fund's assets, excluding cash. Read More: The New Climate Anxiety for Fund Managers Still, while few fund managers doubt the science of climate change, many question the accuracy and usefulness of ITRs. Atlanta-based Invesco began publishing portfolio-level warming scores this year for some UK-based funds, in response to new climate disclosure regulations from the Financial Conduct Authority. [Extracted from the article]

The Financial Conduct Authority said Staley "recklessly misled" the company and regulators about his relationship with Epstein. [ABSTRACT FROM AUTHOR]

(Bloomberg) -- Equifax Inc.'s British unit was hit with an £11 million ($13.4 million) fine after failing to protect the data of millions of clients amid one of the biggest cyber-security breaches in history. The Financial Conduct Authority said Friday it had fined Equifax Ltd. over the 2017 hack that accessed the personal information of 13.8 million UK customers because Equifax outsourced the data to its US parent for processing and didn't put the right safeguards in place. "Financial firms hold data on customers that is highly attractive to criminals", said Therese Chambers, the FCA's joint executive director of enforcement and market oversight. [Extracted from the article]

"Financial firms hold data on customers that is highly attractive to criminals", said Therese Chambers, the FCA's joint executive director of enforcement and market oversight. The Financial Conduct Authority said Friday it had fined Equifax Ltd. over the 2017 hack that accessed the personal information of 13.8 million UK customers because Equifax outsourced the data to its US parent for processing and didn't put the right safeguards in place. (Bloomberg) -- Equifax Inc.'s British unit was hit with an £11 million ($13.4 million) fine for one of the biggest cyber-security breaches in history after it failed to manage UK consumer data. [Extracted from the article]

(Bloomberg) -- Crypto exchanges Huobi and KuCoin were among dozens of digital asset companies added to the UK Financial Conduct Authority's warning list on Sunday for marketing their services in the UK without proper approvals, as the regulator tightens its grip on the industry. You should avoid dealing with this firm", the FCA wrote as a generic warning for Huobi and KuCoin, which were among the 147 companies it added to the list. [Extracted from the article]

(Bloomberg) -- The chief executive of the London Metal Exchange says he's optimistic that the 146-year-old trading venue is beginning to move on from the nickel crisis that threatened to destroy it. A group of other firms including AQR Capital Management have also sued the LME separately, while the exchange is being investigated by the UK's Financial Conduct Authority over its handling of the crisis. [Extracted from the article]

A group of other firms including AQR Capital Management have also sued the LME separately, while the exchange is being investigated by the UK's Financial Conduct Authority over its handling of the crisis. (Bloomberg) -- The chief executive of the London Metal Exchange says he's optimistic that the 146-year-old trading venue is beginning to move on from the nickel crisis that threatened to destroy it. [Extracted from the article]