Understanding Regulation and Compliance in Investment Management Firms

The programme covers elements of regulation that are important to investment businesses. It will consider what impact regulation has when developing and positioning product and service offerings to distributors and clients alike.

The course is delivered at an introductory to intermediate level and aimed at members’ staff relatively new to investment management or moving into a compliance role. It will also be useful as a refresher for all staff needing to review their understanding of the conduct of business rules and changes from new regulation. This course will provide an excellent platform for any delegate who is preparing for regulatory exam papers i.e. IMC, IAD or Investment Operations Certificate (IOC).

The course is highly interactive, enabling delegates to get real value from it. To assist with the learning process, exercises, discussion sections and case studies are used throughout. There will also be input from a senior compliance practitioner to discuss the regulatory landscape and a case study on how the business rules are applied in practice.

Key Learning Objectives:

• Understand the structure of UK regulation
• Know the requirements of UK regulation on Senior Managers and individuals in delivering key objectives
• Review and consider the most significant elements of regulation on investment businesses
• Be aware of the current influence of EU regulation
• Explore the impact of regulation on wholesale product providers

Contact the IA Training Team to ask questions regarding any of the courses we run, or if you are experiencing problems or difficulties when attempting to register, please email: Training@theia.org

09:30 Regulatory structures and environment

• An introduction to regulation
• FCA Objectives
• FSMA 2000, The Financial Services Act, twin peaks approach to UK regulation.
• EU regulatory structure and AIFMD
• Regulated activities and investments
• Authorisation – routes, exclusions, notification, publication
• The Principles for Businesses
• Senior management arrangements, systems and controls including the ‘Three Lines of Defence’ and the true role of Compliance
• The Conduct Rules
• Enforcement action

11:00 Morning coffee break

11:15 Consumer Duty, Treating Customers Fairly and Conduct Risk

• Consumer Duty
• TCF – 6 measurable outcomes
• Conduct Risk – 5 Question Framework
• Examples of poor conduct within Investment Firms
• Understanding the responsibilities that product providers (Manufacturers) and intermediaries (Distributors) have in this space

11:45 Control Over Individuals

• Brief review of current arrangements
• The approval process and requirements to remain FIT under Training & Competence requirements
• EXERCISE – requirements for specific roles

12:20 Conduct of Business rules

• An introduction to client categorisation
• Understanding inducements and challenges around paying for research
• Rules regarding financial promotions
• Managing Conflicts and ‘Chinese walls’
• Assessing appropriateness and suitability

13:00 Lunch

14:00 Exercise- identifying Conduct of Business rules breaches

14:20 Client Money Rules

• A brief review of CASS
• Accountability requirements
• Record keeping

14:45 Financial Rules

• Principles of Prudential regulation
• The EU’s Capital Requirements Directive
• Various UK regimes and current FCA activity 

15:00 Complaints  and resolution

• Recognising complaints
• Summary resolutions and more detailed investigations
• Regulatory expectations
• Role of the Ombudsman and recent investment-related case studies / statistics

15:30 Afternoon tea

15:45 Financial Crime

• Money laundering
• Insider dealing
• Market abuse
• Fraud
• Bribery
• Cybercrime

16:45 Guest Speaker: A senior Compliance Practitioner will discuss ‘The Regulatory Horizon’ including the challenges of new regulation, the regulatory agenda/landscape and the role for Compliance in managing the introduction of new regulation

17:45 Course close

This training course is run under the Chatham House Rule, for reference please see here

The programme will appeal in particular to personnel working in or engaged with:

• Compliance
• Operations
• Risk Management
• Marketing and Sales
• Product Development
• Trainee Fund Managers and Dealers
• Investment Administrators and Assistants

Stephen Fairclough

With over 20 years training experience in financial services, Stephen is well placed to support across a wide range of developmental activities. He is a former Head of Education for HSBC covering the UK and Europe, responsible for regulatory and financial crime related compliance learning. His time at HSBC was during intense scrutiny from regulators and government functions during the bank’s Deferred Prosecution Agreement.

With other roles ranging from advising customers within a high-street retail branch, to Senior Vice President responsible for Global Risk & Compliance training at a US-based bank, Stephen’s range of experience is adaptable. He also worked in the Insurance Firms division at the Financial Conduct Authority (in the FSA days) where he was the divisional expert for the rules and outcomes required under the Training & Competence handbook. Stephen won the Thomson Reuters award for “Most Effective Compliance Training at a Regulated Firm” in 2010.

The HSBC role, along with five years at Barclays in their Private Clients and Wealth functions, has seen Stephen work with retail, commercial, wholesale and private banking channels. While enjoying the design and delivery of training to an audience either live or virtually, Stephen also works with compliance, HR and operational teams to build or enhance learning frameworks, ensuring appropriate systems, controls, checks and balances are in place to withstand any robust regulatory scrutiny, as well as delivering sustainable commercial benefits to the business.

IA Member £645.00 +VAT
Non-Member £795.00 +VAT

Pay using a credit card online, or if you wish to be invoiced please email your full details to: Training@theia.org

PLEASE NOTE: Full payment for the course must be made prior to the course commencement date.

• Any cancellation must be made in writing.
• For all cancellation received 15-30 days prior to the course start date, 50% of the course fee is still payable.
• No refund is given for a cancellation made 14 days or less prior to the commencement of a course.
• Transferring from one course to another is treated as a cancellation.
• You can substitute one delegate for another at no additional cost. In this instance, please give two business days’ notice.

Hybrid Training Courses:
We will continue to monitor and follow government guidance regarding coronavirus (Covid-19) to ensure the safety of our team and our members. Please be advised some training courses could change from hybrid delivery (being held in-person and virtually) to solely virtual delivery, should government guidance require.

There are a limited number of in-person spaces available on this course and this will be allocated on a first come first served basis.