Conduct Risk has been a defining theme of the Financial Conduct Authority and whilst Conduct Risks might be blindingly obvious once in front of you, they may be difficult to spot in advance. It is therefore essential for businesses to understand what conduct Risk means, identify the risks and drivers to protect themselves and ensure markets remain clean.
Equally, firms must make clear to employees conduct expectations and highlight good conduct, employing a strong and robust Conduct Risk Framework to meet regulatory expectations and ensure compliance with regulations.
With all the present changes brought about by the COVID-19 pandemic, regulators expect firms to take responsibility and ensure business continuity while continuing to meet key regulatory requirements and ensuring employees understand the higher risks and consequences of poor behaviour. The risks of Market Abuse are heightened during the pandemic and regulators across the globe are working together to ensure the markets maintain the highest standards of integrity, with firms expected to do their part on that.
Discussing Conduct Risk and Market Abuse mitigation during COVID-19
Gowling WLG Partner and Head of UK Financial Services Regulation and Joint Head of UK Financial Services Sector Ian Mason, and UK Financial Services Regulation Principal Associate Sushil Kuner joined MyComplianceOffice (MCO) for a discussion of crucial aspects of Conduct Risk and Market Abuse mitigation, exploring:
- What does Conduct Risk mean?
- FCA's 5 Conduct Risk Questions Programme
- What are Conduct Risk Drivers?
- What should a good Conduct Risk Framework include?
- The impact of COVID-19 on Conduct Risk
- What is market abuse and why does it matter?
- The heightened risks of market abuse arising from COVID-19
- The FCA toolkit for market abuse
- Current Enforcement trends
Watch the webinar: 'Managing Conduct Risk and protecting against Market Abuse during the COVID-19 Crisis'.
Read the original article on GowlingWLG.com
Originally published 26 May 2020
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