The path can be daunting for an Appointed Representative contemplating applying for direct authorisation by the Financial Conduct Authority (FCA).
Senior members of our team discussed what you need to know about becoming a directly authorised firm by the FCA at our Breakfast Briefing on Tuesday 17th January 2017. They:
- identified the key differences between life on a regulatory hosted platform and being a regulated and directly-authorised firm;
- ran through the operational infrastructure to be put in place to achieve your own authorisation by the FCA; and
- shared key tips to make the application and authorisation process plain sailing, allowing you to focus on meeting commercial objectives.
Topics that were covered included:
- getting your FCA application pack correct first time, to ensure an efficient and swift authorisation process;
- policies and procedures to demonstrate to the FCA that your business has a framework in place to meet regulatory requirements;
- developing a robust compliance monitoring programme that will give ongoing assurance to regulators and investors that compliant policies and processes operate in practice;
- documenting your experience and skills so that the FCA can share in the firm’s assessment of the ‘threshold competency’ of its individuals;
- presenting a capitalisation plan that allows the FCA to be confident that your business will be prudently funded but avoiding over-capitalising;
- avoiding shocks and troublesome disclosures through robust, reliable, frequent and timely financial information and monitoring and management of prudential capital;
- documenting your annual Internal Capital Adequacy Assessment Process (ICAAP);
- managing the regulatory burden of GABRIEL, COREP and Annex IV reporting; and
- external oversight of financial and prudential information: annual audits and FCA supervisory review visits.
Please view the presentation here: Regulatory Requirements For Getting FCA Authorised