Two and a half years after US-based hedge fund manager Tiger Asia Management LLC and its three officers (collectively “Tiger Asia”) first sought to strike out the application by the Securities and Futures Commission (“SFC”) for orders under section 213 of the Securities and Futures Ordinance (“SFO”) in the SFC’s market misconduct investigation of Tiger Asia, Hong Kong’s Court of Final Appeal (“CFA”) has finally laid to rest Tiger Asia’s challenge to the court’s powers to make such orders by dismissing its appeal against an earlier Court of Appeal (“CA”) ruling. Continue reading
UK: the FCA’s thematic review of insurance claims processes
In a speech on the growth of UK insurance entitled “Meeting the growth challenge”, Martin Wheatley, Chief Executive of the Financial Conduct Authority (FCA), announced the launch of a thematic review of the claims process in the insurance market. Although this review will have a particular focus on travel and household claims, it will look at themes more widely across the market. The findings and final recommendations of the review are expected to be published by the final quarter of 2013. Continue reading
UK: FCA to exclude Venture Capital Trusts from restrictions on promotion of UCIS?
The Economic Secretary to the Treasury has confirmed that the Financial Conduct Authority (FCA) is working towards publishing its final policy statement on the results of last August’s consultation on proposed restrictions to the marketing of unregulated collective investment schemes (UCIS) and close substitutes in June 2013. Continue reading
Filed under Asset management, FCA, Regulatory Reform, UK, UK Regulations
UK: Private LIBOR claims – an uphill battle for claimants
The ongoing regulatory investigations into the manipulation of LIBOR have prompted much speculation about the possibility of claimants bringing private law actions against banks based on the regulators’ findings. In the first cases to come before the UK courts, the Court of Appeal has recently granted permission to appeal two High Court decisions as to whether LIBOR-based claims could be introduced into existing actions alleging mis-selling of interest rate hedging products. Continue reading
Filed under Banking, Commercial Litigation, Retail Banks, UK
EU: the European Commission’s proposed Directive on Payment Accounts
The European Commission has published proposals for a Directive on the transparency and comparability of payment account fees, payment account switching and access to basic payment accounts. Continue reading
Filed under Banking, EU, Europe, European Regulation, Retail Banks, Uncategorized
UK: Myanmar (Burma) sanctions are lifted
As expected, the UK Government yesterday revoked the Burma/Myanmar (Financial Restrictions) Regulations 2009. These regulations contained criminal penalties for breaches of financial sanctions. The practical effect is that there are no more asset freezing and financial sanctions in respect of Myanmar. However, the arms embargo remains in force for at least one more year.
Filed under Asia, Corporate Crime, Sanctions and Money Laundering
UAE: Funds Regulation update: recent amendments and the new Reverse Enquiry Declaration
On 13 March 2013, the Securities and Commodities Authority of the UAE (“SCA”) issued Board Resolution No.13 of 2013 amending Resolution No.37 of 2012 on the Regulation of Investment Funds (the “Funds Regulation”). The Board Resolution is significant for foreign funds seeking to market onshore in the UAE as it introduces three new exemptions in respect of which the Funds Regulation will not apply. More recently, the SCA has also published the Reverse Enquiry Declaration on its website (currently only available in Arabic). The Declaration provides clarification on the sale of units of a foreign fund as a result of reverse solicitation by UAE resident investors. To read our briefing, click here.
Filed under Dubai, Funds, Investment Funds, UAE
UK: further thoughts on skilled persons reports
Further to our post yesterday, the FT Adviser has today published an article on this topic. It notes that the FSA had argued that direct appointment would help eliminate potential conflict of interest arising from firms appointing the people who already review the firm’s compliance with regulation. However, the FSA, both as SIB under the 1986 Act, and as FSA under FSMA, had the power to nominate or approve the skilled person, so it was always open to the regulator to refuse to accept a skilled person nominated by a firm on the basis of a conflict of interest. Continue reading
Filed under Uncategorized
UK: FSA statement on CP12/19: restrictions on the retail distribution of UCIS and close substitutes
The FCA has published an update on its approach to last August’s consultation on proposed restrictions to the marketing of unregulated collective investment schemes (UCIS) and close substitutes. A range of concerns had been expressed about the original proposals, including about their potential scope, and a lack of clarity around the definition of “non-mainstream pooled investments” . Following discussions with stakeholders, the FCA has concluded that a number of important issues require further consideration, particularly given the complexity of the area. The FCA will continue to work towards publishing its final policy statement as soon as possible this year and will take account of the later publication date when setting the implementation date for any new rules.
Filed under Asset management, FCA, UK, UK Regulations
UK: FCA publishes FSA data on numbers of skilled persons reports
Data published by the FCA on Friday shows that 46% of skilled persons reports were commissioned in respect of banks and building societies in the year 2012/2013, with insurance companies, securities and futures firms, and personal investment firms respectively accounting for 15%, 12% and 10% of the reports commissioned. Because the business type is based on the FSA’s Firm Primary Category type, those firms described as “banks” and “insurance companies” are likely to be undertaking a broader range of activities than the majority of other business types represented in the table. Continue reading