Regulation
Trust exemption
Following the UK Treasury‘s policy note on its post-Brexit retail disclosure framework in November, fund houses and UK-listed investment companies are backing an exemption for UK investment trusts from the charge disclosure framework applicable to their open-ended peers. Ignites Europe reports on the joint response spearheaded by the London Stock Exchange (LSE).
Sustainable Investment / ESG
Likely labels
Morningstar has produced an analysis of the Sustainability Disclosure Requirements (SDR), with projections of the potential landscape of UK sustainability-labelled funds. The Q&A at the end of the report is especially good if you’re looking for a big picture idea of the requirements of the Financial Conduct Authority (FCA) policy statement.
Market News
Scheme slow-down
The decision of whether the £298m redress scheme for investors of the former Woodford Equity Income Fund should be sanctioned has been pushed into February at the earliest, Investment Week reports. At the second day of the sanction hearing, on the 19 January, the FCA clarified that its calculated £298m redress amount for investors represents a “subset of total losses”.
Complex crypto
As more European funds gain exposure to digital assets, fund directors can expect greater regulatory scrutiny of crypto-related funds, according to Ignites Europe, which points out the “need to prepare for a range of complex issues rarely found in traditional finance”. FBC’s Brandon Horwitz provides his expert insight in the article.
Parity in Parabas
BNP Paribas has set a target of half of new hires in its UK global banking operation to be women. It has already set a similar goal for those joining at the entry level. Read the details in Investment Week.
Governance
Key to accountability
The Financial Reporting Council (FRC) has announced revisions to the UK Corporate Governance Code. Aimed at enhancing the transparency and accountability of UK plc and help support the growth and competitiveness of the UK, and its attractiveness as a place to invest, the FRC has prioritised revisions to the Code in the significant area of Internal Controls.
Longer Reads
AI opportunities
The Global Association of Risk Professionals (GARP) looks into the issues and improvements Artificial Intelligence can bring to corporate boards. Read the full article.
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