Bringing you live news and features since 2006 

Simon Culhane, CISI

Alliance challenges FCA to do more to support professionalism in UK financial services

RELATED TOPICS​

A financial services Alliance with a combined global membership of 200,000 is challenging the FCA to do more to support professionalism in UK financial services.

The Chartered Body Alliance, which is composed of the Chartered Insurance Institute, the Chartered Institute for Securities & Investment and the Chartered Banker Institute have sent an open letter to FCA CEO Andrew Bailey in response to its published 2018-2019 Business Plan.
 
The Alliance is urging the FCA to seriously increase its engagement rate with professional bodies, which, it says, are obvious partners to help the regulator achieve consumer trust in the UK sector and set a model for others around the world.
 
In its letter the Alliance positions itself to the FCA as a “third force” on the financial services horizon (not regulatory, nor organisational), focussing on delivering cultural change across the profession. The Alliance urges the regulator to therefore offer more support for the work of professional bodies, particularly in the areas of improving culture.
 
The Alliance emphasises the role of the individual as the “cornerstone” of the Senior Managers and Certification Regime (SMCR) and that therefore this aspect can be effectively reinforced by professional bodies.
 
Simon Culhane (pictured), Chartered FCSI and CISI CEO, says: “We stress to the regulator and the public at large the benefits to be obtained from engaging 200,000 professional body members, who are in positions of influence throughout the profession.”
 
Simon Thompson, CEO of the Chartered Banker Institute raises in the letter that in this age of Open Banking, Fintech and Roboadvice, which will increase the choices available to customers, individuals working in financial services with core skills, coupled with a professional mind set will still be required to make sense of, and help customers take advantage of, new technology: “As the professional bodies representing over 200,000 individuals we have a key role to play in helping current members and future generations develop the knowledge and skills required to work with technology to support customers. As such it is important that regulators recognise and more publicly acknowledge this role, our work and the personal commitment of our members and those achieving our professional standards.”
 
The Alliance comments on the FCA’s Treatment of Existing Customers plans, highlighting how its own research shows consumers ability to take reasonable responsibility is enhanced where they are engaged with qualified and knowledgeable professional staff. Challenging the FCA to offer more support for its initiatives which are under way to develop and improve measures of consumer trust and confidence, the Alliance notes that “those adhering to our codes of conduct not only exceed regulatory requirements but do so in a way that addresses the spirit as well as the letter of the rules.”
 
Sian Fisher, CEO, Chartered Insurance Institute, says: “It is rare that anyone wakes up in the morning determined to do the wrong thing, yet that is where we sometimes find ourselves. Behavioural economics shows that as human beings we have an unconscious bias to preferring the status quo over changing things. So in a competitive market that can all too easily translate into the keenest deals going to new customers. But we all know that unequal treatment, especially if it seems totally illogical, breeds distrust in the long run. Working with the Regulator we need to find ways to ensure that competition for customers can revolve around quality of service, good value and partnership, rather than only headline cost. If not, we will continue distortion to price to the detriment of customers and the Profession alike.”

Latest News

Figment Europe, a provider of institutional staking infrastructure, writes that it is solidifying its presence in the heart of Europe’s..
Saving and investing app, Moneybox, has doubled the number of ETFs available on the platform, in the light of ‘growing..
Global X ETFs has announced the appointment of Ryan O'Connor as its Chief Executive Officer effective as of April 8, 2024. ..
Value-driven structured credit investing firm, Angel Oak Capital Advisors, LLC, has announced the completed conversions of two of its mutual..

Related Articles

Ryan McCormack, Invesco
This year sees the 25th anniversary of Invesco’s QQQ, the USD240 billion ETF – the fifth largest ETF in the...
ETFs
The European ETF market achieved a record 28 per cent growth – reaching over USD1.8 trillion assets under management (AUM)...
Sal Esposito, Zacks Investment Management
Zacks Investment Management started doing investment research in 1978 and in 1992 started its investment management arm, initially with SMAs...
Jeremy Senderowicz, Vedder Price
Jeremy Senderowicz, a member of the Investment Services Group at law firm Vedder Price, has witnessed a steady upswing in...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by