The Securities and Exchange Commission today announced the appointment of Demetrios (Jim) Logothetis, as Chairman, and Mark Calabria, Kyle Hauptman, and Steven Laughton, as Board members, of the Public Company Accounting Oversight Board (PCAOB). George…
Why this matters
This regulatory update from the SEC announces the appointment of new leadership to the PCAOB, which oversees public company auditors. This is relevant for capital markets firms, investment managers, and banks that are subject to PCAOB oversight and reporting requirements.
This regulatory update from the JFSA provides information on the list of institutional investors that have accepted the Principles for Responsible Institutional Investors (Japan's Stewardship Code) as of December 31, 2025.
The Federal Financial Supervisory Authority (BaFin) has issued its “Guidance on ICT Risks in the Use of Artificial Intelligence at Financial Entities”. The guidance will help entities manage ICT risks in accordance with the requirements under DORA.
AI Analysis
BaFin's "Guidance on ICT Risks in the Use of Artificial Intelligence at Financial Entities," published December 18, 2025, provides non-mandatory advice to help financial entities manage ICT risks from AI under DORA across the AI lifecycle. It matters because it integrates AI explicitly into existing ICT risk frameworks, emphasizing security, resilience, and third-party risks for supervised institutions, aligning with RTS on ICT risk management (EU 2024/1774) and subcontracting (EU 2025/532). This clarifies supervisory expectations amid growing AI adoption in finance, reducing ambiguity in DORA compliance.
Key dates
01 February 2024
- Related BaFin/Bundesbank supervisory notice on cloud outsourcing (contextual reference)
18 December 2025
- Guidance issuance date
Suggested considerations
Develop and approve AI strategy integrated with ICT roadmap and governance.
Embed AI in existing ICT risk framework, ensuring lifecycle coverage with safeguards (e.g., testing, monitoring, decommissioning).
Conduct third-party due diligence and contractual reviews for AI/cloud providers, including exit/portability testing.
Implement AI-specific testing, documentation, and incident processes proportionate to criticality.
Ensure management accountability for oversight, training, and interdisciplinary controls.
What changed
The guidance does not introduce new binding rules but clarifies AI as ICT systems requiring DORA-compliant treatment, including:
AI strategy: Management-approved, aligned with overall strategy, defining responsibilities, competencies, and interdisciplinary collaboration for critical functions.
ICT risk management integration: Cover identification, protection, detection, response, recovery, training; apply to AI lifecycle (data acquisition, development, operation, retirement).
Development and testing: Robust standards, documentation, testing proportionate to criticality; special focus on generative AI/LLMs, open-source, and code generation risks.
Urgency: High – DORA is live (effective Jan 17, 2025), and AI use is widespread; this guidance operationalizes ICT requirements for AI, exposing non-compliant firms to supervisory scrutiny, fines, or remediation orders under CRR/Solvency II. It heightens focus on third-party/cloud risks amid EU AI Act rollout, demanding immediate gap assessments to avoid operational resilience failures.
Das Eidgenössische Departement für Wirtschaft, Bildung und Forschung WBF hat Änderungen der Verordnung vom 4. März 2022 über Massnahmen im Zusammenhang mit der Situation in der Ukraine (SR 946.231.176.72) publiziert.
AI Analysis
On January 29, 2026, Switzerland's State Secretariat for Economic Affairs (SECO) reduced the price cap on Russian crude oil from USD 47.6 to USD 44.1 per barrel, effective February 1, 2026. This adjustment tightens existing sanctions enforcement and requires Swiss financial intermediaries to immediately implement updated compliance controls and reporting obligations under the Ukraine Sanctions Ordinance (SR 946.231.176.72).
Key dates
January 29, 2026
– SECO publishes amended Annex 28 of the Sanctions Ordinance
February 1, 2026
– New oil price cap (USD 44.1) becomes effective and binding
Immediate Deadline
– Financial intermediaries must implement updated prohibitions and screening procedures
Suggested considerations
*Implement price cap enforcement: Update transaction monitoring systems to flag and block crude oil transactions exceeding USD 44.1 per barrel from Russian sources
*Asset freezing: Continue blocking assets of sanctioned persons and entities; verify no new transactions circumvent the lower threshold
*Reporting obligations: Report affected business relationships to SECO in accordance with the Sanctions Ordinance
*Enhanced due diligence: Beyond SECO reporting, conduct additional investigations under Article 6 of the Money Laundering Act (GwG) when suspicious indicators arise
*Suspicious activity reporting: If enhanced due diligence cannot resolve suspicions, file reports with the Financial Intelligence Unit (FIU) under Article 9 GwG without delay
What changed
The primary regulatory change is a downward adjustment of the Russian crude oil price cap:
Previous cap: USD 47.6 per barrel
New cap: USD 44.1 per barrel
Effective date: February 1, 2026
This modification targets Russia's shadow fleet and circumvention mechanisms.
implementing Regulation (EU) 2024/2642 concerning restrictive measures in view of Russia’s destabilising activities
Why this matters
This regulation implements further restrictive measures against Russia, which will impact financial institutions across banking, investment management, and wealth management sectors.
Administrative sanction imposed on a registered alternative investment fund manager (“AIFM”)
AI Analysis
The CSSF imposed an administrative fine of EUR 10,000 on registered alternative investment fund manager (AIFM) C5 S.à r.l. on 11 September 2025 for failing to submit its annual financial crime questionnaire by the 4 April 2025 deadline, despite reminders, breaching the cooperation obligation under Article 5(1) of Luxembourg's AML/CFT Law of 12 November 2004. This enforcement action underscores the CSSF's strict enforcement of AML reporting duties and serves as a warning to supervised entities on the consequences of non-compliance with supervisory requests. It matters because it demonstrates the CSSF's willingness to publish names and impose fines for procedural lapses, potentially signaling increased scrutiny on AIFMs' AML/CFT obligations amid broader regulatory focus on financial crime risks.
Key dates
4 April 2025 Deadline
- Deadline for submission of the annual financial crime questionnaire covering the year ending 31 December 2024
11 September 2025
- Date CSSF imposed the EUR 10,000 administrative fine on the AIFM for non-submission
9 January 2026
- Publication date of the sanction decision
30 January 2026
- Publication of the queried sanction notice (noting minor title discrepancy possibly referencing a separate but analogous case).[user provided]
Suggested considerations
Immediate verification: Confirm timely submission of 2025 financial crime questionnaire (likely due April 2026 for 2025 data); review internal processes for CSSF reminders and automate alerts.
Procedural enhancements: Implement robust tracking systems for supervisory questionnaires, designate a responsible senior manager for AML cooperation, and document all responses or justifications for delays.
Training and testing: Conduct firm-wide training on AML/CFT Law Article 5(1) obligations; perform mock audits of reporting workflows, especially for registered AIFMs managing non-CSSF authorized funds.
Engagement protocol: Respond promptly to CSSF reminders; request in-person meetings if needed before fines escalate; review cooperation history to mitigate fine severity.
Policy updates: Align with CSSF Circular 25/894 for expanded AIFM reporting on unauthorized funds (notification within 10 working days for registered AIFMs).
What changed
This is not a regulatory change or new requirement but an enforcement precedent highlighting existing obligations under the AML/CFT Law:
Mandatory annual submission of the CSSF financial crime questionnaire by supervised entities, including registered AIFMs, as part of the cooperation duty in Article 5(1).
Fines determined per Article 8-4(1), (2)(f), and (3)(a), considering circumstances under Article 8-5(1), with publication assessed for proportionality under Article 8-6(1).
No new rules introduced;...
Compliance impact
Urgency: High – This sanction, though modest at EUR 10,000, exemplifies CSSF's proactive use of fines and public naming for AML reporting failures, with potential for higher penalties up to EUR 500,000 or 0.5% of turnover. It heightens risks for registered AIFMs amid CSSF's 2025-2026 priorities on financial crime, sanctions, and expanded reporting (e.g., Circular 25/894), where procedural lapses can trigger investigations, reputational damage, and barriers to remediation. Firms must prioritize to avoid escalation, especially post-publication on 30 January 2026.
Speech by Sheldon Mills, at the FCA's Supercharged Sandbox Showcase event. Before we begin, take a look around this room. This is the Supercharged Sandbox. 23 firms at the frontier of retail financial services, chosen from 132 applications. If anyone still doubts the pace of AI change in our sector, this room is the…
Why this matters
This speech by the FCA discusses a long-term review into the impact of AI on retail financial services, covering opportunities, risks, and implications for regulation.
AI Live Testing now open for applicationsAt the FCA, we’re providing a structured but flexible space where firms can test AI-driven services in real-world conditions, all with our regulatory support and oversight and help from our technical partner, Advai. Collaboration and communication is at the heart of what we are…
AI Analysis
The FCA's AI Live Testing initiative provides a voluntary, structured program for firms with mature AI proofs-of-concept (POCs) to test AI-driven services in controlled real-world environments under regulatory oversight and support from technical partner Advai. This matters because it enables safe progression from 'POC paralysis' to deployment, while helping the FCA gather insights on translating AI principles into consumer and market protections, informing future regulation. Participation enhances firms' governance, risk management, and evaluation frameworks for responsible AI use in financial services.
Key dates
October 2025
- First cohort began testing (historical reference)
19 January 2026
- Second application window opens
2 March 2026 Deadline
- Application deadline for second cohort
April 2026
- Testing starts for second cohort
Mid
March 2026; - Notification of successful applicants
Suggested considerations
Review FCA's Terms of Reference (PDF) for eligibility, focusing on mature POCs and enterprise-level AI systems.
Submit application form via FCA portal by 2 March 2026 if ready for live testing; contact suptech@ fca.org.uk for queries.
Prepare documentation on AI system components (model, context/risks, governance, human oversight, evaluation, controls) for three-phase process.
Assess internal governance, data, risk frameworks, and monitoring for AI readiness; consider non-participation but monitor for future FCA expectations.
Firms not selected should use insights from first cohort (e.g., evaluation frameworks) to strengthen internal AI practices.
What changed
This is not a mandatory regulatory change but a voluntary testing service launched by the FCA; no new enforceable requirements are imposed. Key elements include a holistic focus on the AI system (model + deployment context, risks, governance, human-in-the-loop, evaluation, input/output controls) rather than isolated foundation models. The program features three phases: Discovery, Framework validation, and AI system testing (quantitative/qualitative), emphasizing live monitoring, governance, and risk management. It complements the FCA's Supercharged Sandbox for earlier-stage AI exploration.
Compliance impact
Urgency: Medium - Voluntary program, but signals FCA's proactive stance on AI oversight; non-participation risks lagging in best practices for Consumer Protection / Conduct and Operational Resilience / Outsourcing as regulator builds evidence for potential rules. Matters for competitive edge in AI deployment and demonstrating alignment with principles-based regulation amid 'POC paralysis'. Early movers gain tailored support, intelligence-sharing on risks, and influence on FCA's evolving AI approach.
Given at the Audit and Risk Committee Dinner, Undercroft Gallery, Roman Amphitheatre, Guildhall
Why this matters
This speech covers the Bank of England's efforts to modernize its financial framework, including balance sheet strategy, investment and funding strategy, innovation and digitization, and people strategy. It is an informational update on the Bank's transformation and does not require immediate action.
This regulatory update from the SFC is focused on issues related to the preparation of listing documents and the conduct of IPO sponsors in Hong Kong. It highlights serious deficiencies in sponsor work, including lack of due diligence, resource constraints, and failure to meet regulatory requirements.
This regulatory update from the CSSF introduces a new dedicated data entry form for investment firms to update their information, including changes to entity details, services, management, shareholders, and other key functions.
This is an informational update from OSFI providing media contact details and hours of operation. It is relevant for banking, investment management, and wealth management firms, as well as the general public, but does not require immediate action.
Superintendent Routledge participates in a fireside chat at TD Annual Conference
Why this matters
This regulatory update from OSFI covers key prudential and operational topics for banks, asset managers, and wealth managers, including capital requirements, liquidity, governance, and the federal continuance process. The update provides general information rather than urgent regulatory changes.
ESMA publishes report on cross-border marketing of funds including statistics on notifications 06 January 2026 The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has today published its third report on marketing requirements and marketing communications under the…
ESMA signs Memorandum of Understanding with the Reserve Bank of India 27 January 2026 CCP International cooperation The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has signed a Memorandum of Understanding (MoU) with the Reserve Bank of India (RBI) to…
In his latest blog, Governor Gabriel Makhlouf argues that economists must adapt their analytical frameworks and expand their focus beyond traditional topics to address emerging challenges—such as geopolitical upheaval and defence spending—in order to provide robust evidence-based policy advice that serves the public…
FCA stunt launches new Firm Checker tool as around 700,000 people lose money to investment scams. Morning commuters at London Waterloo got more than their usual caffeine hit today when a mysterious 'ATM' promising to 'give away a fortune' stopped them in their tracks – and revealed an unexpected surprise.As curious…
The FCA has called on the insurance industry to help more consumers access products that support them and their families if they become critically ill or die. The interim findings of its competition review of pure protection products found that, for those consumers that have taken out protection insurance, the market…
Das Eidgenössische Departement für Wirtschaft, Bildung und Forschung WBF hat eine Änderung des Anhangs der Verordnung vom 16. Dezember 2022 über Massnahmen betreffend Haiti (SR 946.231.139.4) publiziert.
Theresa Hinz, Executive Director of Policy and Risk Response, delivers remarks for OSFI’s Quarterly Release Day
Why this matters
This regulatory update from OSFI covers several key areas for financial institutions, including consultations on credit risk management, senior leader accountability, and liquidity adequacy requirements. It also provides updates on administrative monetary penalties and loan-to-income limits.
OSFI’s Quarterly Release: continuing to advance smart, well-calibrated risk-taking
Why this matters
This regulatory update from OSFI covers several key areas for financial institutions, including new liquidity guidance, consultations on credit risk management and accountability for boards and senior leaders.
Backgrounder: Final Liquidity Adequacy Requirements Guideline (2026)
AI Analysis
The OSFI Final Liquidity Adequacy Requirements (LAR) Guideline (2026) finalizes revisions to liquidity risk monitoring standards for federally regulated deposit-taking institutions, incorporating feedback from a 2025 consultation to address evolving financial products like partnership deposits and structured notes. It enhances resilience against liquidity stress by clarifying retail funding classifications and aligning with Basel III standards, balancing regulatory burden with institutions' need to innovate and compete. This matters because liquidity ranks as a top risk amid geopolitical tensions, market uncertainty, and rapid cash outflows, directly impacting institutions' ability to meet obligations during stress.
Suggested considerations
Review and update internal liquidity risk frameworks, models, and reporting to incorporate clarified retail funding classifications (e.g., partnership deposits, structured notes) for LCR, NSFR, NCCF, and other metrics.
Recalibrate deposit classifications, maturity calculations for autocallable notes, and contingent funding triggers; ensure alignment with OSFI Notes in the guideline and read alongside Guideline B-6.
Conduct gap analyses against prior LAR versions (e.g., 2025) and test compliance via supervisory tools like OCFS (if applicable) and intraday monitoring; prepare for OSFI assessments.
Institutions should document processes for retail rate-sensitive deposits and notify OSFI if needed (e.g., Category III SMSBs on derivatives within 60 days of quarter-end).
Engage OSFI via Consultations@osfi-bsif.gc.ca for clarifications; maintain records of consultation feedback implementation where relevant.
What changed
- Clarifies classification of deposits as retail funding for favorable liquidity treatment, segmenting partnership deposits by insurance status, transactional account type, and established retail...
Combines two proposed categories of retail structured notes into one, aligning their liquidity treatment with term deposits managed by unaffiliated third parties; specifies maturity measurement for...
Simplifies the definition of retail rate-sensitive deposits to improve consistency in liquidity risk measurement across LCR, NSFR, and NCCF metrics.
Builds on prior LAR updates (e.g., 2025), incorporating Basel Consolidated Framework standards with OSFI-specific notes for Canadian institutions; maintains two core standards (LCR and NSFR) plus...
Reflects stakeholder feedback on draft revisions, enhancing treatment of hybrid retail-wholesale products amid market innovation.
Compliance impact
Urgency: High – With effectiveness on May 1, 2026 (approx. 3 months from now), institutions face tight timelines for system updates, model recalibrations, and staff training amid liquidity as a top 2025-2026 risk. Non-compliance risks supervisory intervention under Bank Act ss. 485(3)/949(3) or TLCA s. 473(3), potential administrative monetary penalties, and heightened scrutiny in OSFI's quarterly risk assessments; changes sharpen focus on stress resilience while allowing competition, but misclassification of evolving products could amplify funding costs or stability risks.
Backgrounder: Consultative document on Senior Leader Accountability
Why this matters
This regulatory update from OSFI focuses on a new principles-based regime to modernize suitability and accountability standards for senior leaders of federally regulated financial institutions. This is a critical governance and prudential issue that will impact banks, wealth managers, and asset managers in Canada.
Read the Monetary Policy Statement for January 2026.
Why this matters
This monetary policy statement from the Monetary Authority of Singapore (MAS) is relevant for banks, asset managers, and wealth managers as it outlines changes to the Singapore dollar nominal effective exchange rate (S$NEER) policy band and expectations for economic growth and inflation.
Central Bank of Ireland has successfully completed the sale of its Spencer Dock (East Wing) building to the Office of Public Works for €23.7m. The sale of Spencer Dock was a key element of the Central Bank’s longer term property strategy aligned to our decision to develop a single Dockland Campus through the purchase…
We’re working closely with the Office of Financial Sanctions Implementation (OFSI), UK law enforcement, and our regulatory partners to tackle the abuse of cryptoassets and associated money‑laundering activities. Read the full blog on the OFSI’s website.
We have signed a contract with Etrading Software (ETS) to deliver the UK bond consolidated tape. A high-quality tape will provide investors with a comprehensive overview of the bond market and support price formation and liquidity. It will help maintain the UK’s position as a highly competitive and compelling place to…
MAS announced that Singapore intends to join international efforts to enhance the capacity of the International Monetary Fund to help vulnerable member countries deal with economic shocks.
Why this matters
This regulatory update from the Monetary Authority of Singapore (MAS) announces that Singapore will join international efforts to support the IMF's initiatives for vulnerable countries.
The Securities and Exchange Commission today filed settled charges against Archer-Daniels-Midland Company (ADM) and its former executives, Vince Macciocchi and Ray Young, and a litigated action against its former executive Vikram Luthar, for …
This regulatory update announces a joint meeting of the Financial System Council and Sectional Committee on Financial System. This indicates discussions and potential policy changes related to banking, investment management, and capital markets regulation, including prudential requirements, reporting, and licensing.
Das Eidgenössische Departement für Wirtschaft, Bildung und Forschung WBF hat eine Änderung des Anhangs der Verordnung über Massnahmen betreffend Guatemala (SR 946.231.137.6) publiziert.
The FCA has launched a review into the implications of advanced AI on consumers, retail financial markets and regulators. The Review will be led by Sheldon Mills and builds on the FCA’s existing work on AI. This includes its AI Discussion Paper, AI Sprint, and AI Lab including AI Live Testing and its groundbreaking…
On 21 January 2026, Guavapay Limited entered compulsory liquidation. The Official Receiver, an officer of the Insolvency Service, is its liquidator. Guavapay is authorised by the FCA to issue E-money and provide payment services to its customers.On 17 September 2025, Guavapay agreed to a voluntary requirement with the…
This regulatory update covers several key areas for financial institutions, including anti-money laundering guidelines, financial reporting, and prudential requirements. It is of medium urgency as it provides information on upcoming changes and public consultations.
Sanctions & settlements MAR Compliance Journalists Investment services providers The AMF Enforcement Committee fines an investment services provider and its director a total of €850,000
Securities and Exchange Commission Chairman Paul S. Atkins and Commodity Futures Trading Commission Chairman Michael S. Selig will hold a joint event, previously scheduled for Jan. 27, now rescheduled for Thursday, Jan. 29, from 2 p.m. to 3 p.m. at CFTC…
The latest Accelerated Settlement Taskforce (AST) report updates on the significant progress made towards the move to T+1. Read the AST report.Jamie Bell, head of capital markets at the FCA, said:'T+1 marks a major milestone in our drive to support growth and innovation. Faster settlement cycles will reduce risk, free…
GC25/1 within Primary Market Bulletin No. 55 consults on targeted amendments to FCA Knowledge Base technical notes to align with UK Listing Rules (UKLR) changes effective 29 July 2024 and a new ESEF taxonomy for digital reporting. This matters for listed issuers and advisors as it updates formal guidance on periodic reporting, inside information handling, and position disclosures, ensuring compliance with post-reform listing regime requirements.
Suggested considerations
Review blacklined amendments in GC25/1 and PMB 55; submit feedback by 15 May 2025 if impacted.
Update internal policies, training, and procedures to reflect finalised notes (e.g., enhanced notification under Listing Principle 2, ESEF taxonomy for DTR 4.1 reporting) once published by July 2025.
Until finalised, interpret existing guidance in light of UKLR; monitor for TN/710 update in future PMB.
For digital reporting, prepare for new ESEF taxonomy in annual IFRS statements.
What changed
- Amendments to five technical notes: FCA/TN/506.2 (Periodic financial information and inside information), Primary Market/TN/507.1 (Structured digital reporting for IFRS annual statements,...
Broader PMB 55 finalises 44 notes (e.g., TN/209.4 on Listing Principle 2 notifications, TN/305.3 on hostile takeovers, TN/307.2 on aggregating transactions for closed-ended funds) from prior...
Changes are non-substantive, focusing on updating references to UKLR (PS24/6), removing outdated content, and maintaining guidance status under UK Listing Rules, Prospectus Regulation Rules, and...
Compliance impact
Urgency: Medium – Past consultation deadline (15 May 2025) as of January 2026, but finalisation expected by July 2025 requires proactive policy reviews to avoid non-compliance with updated listing guidance. Matters for market integrity and operational alignment with UKLR reforms, with low immediate risk but potential enforcement exposure post-finalisation.
The FCA's guidance outlines good and poor practices in communicating costs for international money remittance and cross-border payments involving currency conversion, emphasizing transparency under the Consumer Duty to enable informed consumer decisions. It matters because non-compliance risks supervisory action, as the FCA plans future reviews to assess improvements, raising the bar on pricing clarity amid ongoing Duty enforcement.
Key dates
31 July 2023
- Consumer Duty effective date for new and existing products/services
1 May 2025
- FCA publication date of this good/poor practice guidance
Suggested considerations
Review and update pre-transaction communications (e.g., websites) to prominently display all required pricing elements before commitment: GBP amount, exchange rate/markup, recipient amount, fees (fixed/variable/total), and intermediary warnings.
Ensure markups are framed as consumer costs, not obscured (e.g., avoid "zero cost" claims despite markups).
Monitor communication effectiveness regularly under Consumer Duty to confirm good outcomes, enabling cost comparisons and informed choices.
Apply principles to all channels; proactively disclose fee variability and third-party impacts.
What changed
This is not new rulemaking but illustrative guidance applying existing Consumer Duty rules from FG 22/5 and PRIN 2A.5.3R, which mandate communications that are clear, fair, not misleading, meet retail customers' information needs, are understandable, and support effective decisions. Key emphases include pre-transaction disclosure of: amount remitted (GBP), applied exchange rate (explaining markups as consumer costs), recipient amount (local currency), variable/fixed fees, total fees, and intermediary/recipient bank fees where applicable.
Compliance impact
Urgency: High – Consumer Duty is live since 2023, but this 2025 guidance signals intensified FCA scrutiny on payments transparency, with planned follow-up work and engagement to enforce improvements. Firms risk remediation demands or enforcement if disclosures remain inadequate, especially as it targets common weaknesses like hidden fees amid broader Duty portfolio reviews.
FCA PS25/19 finalizes rules to streamline complaints reporting by replacing multiple existing returns with a single consolidated return, enhancing data quality, consistency, and vulnerability identification while reducing burdens. This matters for compliance teams as it mandates system and process updates to improve regulatory oversight and consumer protection, with implementation required within 12 months.
Suggested considerations
Review and update internal complaints recording, categorization, and reporting systems to align with new consolidated return, taxonomy, permission-based sections, and vulnerability data points.
Permission-based reporting: Firms report only sections relevant to their regulated permissions, targeting reporting to specific activities.
Simplified nil returns: Proportionate approach allows upfront selection for firms with no complaints.
Removal of group reporting: Shifts to individual legal entity-level reporting for greater transparency and oversight.
Updated complaints taxonomy: Revised categories reflect modern products/services, reducing use of 'Other' and improving categorization.
Compliance impact
Urgency: High – With publication on 3 Dec 2025 and a 12-month implementation window (to ~Dec 2026), firms must prioritize system changes now, as the first period starts 1 Jan 2027; non-compliance risks enforcement, especially on vulnerability reporting and transparency, amid FCA's focus on consumer protection data quality.
CP25/15 proposes prudential rules and guidance for UK firms issuing **qualifying stablecoins** and safeguarding **qualifying cryptoassets**, aiming to foster a safe, competitive crypto sector while prioritizing consumer protection and market integrity. This matters for compliance professionals as it introduces tailored prudential sourcebooks (COREPRU and CRYPTOPRU) to mitigate firm failure risks, aligning with the FCA's crypto roadmap and Treasury's statutory plans.
Key dates
28/05/2025
- Consultation opens and CP first published
31/07/2025
- Consultation closes; submit feedback via online form, email ([email protected]), or post
Q3 2025
- Upcoming Conduct and Firm Standards CP affecting all cryptoasset firms, including QS issuers and custodians
Post
31/07/2025; - FCA considers feedback and publishes final rules (no specific date given)
Future (CP2 per Roadmap)
- Consultation on remaining prudential sourcebook requirements
Suggested considerations
Respond to Consultation: Firms, advisers, and stakeholders must submit comments by 31/07/2025 using the online form, email, or post to influence final rules.
Assess Applicability: Crypto firms evaluate if they qualify as CRYPTOPRU firms; conduct gap analyses against proposed COREPRU/CRYPTOPRU rules on own funds, capital adequacy, and stress testing.
Prepare Prudential Frameworks: Develop internal capital adequacy processes reflecting stress events, valuation adjustments, and ongoing prudential assessments; review threshold conditions and business principles.
Engage on Related CPs: Monitor and respond to CP25/14 (stablecoin issuance/custody) and future CPs (e.g., CP2, Q3 2025 Conduct Standards).
Data and Reporting Readiness: Prepare to provide firm/market data for FCA evaluations on adherence and outcomes.
What changed
- Prudential Sourcebooks: Introduces COREPRU (core requirements across sectors) and CRYPTOPRU (crypto-specific calibrations) for "CRYPTOPRU firms" handling regulated crypto activities, covering own...
Own Funds and Capital Rules: Firms must hold financial resources adequate in amount and quality, including adjustments for valuation uncertainty, stress realizable values, and interim profits in CET1...
Risk Management and Outcomes: Targets prevention of firm failures, disorderly wind-downs, and consumer harm; measures success via reduced failure rates, market confidence, and prudential assessments.
Sector-Specific Rules: Calibrated for stablecoin issuance and cryptoasset safeguarding, with future consultations on broader applications (e.g., trading venues, staking).
Compliance impact
Urgency: High – As of January 2026, the consultation closed over five months ago, signaling imminent final rules that could reshape prudential requirements for crypto firms; non-compliance risks authorization barriers, enforcement, or market exclusion in a regime prioritizing stability amid global crypto growth. This elevates risks for firm failures and consumer harm, demanding immediate gap assessments to align with proportionate standards supporting innovation.
The FCA's GC25/2: Primary Market Bulletin No. 57 (PMB 57), published 25 July 2025, consults on amendments to Technical Note 710.1 ('Sponsor Services: Principles for Sponsors') and a new Technical Note 638.1 on complex financial history and significant financial commitment rules for prospectuses. This matters as it updates the Knowledge Base to align with the new UK Listing Regime (UKLR) and Prospectus Rules, providing clarity for sponsors and issuers ahead of the PRM sourcebook effective January 2026, reducing compliance risks in primary markets.
Suggested considerations
Review and respond: Analyse draft TN 710.1 and TN 638.1; submit feedback by 12/09/2025, focusing on sponsor obligations, complex history scenarios, and examples (e.g., AFME suggested clarifying 'significant acquisition' thresholds).
Update policies/processes: Sponsors to align with clarified UKLR 4 principles; issuers to incorporate TN 638.1 guidance into prospectus preparation, especially for acquisitive businesses.
Monitor finalisation: Track FG25/5 or subsequent PMBs for final notes; interpret existing Listing Rules in light of UKLR until all updates complete.
Implement NSM changes: By 03/11/2025 for relevant disclosures.
What changed
- Amendments to TN 710.1 (Sponsor Services: Principles for Sponsors): Revisions clarify the scope of 'preparatory work' and sponsor obligations under UKLR 4, building on feedback from PMB 48, 53, and...
New TN 638.1 (Guidance on complex financial history and significant financial commitment rules): Updated draft provides detailed guidance for prospectus applications by companies with complex...
Other updates: Finalises five technical notes from PMB 55 (e.g., TN 506.3 on periodic financial information, TN 521.4 on inside information); National Storage Mechanism changes effective 3 November...
Compliance impact
Urgency: Medium – Consultation closed 12/09/2025 (past deadline as of January 2026), but final notes (e.g., TN 710 by end-2025) and PRM effective 19/01/2026 require immediate policy reviews to avoid prospectus rejections or sponsor breaches. Matters for primary market competitiveness and investor protection under evolving UKLR/PRM, with no material CBA changes from CP23/31/CP24/12.
The FCA's updated Statement of Policy outlines its approach to statutory investigations into possible regulatory failures under Part 5 of the Financial Services Act 2012, including criteria for triggering investigations and producing reports for HM Treasury. It matters because it clarifies when the FCA must self-scrutinize serious lapses in regulation, helping firms anticipate rare but high-profile probes into systemic issues affecting consumer protection, market integrity, or competition. The primary update adjusts inflation-linked monetary thresholds for assessing "significant" consumer detriment, ensuring the policy remains relevant.
Key dates
14 November 2025
- Publication date of updated Statement of Policy
Suggested considerations
Monitor for triggering events: Firms should self-assess operations against the two-part test, particularly potential consumer detriment exceeding £45m/£210m thresholds or impacts on FCA objectives.
Enhance internal reviews: Conduct "lessons learned" exercises post-incident to align with FCA's non-statutory approach, reducing escalation risk to formal probes.
No direct firm obligations: This is FCA policy on self-investigation; firms face no new reporting or compliance mandates but should prepare for FCA enquiries if events suggest regulatory system failures.
Document qualitative factors (e.g., vulnerability) in risk assessments to contextualize detriment.
What changed
- Inflation-adjusted monetary thresholds for consumer detriment: Detriment exceeding £210 million is more likely deemed "significant," while below £45 million is unlikely to meet the threshold unless...
No other substantive changes from the 2013 policy; refinements emphasize internal "lessons learned" reviews for non-statutory cases to avoid resource duplication in formal probes.
Clarified two-part statutory test: (1) Events indicating significant failure in consumer protection or adverse effects on integrity/competition objectives; (2) Events might not have occurred (or...
Compliance impact
Urgency: Medium. This update signals FCA's commitment to accountability without imposing new firm-level rules, but it heightens focus on significant failures (£45m+ detriment), potentially leading to public reports exposing industry-wide gaps. Firms with high consumer exposure (e.g., retail-facing) should prioritize as probes, though rare, amplify reputational and remedial risks via Treasury publication.
The FCA's CP25/31 proposes a regulatory framework for introducing a UK equity Consolidated Tape (CT), operated by a Consolidated Tape Provider (CTP), to collate and distribute comprehensive post-trade data (prices and volumes) across trading venues and OTC trades in equities, including shares, ETFs, depository receipts, and similar instruments. This matters for compliance as it imposes new data contribution obligations on trading venues and APAs, aims to enhance market transparency and competitiveness under the FCA's 2025-2030 Strategy, and builds on FSMA 2023 powers for Data Reporting Services Providers (DRSPs). Firms must engage now to shape rules via consultation, with potential operations targeted for 2027.
Suggested considerations
Respond to Consultation: Submit feedback by 13/02/2026 via FCA online form, email (equityct@fca.org.uk), post, or phone (020 7066 9758); focus on design trade-offs like pre-trade data, CTP numbers, revenue sharing, resiliency.
Data Readiness: Trading venues/APAs assess internal systems for mandatory data provision to CTP (e.g., trade prices/volumes); prepare for authorisation/procurement processes if pursuing CTP status.
Monitor Updates: Review full CP PDF (https://www.fca.org.uk/publication/consultation/cp25/31.pdf), January 2026 CBA methodology note, and linked docs like CP23/15, Europe Economics report, CP25/20.
Engage Stakeholders: Potential CTPs express interest via FCA opportunities; data users provide input on accessibility/pricing.
Compliance Mapping: Map proposals to existing DRSP/venue rules under FSMA 2023 and repealed DRSRs.
What changed
- CTP Obligations: Proposed rules establish core regulatory requirements for CTPs, including governance, operational resiliency, data collation/distribution, competitive pricing, and simple licensing...
Data Contributor Obligations: Trading venues and Approved Publication Arrangements (APAs) must provide trade data (e.g., prices, volumes) to the CTP, covering trades across venues and OTC equity...
Scope and Outcomes: CT focuses on post-trade data initially (with trade-offs on pre-trade inclusion); seeks to increase UK equity data usage, improve liquidity visibility, support innovation, and...
Authorisation and Procurement: Streamlined process for CTP authorisation; FCA to run procurement for operator selection, balancing speed with robustness.
Evidence-Based Design: Addresses complexities like number of CTPs, revenue sharing, resiliency standards; follows prior feedback from CP23/15 and Europe Economics report.
Compliance impact
Urgency: High – While still in consultation (closes 13/02/2026), proposals mandate data contributions from trading venues/APAs and CTP setup, with 2027 operations targeted; non-engagement risks misaligned systems or missed CTP opportunities. Matters due to FSMA 2023 empowerment, links to equity transparency reforms (CP25/20), and strategic push for UK market competitiveness – firms face new reporting/resiliency burdens but gain liquidity/transparency benefits.
The FCA's PS25/22 establishes a new regulatory framework for **targeted support**—a form of financial guidance that allows authorised firms to provide ready-made suggestions to consumer segments without conducting individualised suitability assessments. This framework addresses the UK's "advice gap" by enabling firms to deliver affordable, scalable financial support to an estimated 18 million consumers within a decade, fundamentally shifting how retail investors and pension savers access guidance on investment and retirement decisions.
Key dates
29/08/2025
- Consultation period closed (CP25/17 and CP25/26)
11/12/2025
- Policy Statement PS25/22 published with near-final rules
March 2026
- Firms may begin applying for targeted support permission
06/04/2026
- New rules expected to come into force (subject to Government legislation making targeted support a specified activity)
Suggested considerations
*Immediate (January–February 2026):
*Pre-Implementation (March 2026):
Consumer segment definitions with supporting rationale
Ready-made suggestion frameworks
Communication templates explaining the nature of targeted support
What changed
The framework introduces several material regulatory changes:
New Specified Activity Status
Targeted support will be designated as a new specified activity under the Regulated Activities Order, meaning only FCA-authorised firms can provide this service. This creates a regulatory boundary distinct from both unregulated guidance and regulated investment advice.
Purpose Statement Refinement
The FCA amended its original purpose statement from "better outcomes" to "better position" to clarify policy intent and avoid confusion with the Consumer Duty requirement for "good outcomes." This...
The FCA's PS25/23 finalizes guidance on tackling **non-financial misconduct (NFM)** in financial services, amending the COCON sourcebook to clarify how serious NFM breaches conduct rules and integrating it into FIT assessments for fitness and propriety. This matters because it aligns rules across banks and non-banks, enhances accountability, deters harmful workplace cultures, and supports FCA objectives like consumer protection and market integrity by ensuring consistent handling of issues like bullying or harassment.
Key dates
1 September 2026
- New COCON rules and guidance come into force (non-retrospective)
Suggested considerations
Review and update policies/handbooks to incorporate COCON/FIT guidance on NFM assessment, including flowcharts and factors for breaches/fitness.
Train HR, compliance, and managers on applying rules consistently, emphasizing seriousness thresholds, case-by-case judgement, and alignment with employment law/privacy.
Enhance regulatory reference processes to disclose past NFM; ensure reporting of serious breaches to FCA.
Assess current NFM handling for gaps (e.g., non-bank alignment); document decision-making to demonstrate fairness/decisiveness.
Firms not to investigate trivial/improbable allegations or overstep privacy laws.
What changed
- COCON amendments: Expands scope to non-banks for work-related serious NFM involving financial services personnel; provides flowcharts, examples, and factors (e.g., seriousness, pattern, dishonesty,...
FIT sourcebook updates: Integrates NFM into fit and proper tests for employees/senior personnel; firms assess case-by-case without investigating implausible claims or breaching privacy; removes...
Managerial accountability: Relative to knowledge/authority under ICR2; no expansion into purely private life.
Minor tweaks from CP25/18 feedback: New diagrams, employment law alignment, withdrawn burdensome factors.
Compliance impact
Urgency: High – With rules effective 1 September 2026 (9+ months from today), firms have preparation time, but PS25/23 closes FCA's NFM policy work, shifting to supervision/enforcement focus; non-compliance risks enforcement, FIT failures, and reputational damage amid trust-building priorities in FCA Strategy 2025-2030.
The FCA and PRA are consulting on setting the Financial Services Compensation Scheme (FSCS) Management Expenses Levy Limit (MELL) at £113 million for 2026/27, comprising a £108 million management expenses budget (up £4.4 million from 2025/26, broadly in line with inflation) and a £5 million unlevied reserve. This matters because it caps the operating costs (e.g., IT, staff, legal, claims handling) that FCA- and PRA-authorised firms must fund via levies, excluding separate compensation payments, ensuring FSCS efficiency while controlling firm burdens.
Key dates
13 January 2026
- Consultation opens (CP26/2 FCA; CP1/26 PRA)
10 February 2026
- Consultation closes; submit comments via email or post to PRA (accepted on behalf of both regulators, shared anonymously with FSCS)
1 April 2026
- Final rules effective (start of FSCS financial year); PRA Policy Statement and FCA Handbook Notice expected post-consultation
31 March 2027
- MELL period ends
Suggested considerations
Review CP26/2 (FCA) and CP1/26 (PRA) alongside FSCS January 2026 Budget Update for allocation details.
Submit feedback on proposed MELL by 10 February 2026 to PRA (email or 20 Moorgate, London EC2R 6DA).
Budget for potential levy payments starting 1 April 2026, based on firm's share of PRA/FCA classes (see Appendix 4 in CP).
Monitor post-consultation Policy Statement/Handbook Notice for final MELL confirmation.
What changed
- Proposed MELL of £113 million for 2026/27: £108 million budget + £5 million unlevied reserve.
Budget increase of £4.4 million (4%) from 2025/26, aligned with inflation; excluding new revolving credit facility (RCF) enhancement costs, it reflects a £6.6 million nominal and £11 million...
Budget allocated across PRA and FCA fee blocks based on firms' regulated business volume, with smaller firms contributing less.
No changes to compensation levies, which remain separate and forecast at £342 million total levy including compensation.
Compliance impact
Urgency: Medium - Firms face predictable levy increases aligned with inflation, with levies allocated by business volume (minimal for small firms), but must act on consultation feedback by 10 February 2026 (today is 25 January 2026, leaving ~2 weeks). Matters for financial planning and budgeting, as MELL ensures FSCS operational funding without covering volatile compensation costs; failure to engage risks unaddressed cost concerns in final rules.
With 40 Participants, SAMA Receives a Delegation from the Hong Kong Academy of Finance
Why this matters
This news article discusses a delegation visit from the Hong Kong Academy of Finance to the Saudi Arabian Monetary Authority (SAMA), which is the central bank of Saudi Arabia.
This regulatory update from SAMA on changes to repo and reverse repo rates is relevant for banks and wealth managers as it impacts their funding and liquidity management. It also has implications for reporting and disclosure requirements.
SAMA Licenses “Tabby finance” Company to Engage in BNPL Activity
Why this matters
This regulatory update announces that SAMA has licensed the 'Tabby finance' company to engage in Buy-Now-Pay-Later (BNPL) activities, which falls under the Payments & E-Money and Consumer Credit sectors.
SAMA Licenses “Darb Pay for Information Technology” to Provide Payment Services
Why this matters
This regulatory update announces that SAMA has licensed 'Darb Pay for Information Technology' to provide payment services, which is relevant for payment providers operating in Saudi Arabia.
SAMA Seeks Public Consultation on the Draft Update to the “Oversight Framework for Payment Systems and Their Operators”
Why this matters
This regulatory update from SAMA relates to the oversight framework for payment systems and their operators, which is relevant for payment providers. It covers topics around authorization and licensing as well as operational resilience, which are important for this sector.
This regulatory update from SAMA (Saudi Arabian Monetary Authority) regarding the revocation of the license of Fas Finance Company is relevant to banking and payments firms, particularly those operating in the Saudi Arabian market.
SAMA Hosts the FSB Plenary Meeting and EMDEs Forum
Why this matters
This news item discusses SAMA hosting the FSB Plenary Meeting and EMDEs Forum, which is likely to cover topics related to prudential requirements, operational resilience, and reporting for banks, asset managers, and wealth managers.
This news item discusses a summit hosted by SAMA (Saudi Arabian Monetary Authority) focused on innovation, which is relevant to banking, payments, and crypto/digital assets sectors. The key topics covered are likely technology, licensing, and operational resilience given the nature of the event.
SAMA Licenses “Madd Balas” Company to Provide Debt-Based Crowdfunding Solutions
Why this matters
This regulatory update from SAMA licenses a company called 'Madd Balas' to provide debt-based crowdfunding solutions, which is relevant to the banking, investment management, and wealth management sectors. The topics covered include authorization and licensing, consumer protection, and prudential requirements.
Governor of SAMA: 2026 Budget Aims to Enhance Sustainable Economic Growth in the Kingdom
Why this matters
This regulatory update from the Governor of SAMA discusses the 2026 budget in Saudi Arabia, which aims to enhance sustainable economic growth. This is relevant for banking, investment management, and wealth management firms operating in the region, as it signals a focus on ESG, prudential requirements, and reporting.
ASIC acts against ESG investment fund responsible entity alleging governance failures and misleading conduct
Why this matters
This regulatory update from ASIC focuses on alleged governance failures and misleading conduct by an investment fund responsible entity regarding its ESG-focused investment fund.
ASIC cancels Australian financial services licence of Velos Global Markets Pty Ltd
Why this matters
This regulatory update from ASIC involves the cancellation of an Australian financial services license, which impacts firms operating in the banking, investment management, and wealth management sectors. The key topics covered are authorization and licensing, consumer protection, and prudential requirements.
ASIC approves Cboe’s listing application to bolster competition in public markets
Why this matters
This regulatory update from ASIC approves Cboe's application to operate a listing market in Australia, which will increase competition in the public markets. This is relevant for capital markets firms and will impact market dynamics and oversight.
ASIC finds many auditors failing to demonstrate compliance with auditor independence obligations
Why this matters
This regulatory update from ASIC focuses on auditor independence and compliance, which is a critical issue for financial services firms across multiple sectors. The findings indicate widespread failures by auditors to meet independence requirements, which could undermine trust and confidence in financial reporting.
Victorian man sentenced in Cann Group insider trading case
Why this matters
This regulatory update covers an insider trading case involving a medical cannabis company, which is relevant to firms in the banking, investment management, and capital markets sectors.
ASIC Annual Forum to focus on the challenges of a rapidly evolving economy as it returns to Melbourne in November
Why this matters
This regulatory update from ASIC covers a range of topics relevant to financial firms, including the state of the economy, consumer trust, capital markets, digital transformation, and enforcement priorities.
ASIC’s annual report reveals strong growth in enforcement action and investigations and keen focus on strengthening markets
Why this matters
This regulatory update from ASIC covers a range of enforcement actions, investigations, and regulatory initiatives across the financial services sector. It indicates a strong focus on consumer protection, market integrity, and transparency, which are of high importance for firms operating in banking, capital markets,...
ASIC bans former Lighthouse Partners director Timothy Archibald for 10 years for fees for no service conduct
Why this matters
This regulatory update from ASIC involves a ban on a former financial adviser and director for fees for no service conduct, which is a key focus area for conduct and consumer protection.
ASIC cancels AFS licence of CPG Research & Advisory for ceasing business operations and unpaid industry funding levies
Why this matters
This regulatory update from ASIC relates to the cancellation of an Australian financial services (AFS) license due to the licensee ceasing business operations and failing to pay industry funding levies.
ASIC flags risks in offshore outsourcing after review identifies governance gaps
Why this matters
This regulatory update from ASIC highlights risks and governance gaps in the use of offshore service providers by financial advice licensees and responsible entities. It is a high priority issue as it can expose consumers and investors to potential harm through data breaches, disruptions, and lack of oversight.
ASIC sends clear message to super trustees amid glaring retirement communications gaps
Why this matters
This regulatory update from ASIC focuses on retirement communications by superannuation trustees, which is a key consumer protection and governance issue for investment management and insurance firms providing pension products.
Federal Court orders remaining ALAMMC Group companies wound up
Why this matters
This regulatory update is relevant to banking, investment management, and wealth management firms due to the concerns raised around misuse of investor funds, potential breaches of directors' duties, and the winding up of the ALAMMC Group companies.
Two former Statewide Super executives acquitted on charges of dishonesty offences
Why this matters
This regulatory update relates to the acquittal of two former executives of a superannuation fund on charges of dishonesty offences. It is a news article with informational content, so the urgency is low.
Federal Court dismisses ASIC’s claims against former Freedom Insurance director and consultant
Why this matters
This regulatory update relates to a case involving a former director and consultant of a deregistered insurance provider, Freedom Insurance. The key topics covered are consumer protection and conduct, as well as licensing and authorization requirements for insurance firms.
Directors of Perth-based financial services company charged over five-year failure to lodge financial accounts with ASIC
Why this matters
This regulatory update is relevant to banking, investment management, and wealth management firms, as it involves charges against directors of a financial services company for failing to lodge financial accounts as required.
This regulatory update from ASIC indicates that it has halted offers of the TruePillars Investment Trust due to concerns over the product disclosure statements, including potential omissions and misleading statements.
ASIC permanently bans Noel Northcott from the financial services industry
Why this matters
This regulatory update from ASIC permanently bans an individual, Noel Northcott, from providing financial services, controlling financial services businesses, or performing functions in financial services businesses.
Collection agency company director loses appeal against conviction for obtaining a financial advantage by deception
Why this matters
This regulatory update is about a collection agency director being convicted for obtaining a financial advantage by deception, which relates to consumer credit activities and licensing requirements. The update is of medium urgency as it involves a regulatory enforcement action.
ASIC bans MWL financial adviser and investment committee member Wade Spooner for 8 years
Why this matters
This regulatory update from ASIC involves the banning of a financial adviser and investment committee member for misconduct related to inappropriate investment advice and misleading statements.
Queensland director sentenced for making a false or misleading statement to ASIC
Why this matters
This regulatory update is relevant to banking, investment management, and wealth management firms, as it involves a director making a false or misleading statement to the Australian Securities and Investments Commission (ASIC).
ASIC bans former UGC and MWL financial adviser Jovan Videkanic for 7 years
Why this matters
This regulatory update from ASIC involves the banning of a financial adviser for providing inappropriate advice to clients, including recommending high-risk investments. This impacts investment management and wealth management firms, and raises consumer protection concerns around conduct and licensing.
ASIC cancels licence of Wealth Trail Pty Ltd (In Liquidation)
Why this matters
This regulatory update from ASIC involves the cancellation of an Australian financial services (AFS) licence due to a failure to pay an AFCA determination, which triggered a payment from the Compensation Scheme of Last Resort (CSLR).
Auditor of United Global Capital and related entities cancelled by Companies Auditors Disciplinary Board
Why this matters
This regulatory update relates to the cancellation of an auditor's registration due to failures in auditing investment funds and related entities, which had significant investments from self-managed superannuation funds.
RAMS penalised $20 million for widespread compliance failings regarding home loans
Why this matters
This regulatory update from ASIC indicates widespread compliance failures by RAMS, a subsidiary of Westpac, in relation to home loan arrangements. The failures include dealing with unlicensed referrers, inadequate conflict of interest management, and lack of supervision to ensure compliance with credit laws.
This regulatory update from ASIC involves allegations of misconduct by a financial advisor, including unconscionable conduct, conflicted advice, and providing defective statements of advice.
Updated ASIC guidance supports digital asset innovation and boosts investor protection
Why this matters
This regulatory update from ASIC provides guidance on the classification of various digital asset products as financial products, requiring firms to obtain appropriate licenses. It also announces transitional support and relief measures to facilitate the transition to the proposed digital asset regulatory framework.
ASIC secures interim travel restraint orders against Blockchain Global director Ryan Xu
Why this matters
This regulatory update from ASIC relates to an investigation into the collapse of a crypto asset exchange operated by Blockchain Global. It involves securing interim travel restraint orders against a director, which indicates potential financial crime or misconduct concerns.
ASIC bans former Crown Wealth Group director Brendan Rodwell for failing to report fees for no service conduct
Why this matters
This regulatory update from ASIC bans a former director of a financial services licensee for failing to report and address fees for no service misconduct. This is a serious conduct issue impacting consumer protection and requires high urgency given the implications for the firm's governance and compliance.
Construction industry director charged with breach of director’s duties and providing false and misleading documents
Why this matters
This regulatory update involves allegations of misconduct by a construction industry director, including breach of director's duties and providing false and misleading documents to ASIC.
This regulatory update from ASIC relates to an investigation into the Clime Australian Income Fund and its investment manager Clime Asset Management, which is a subsidiary of Clime Investment Management.
Perth fraudster Chris Marco sentenced to 14 years imprisonment
Why this matters
This regulatory update from ASIC involves a high-profile fraud case against an individual who defrauded multiple investors of over $34 million. The case is significant as it resulted in the highest sentence imposed by an Australian court in relation to an ASIC criminal investigation.
ASIC highlights financial reporting and audit findings for FY 2024–25 as part of expanded program of work
Why this matters
This regulatory update from ASIC covers findings from financial reporting and audit surveillances, including enforcement actions against auditors. It is relevant for banking, investment management, and wealth management firms, particularly around reporting, ESG, and prudential requirements.
ASIC cancels AFS licence of Arrumar Private for licence failures
Why this matters
This regulatory update from ASIC involves the cancellation of an Australian financial services (AFS) license due to compliance failures, which is a significant regulatory action that impacts the affected firm and may have broader implications for the financial services industry.
ASIC cancels Australian credit licence of GS-APAC Pty Ltd
Why this matters
This regulatory update from ASIC relates to the cancellation of an Australian credit license for GS-APAC Pty Ltd, a credit provider, due to failure to pay an AFCA determination. This impacts the banking and consumer credit sectors, and involves authorization and licensing as well as consumer protection issues.
Charges against Dean Scook, former officer of Rock Mining Australia Limited, have been discontinued
Why this matters
This regulatory update is about the discontinuation of charges against a former officer of a mining company, which is not directly related to the financial services sectors. However, it touches on topics like financial crime and consumer protection that are relevant across the industry.
Freezing orders against Gregory Cotton and First Mutual Private Equity continue
Why this matters
This regulatory update from ASIC involves freezing orders against an individual and their private equity firm due to concerns over potential fraud and misuse of investor funds. This is a high-urgency issue that impacts banks, wealth managers, and asset managers who may have been affected by this case.
This regulatory update from ASIC discusses Cboe Global Markets' decision to sell its Australian and Canadian market businesses. It is relevant to capital markets participants, particularly broker-dealers, as it involves changes to market structure and competition.
This regulatory update from ASIC relates to the cancellation of the Australian financial services (AFS) licence of Ricard Securities Pty Ltd, an investment management and wealth management firm.
Former CEO of AI marketing company Metigy pleads guilty to misleading investors and dishonestly using his position
Why this matters
This regulatory update is relevant for investment management firms, wealth managers, and broker-dealers as it involves a former CEO pleading guilty to misleading investors and misusing his position. The topics of consumer protection, reporting/disclosure, and authorization/licensing are key areas of concern.
This regulatory update from ASIC outlines a roadmap to promote strong, efficient, and globally competitive capital markets in Australia. It covers key topics such as modernizing public markets, enhancing supervision of private markets and private credit, and the role of superannuation funds.
Prime Super pays ASIC infringement notice alleging misleading statements about tobacco investments
Why this matters
This regulatory update from ASIC involves an infringement notice issued to a superannuation fund (Prime Super) for making misleading statements about its investments in tobacco companies, which is a consumer protection and ESG-related issue.
HESTA pays ASIC infringement notices alleging misleading statements about carbon emissions
Why this matters
This regulatory update from ASIC relates to misleading statements made by the HESTA superfund about its commitment to removing carbon emissions investments. It involves issues around ESG/sustainability claims, consumer protection, and reporting/disclosure requirements for financial firms.
ASIC review raises fresh concerns over risks to retirement savings from poor SMSF advice
Why this matters
This regulatory update from ASIC raises concerns over the quality of financial advice related to the establishment of self-managed super funds (SMSFs), which could put retirement savings at risk.
ASIC successfully defends special leave application to the High Court by Cigno Australia director Mark Swanepoel and BSF Solutions director Brenton Harrison
Why this matters
This regulatory update is relevant to consumer credit providers, particularly fintechs, as it involves a case against Cigno Australia and BSF Solutions for operating without a credit license and charging prohibited fees.
ASIC drives car finance providers to improve consumer outcomes
Why this matters
This regulatory update from ASIC focuses on issues in the motor vehicle finance sector, including problematic sales tactics, high loan costs, and high default rates.
Mansa Group director sentenced to imprisonment for more than four years for forgery and dishonesty offences
Why this matters
This regulatory update is relevant to banking, investment management, and wealth management firms, as it involves a director being sentenced for forgery and dishonesty offenses related to obtaining financial advantages and causing detriment.
ASIC sues suspended WA mineral exploration company AVZ Minerals and directors for disclosure failures
Why this matters
This regulatory update from ASIC involves allegations of disclosure failures and misleading conduct by a mineral exploration company, AVZ Minerals, and its directors. This impacts capital markets and the crypto/digital assets sector, as the company's operations involve a lithium project in the DRC.
ASIC disqualifies NSW hospitality director for five years
Why this matters
This regulatory update from ASIC disqualifies a director from managing corporations for 5 years due to failures in meeting statutory obligations, improper use of position, and allowing companies to trade while insolvent.
This regulatory update from ASIC outlines new enforcement priorities for 2026, including areas such as misleading pricing practices, private credit practices, financial reporting misconduct, and insurance claims handling.
ASIC takes action against MWL Financial Services, former director Nicholas Maikousis, and Imperial Capital Group Australia over alleged Shield advice failures
Why this matters
This regulatory update from ASIC involves allegations of inappropriate financial advice and misconduct by an investment management firm (MWL Financial Services) and a lead generator (Imperial Capital Group Australia) related to investments in the Shield Master Fund.
ASIC sues SQM Research alleging misleading reports related to Shield
Why this matters
This regulatory update from ASIC involves allegations against a research house (SQM Research) for providing misleading reports related to the Shield Master Fund, which led to many retail investors investing their superannuation savings into the fund.
ASIC sues Interprac over alleged Shield and First Guardian licensee failures
Why this matters
This regulatory update from ASIC involves allegations of compliance and oversight failures by a financial planning licensee, Interprac, leading to poor financial advice and significant risks to clients who invested in two collapsed funds.
ASIC suspends AFS licence of Surety Compliance Limited
Why this matters
This regulatory update from ASIC suspends the AFS license of Surety Compliance Limited, which is the responsible entity of the Private Investment Fund. This impacts investment management and wealth management firms, as it relates to licensing and prudential requirements.
Infrabuild companies pay infringement notices for failing to lodge financial reports on time
Why this matters
This regulatory update from ASIC relates to financial reporting requirements for companies in the GFG Alliance group, which includes steel manufacturing and processing businesses.
This regulatory update from ASIC suspends the Australian financial services license of Centurion Capital Limited, an investment management and wealth management firm, due to failures in meeting statutory audit and financial reporting obligations.
QLD shadow director charged with $8m debt factoring fraud involving Bunnings Warehouse
Why this matters
This regulatory update involves a fraud case related to debt factoring, which impacts the banking, investment management, and wealth management sectors. The topics covered include AML/financial crime, consumer protection, and authorization/licensing requirements.
Sheffield Insurance directors convicted and fined over a five-year financial reporting failure
Why this matters
This regulatory update is focused on the failure of an insurance company to lodge financial statements and auditor's reports with the regulator, ASIC, over a 5-year period.
This regulatory update from ASIC relates to the cancellation of the Australian financial services (AFS) licence of Ivy League Capital Pty Ltd due to its failure to lodge audited financial reports and maintain AFCA membership.
Former director of private lending companies permanently banned over fraud conviction
Why this matters
This regulatory update is relevant to banking, consumer credit, and mortgage lending firms, as it involves the permanent banning of a former director of private lending companies due to a fraud conviction.
ASIC issues DDO stop order against City Finance Lending Pty Ltd
Why this matters
This regulatory update from ASIC involves a stop order against a consumer credit provider, City Finance Lending, due to deficiencies in its target market determination for a small amount credit contract product. This impacts consumer credit firms and banks, and relates to consumer protection and licensing requirements.
ASIC imposes additional conditions on Learn To Trade to address compliance failures
Why this matters
This regulatory update from ASIC imposes additional conditions on the AFS license of Learn To Trade Pty Ltd, a provider of coaching and training services related to trading on margin foreign exchange contracts or contracts for difference.
Cbus ordered to pay $23.5 million penalty for serious failures in processing members death benefits and insurance claims
Why this matters
This regulatory update from ASIC imposes a significant $23.5 million penalty on Cbus, one of Australia's largest superannuation funds, for serious failures in processing members' death benefits and insurance claims in a timely manner.
ASIC sues former Electro Optic Systems Holdings director and CEO Ben Greene for breach of director’s duties
Why this matters
This regulatory update from ASIC involves allegations of a former director and CEO of a publicly listed company breaching their duties by failing to disclose material changes to the company's financial guidance.
Defence systems manufacturer Electro Optic Systems Holdings admits to breaching continuous disclosure requirements
Why this matters
This regulatory update from ASIC relates to a public company's failure to disclose material changes to its financial forecasts, which is a key reporting and disclosure requirement for listed firms. It also involves potential market abuse issues around the timing of the disclosure.
Super trustees urged to accelerate progress on retirement support for members
Why this matters
This regulatory update from ASIC and APRA focuses on the progress of superannuation trustees in developing retirement income strategies for their members, as required by the Retirement Income Covenant introduced in 2022.
Banned SMSF Auditor charged with continuing to act whilst disqualified and falsifying documents
Why this matters
This regulatory update is relevant to SMSF auditors, which are typically associated with the banking, investment management, and wealth management sectors. The key topics covered include authorisation and licensing, as the individual was disqualified from acting as an SMSF auditor, as well as senior managers and...
ASIC takes contempt action against David McWilliams and Laura Fullarton over alleged freezing order breaches
Why this matters
This regulatory update from ASIC involves alleged breaches of court-ordered freezing orders by individuals involved in the ALAMMC Group, which operated financial services businesses.
ASIC calls for feedback on stamp duty and portfolio holdings disclosure requirements for super funds
Why this matters
This regulatory update from ASIC focuses on proposed changes to stamp duty and portfolio holdings disclosure requirements for superannuation funds, which are relevant to investment managers, wealth managers, and insurance firms that operate in the pensions and retirement savings space.
ASIC suspends AFS licence of Focused Financial Advice following failure to replace key person
Why this matters
This regulatory update from ASIC suspends the AFS license of a wealth management firm, Focused Financial Advice, due to its failure to replace a key person as required by its license conditions.
ASIC calls on Australian companies to adopt better practices to protect whistleblowers
Why this matters
This regulatory update from ASIC focuses on improving whistleblower policies and practices across corporate Australia, which is relevant for financial services firms in the banking, investment management, and wealth management sectors.
ASIC issues DDO stop order against FXCM for TMD deficiencies
Why this matters
This regulatory update from ASIC is focused on issues with the target market determination (TMD) for CFDs offered by FXCM, a broker dealer. ASIC has issued a stop order preventing FXCM from issuing CFDs to retail clients due to deficiencies in the TMD.
ASIC sues Diversa Trustees alleging failures relating to First Guardian
Why this matters
This regulatory update from ASIC involves allegations against a superannuation trustee, Diversa Trustees, for failures related to the First Guardian Master Fund. This impacts investment management firms, wealth managers, and banks that offer superannuation products.
ASIC takes action against Adelaide-based Colin Oxlade and Spice Capital Partners over unlicensed financial services business
Why this matters
This regulatory update from ASIC involves action against an unlicensed financial services business, Spice Capital Partners, and its founder Colin Oxlade. It covers issues related to providing unlicensed financial advice and raising funds without proper licensing, which are key concerns for investment managers and...
ASIC issues over $2.2 million in infringement notices to 12 large proprietary companies for alleged failure to lodge financial reports
Why this matters
This regulatory update from ASIC is relevant to large proprietary companies that are required to lodge financial reports. The failure to lodge these reports on time is a compliance issue that could impact consumer protection and the ability of stakeholders to make informed decisions.
ASIC suspends AFS licence of MW Planning Pty Ltd following failure to replace responsible manager
Why this matters
This regulatory update from ASIC suspends the AFS license of MW Planning Pty Ltd due to its failure to replace a responsible manager after the previous one was banned.
Former CEO of Bruck Textile Technologies has conviction overturned following appeal
Why this matters
This regulatory update is related to the overturning of a criminal conviction against the former CEO of a textile company. While not directly related to financial services, it touches on topics like consumer protection, authorization, and financial crime that are relevant across multiple sectors and firm types in the...
Business lender and loan introducer together penalised $515,000 over credit law breaches
Why this matters
This regulatory update is relevant for consumer credit lenders and introducers, as it highlights enforcement action taken against a business lender and loan introducer for breaching consumer credit laws.
Victorian man sentenced in market manipulation case
Why this matters
This regulatory update from ASIC focuses on a case of market manipulation involving wash trading in ASX-listed securities. It is relevant for capital markets firms and more broadly for all firms that need to be aware of and prevent market abuse practices.
ASIC announces transformational package to safeguard Australia’s financial markets in response to ASX Inquiry interim report
Why this matters
This regulatory update from ASIC announces a transformational package of reforms to address shortcomings in the governance, capability, risk management and culture of the ASX Group, which operates critical national market infrastructure.
ASIC renews guidance on managing conflicts of interest in financial services
Why this matters
This regulatory update from ASIC provides guidance on managing conflicts of interest for Australian financial services firms, which is a critical compliance and conduct risk issue across the banking, investment management, and wealth management sectors.
ASIC bans Sydney mortgage broker for ten years and cancels her Australian credit licence
Why this matters
This regulatory update from ASIC involves the banning and license cancellation of a Sydney-based mortgage broker, which is relevant for mortgage brokers and other firms involved in consumer credit and lending activities.
Federal Court appoints receivers over the assets of Gregory Raymond Cotton and First Mutual Private Equity Pty Ltd
Why this matters
This regulatory update involves the appointment of receivers over the assets of an investment firm and its director due to concerns about alleged misuse of investor funds.
Netwealth admits to First Guardian failures and agrees to compensate affected members $100 million
Why this matters
This regulatory update is significant as it involves a major superannuation trustee admitting failures and agreeing to compensate affected members over $100 million. It highlights issues around investment governance, risk monitoring, and trustee obligations to act in the best interests of members.
This regulatory update from ASIC indicates that the AFS license of Rynco Pty Ltd has been cancelled due to ongoing non-compliance, including failure to maintain competence, lack of adequate resources, and non-compliance with key person and financial reporting requirements.
CADB cancels registration of Sydney auditor for breaching duties across 10 ASX-listed audits
Why this matters
This regulatory update is relevant to banking and capital markets firms, as it involves the cancellation of an auditor's registration due to breaches of auditing standards. The update covers topics related to authorization, reporting, and governance, which are critical for regulated financial firms.
NGS blockchain mining companies and unregistered scheme wound up, found operating without a licence
Why this matters
This regulatory update is classified as high urgency as it involves the winding up of blockchain mining companies NGS Group Limited, NGS Crypto Pty Ltd and NGS Digital Pty Ltd for operating a financial services business without an Australian financial services (AFS) licence.
Macquarie Securities admits to misleading conduct and agrees to pay $35 million for systemic failures
Why this matters
This regulatory update from ASIC involves a broker-dealer, Macquarie Securities, admitting to misleading conduct and systemic failures in accurately reporting short sales and regulatory data. This is a serious issue impacting market transparency and integrity, warranting a high urgency classification.
ASIC bans former MWL financial services adviser and former UGC Head of Advice Louis Van Coppenhagen for 7 years
Why this matters
This regulatory update from ASIC involves the banning of a former financial adviser for providing inappropriate advice to clients, which is a consumer protection issue. It also covers the cancellation of the AFS license of the firms he was associated with, which is an authorization and licensing matter.
Federal Court orders $925,000 in penalties against RM Capital and SMSF Club for conflicted remuneration breaches
Why this matters
This regulatory update is relevant to financial services firms that provide investment advice and manage client assets, particularly those involved in self-managed superannuation funds (SMSFs) and property investments.
Federal Court orders $250 million combined penalties against ANZ
Why this matters
This regulatory update covers significant misconduct and penalties across ANZ's institutional and retail banking operations, including issues related to government bond management, customer hardship, interest rate misrepresentation, and deceased estate fee handling.
Market riggers sentenced in ASX ‘pump and dump’ case
Why this matters
This regulatory update covers a case of market manipulation and 'pump and dump' schemes involving cryptocurrency and stock trading. It is relevant for broker-dealers, crypto exchanges, and other firms involved in capital markets and trading activities.
Pump and dump scammers put regulators on high alert
Why this matters
This regulatory update from ASIC warns about 'pump and dump' scams targeting Australian investors, particularly in small-cap stocks and overseas markets. It highlights the growing sophistication of these schemes and the need for increased vigilance and coordination among regulators globally.
ASIC sues BDO Audit and its director Dean Just alleging materially false or misleading audit reports
Why this matters
This regulatory update from ASIC involves allegations of materially false or misleading audit reports by BDO Audit, an audit firm, regarding the financial statements of Dubber Corporation, an ASX-listed technology company.
ASIC suspends Australian credit licence of Transitional Funding Pty Ltd
Why this matters
This regulatory update from ASIC suspends the Australian credit license of Transitional Funding Pty Ltd for failing to comply with license conditions and pay industry funding levies. This impacts consumer credit firms and involves regulatory authorization and consumer protection issues.
Directors of collapsed agri-businesses linked to corruption scandal disqualified for maximum 5-year period
Why this matters
This regulatory update is relevant to banks, wealth managers, and asset managers as it involves the disqualification of directors of failed agri-businesses linked to a corruption scandal. The update covers topics related to AML/financial crime, consumer protection, and prudential requirements.
Richard Ernest Auricht’s liquidator registration cancellation overturned on appeal, substituted with five-year suspension
Why this matters
This regulatory update is relevant to banks, wealth managers, and the broader financial services industry as it involves the suspension of a registered liquidator's license. The topics covered include authorization and licensing, prudential requirements, and governance issues related to the conduct of the liquidator.
ASIC secures nearly $40 million in refunds to investors and drives change after CFD sector falls short
Why this matters
This regulatory update from ASIC focuses on the contracts for difference (CFD) sector, which involves high-risk leveraged trading products. ASIC has taken enforcement action, secured refunds for investors, and driven compliance improvements across the industry.
Former financial advisor Anthony Torre sentenced to six years imprisonment for fraud and stealing
Why this matters
This regulatory update involves a former financial advisor who was sentenced to prison for fraud and stealing from clients, which is a serious breach of trust and consumer protection violation.
Former United Global Capital financial adviser Milutin Petrovic’s ban varied to three years
Why this matters
This regulatory update involves the banning of a former financial adviser from providing financial services, which is relevant to investment management and wealth management firms.
Fund manager sentenced to 6 years’ jail in $3 million Platinum Asset Management insider trading case
Why this matters
This regulatory update covers a high-profile insider trading case involving a fund manager at Platinum Asset Management. It is relevant for investment managers and broker-dealers due to the market abuse and disclosure issues involved.
This regulatory update from the CFTC is relevant to banking, capital markets, and payments firms as it announces the sponsorship of the Agricultural Advisory Committee (AAC) by the CFTC Chairman. This committee provides advice on agricultural derivatives market regulation, which impacts firms across these sectors.
This is a warning about fraudulent activities misusing the name of a specific investment fund, which is relevant for investment managers and wealth managers who need to be aware of such scams to protect their clients.
On 6 November 2025, the Federal Office of Justice (Bundesamt für Justiz - BfJ) imposed a disciplinary fine amounting to 2.500 euros on BayWa Aktiengesellschaft.
AI Analysis
The Federal Office of Justice (BfJ) imposed a €2,500 disciplinary fine on BayWa Aktiengesellschaft on 6 November 2025 for failing to submit its 2024 financial year accounting documents electronically to the Bundesanzeiger within the required period, breaching section 325 HGB. This enforcement action underscores BaFin's oversight of basic disclosure obligations under the German Commercial Code, serving as a reminder that even minor procedural lapses can trigger sanctions amid heightened scrutiny of listed companies' reporting. Compliance teams should note this as indicative of rigorous enforcement on timely electronic filings, particularly for firms under financial stress like BayWa.
Key dates
31 December 2024 Deadline
End of BayWa AG's financial year; accounting documents due for submission shortly after (typically by 31 March 2025 for three-month deadline under section 325 HGB)
6 November 2025
BfJ issues disciplinary fine order for late submission
23 January 2026
BaFin publishes the enforcement notice
Suggested considerations
Verify internal processes for electronic submission of accounting documents to Bundesanzeiger within HGB timelines (e.g., annual statements by end of March for December year-ends).
Implement automated reminders and dual-checks in finance/reporting workflows to prevent delays, especially during restructurings or audits.
Review and update compliance calendars for all HGB-disclosure obligations; conduct training for finance teams on section 325/335 HGB.
Monitor Bundesanzeiger portal for submission confirmations and retain proofs of timely filing to defend against BfJ inquiries.
What changed
This is not a regulatory change but an enforcement of existing requirements under the German Commercial Code (HGB):
Section 325 HGB: Mandates submission of accounting documents (e.g., annual financial statements, management reports) for public disclosure via the Bundesanzeiger operator in electronic form within...
Section 335 HGB: Provides the legal basis for disciplinary fines by the BfJ for non-compliance, with fines scaled to the breach's severity (here, €2,500 for delayed submission).
No new rules were...
Compliance impact
Urgency: low – This is a minor fine (€2,500) for a procedural breach with no appeal, signaling routine enforcement rather than a policy shift. It matters as a low-cost warning for all HGB-reporting firms to automate filings, avoiding escalation in repeat cases or amid BaFin's focus on disclosure (e.g., WpHG overlaps); high-profile firms like BayWa under restructuring face amplified scrutiny, but no immediate action required beyond process audits.
The Federal Office of Justice in Germany imposed a disciplinary fine of 2,500 euros on BayWa Aktiengesellschaft for failing to submit its accounting documents for the financial year 2024 in electronic form within the prescribed period. This action highlights the importance of compliance with section 325 of the German Commercial Code. Companies must ensure timely submission of financial reports to avoid similar penalties.
What Changed
The Federal Office of Justice enforced section 325 of the German Commercial Code, which requires companies to submit their accounting documents for the purpose of disclosure to the operator of the German Federal Gazette in electronic form within the prescribed period.
Suggested Considerations
Ensure timely submission of accounting documents in electronic form to the German Federal Gazette
Review internal procedures to guarantee compliance with section 325 of the German Commercial Code
Key Dates
6 Nov 2025
The Federal Office of Justice imposed a disciplinary fine on BayWa Aktiengesellschaft
Potential Consequences
Disciplinary fines, such as the 2,500 euros imposed on BayWa Aktiengesellschaft, for non-compliance with section 325 of the German Commercial Code
On 6 November 2025, the Federal Office of Justice (Bundesamt für Justiz - BfJ) imposed a disciplinary fine amounting to 2.500 euros on BayWa Aktiengesellschaft.
AI Analysis
The Federal Office of Justice (BfJ) imposed a €2,500 disciplinary fine on BayWa Aktiengesellschaft on 6 November 2025 for failing to submit its 2024 consolidated accounting documents electronically to the Bundesanzeiger within the required period, violating section 325 HGB. This enforcement action underscores BaFin's oversight of financial reporting obligations under German law and serves as a reminder of strict deadlines for public disclosure, even amid corporate challenges like BayWa's ongoing restructuring. Compliance teams should note it as a low-value but procedurally significant sanction, highlighting risks of administrative penalties for late filings.
Key dates
31 March 2025 Deadline
- Presumed deadline for BayWa to submit 2024 consolidated documents (three months post-31 December FY-end under § 325 HGB para. 1)
6 November 2025
- Date BfJ imposed the €2,500 fine
23 January 2026
- BaFin publication date of the enforcement notice[https://www.bafin.de/SharedDocs/Veroeffentlichungen/EN/Massnahmen/40c_neu_124_WpHG/neu/meldung_2026_01_23_baywa_ag_1_en.html]
Suggested considerations
Verify filing processes: AGs must ensure automated calendar alerts and electronic submission workflows to Bundesanzeiger (via Unternehmensregister or direct portal) before HGB deadlines.
Conduct gap analysis: Review past filings for similar breaches; implement dual controls (e.g., finance + legal sign-off) and escalation protocols for delays.
Train staff: Annual refreshers on § 325/335 HGB, emphasizing no extensions for restructuring (BayWa example).
Monitor Bundesanzeiger confirmations: Retain submission receipts as audit evidence.
No appeal if fined: As BayWa did not appeal, firms should assess fine proportionality pre-litigation.
What changed
This is not a regulatory change but an enforcement of existing requirements under the German Commercial Code (HGB):
Section 325 HGB: Mandates submission of consolidated accounting documents (e.g., annual financial statements, management reports) for disclosure in electronic form to the Bundesanzeiger operator...
Section 335 HGB: Provides the legal basis for disciplinary fines (Ordnungsgeld) up to €25,000 for breaches, with no appeal lodged by BayWa in this...
Compliance impact
Urgency: low - Fine is minimal (€2,500), procedural (no market manipulation or fraud), and isolated to one late filing amid BayWa's broader crises (e.g., forecast withdrawal 6 Oct 2025[https://www.investegate.co.uk/announcement/eqs/baywa-ag-baywa-ord-shs--0ah7/eqs-adhoc-baywa-ag-baywa-ag-withdraws-forec-/9153358], H1 2025 net loss €527.8m[https://www.baywa.com/binaries/pdf/content/documents/baywacms-en/downloadcenter/interim-report/half-year-report-2025/half-year-report-2025/baywacms:downloadpdf/BayWa+Group+Half-Year+Financial+Statements+2025_web.pdf]).
The Federal Office of Justice in Germany imposed a disciplinary fine on BayWa Aktiengesellschaft for failing to submit its consolidated accounting documents for the financial year 2024 within the prescribed period. This action highlights the importance of timely submission of financial reports. Companies must ensure compliance with section 325 of the German Commercial Code to avoid similar penalties.
What Changed
The Federal Office of Justice imposed a disciplinary fine due to a breach of section 325 of the German Commercial Code, which requires companies to submit their consolidated accounting documents for the purpose of disclosure to the operator of the German Federal Gazette in electronic form within the prescribed period.
Suggested Considerations
Ensure timely submission of consolidated accounting documents for the purpose of disclosure to the operator of the German Federal Gazette in electronic form
Review and update internal procedures to comply with section 325 of the German Commercial Code
Key Dates
6 Nov 2025
The Federal Office of Justice imposed a disciplinary fine on BayWa Aktiengesellschaft
Potential Consequences
Disciplinary fine of up to 2,500 euros for non-compliance with section 325 of the German Commercial Code
We urge consumers thinking of investing in high-risk securities, such as mini-bonds and loan notes, to continue to be cautious. On 19 January 2026, the Public Offers and Admissions to Trading regime came into force. The regime sets new rules and standards about when an offer of securities to the public can be made.A…
Why this matters
This regulatory update from the FCA focuses on high-risk securities like mini-bonds and loan notes, which are of concern for consumer protection. It provides guidance for investors on what to look out for, including checking if firms are authorized.
The speech discusses monetary policy divergence between major central banks and its potential impact on the UK economy and financial markets. This is relevant for banks, asset managers, and broker dealers in terms of prudential requirements, operational resilience, and technology/cyber risks.
We are seeking views on further rules for cryptoasset firms as the final step in our consultations on our crypto rules. We have made significant progress in delivering our crypto roadmap and are helping firms to meet our standards and get ready for when the gateway opens in September 2026.We have set out our proposals…
Why this matters
This regulatory update from the FCA outlines proposed new rules for cryptoasset firms, covering consumer protection, conduct standards, redress, safeguarding, and other key areas.
This regulatory update announces a joint event between the CFTC and SEC to discuss harmonization efforts and U.S. leadership in the crypto industry. This is a high priority topic for crypto and fintech firms as it impacts licensing, regulation, and the overall crypto ecosystem in the U.S.
Securities and Exchange Commission Chairman Paul S. Atkins and Commodity Futures Trading Commission Chairman Michael S. Selig will hold a joint event on Tuesday, Jan. 27, from 10 a.m. to 11 a.m. at CFTC headquarters to discuss harmonization between the…
Why this matters
This regulatory update discusses a joint event between the SEC and CFTC to discuss harmonization and U.S. financial leadership in the crypto era. This is relevant for banking, capital markets, and crypto firms in terms of authorization, reporting, and technology/cyber issues.
The Securities and Exchange Commission’s Small Business Capital Formation Advisory Committee announced that it will hold a public meeting at the SEC Headquarters in Washington, D.C., on Tuesday, Feb. 24, 2026, at 10 a.m. ET. The meeting will also be…
Why this matters
This regulatory update from the SEC discusses the Small Business Capital Formation Advisory Committee's plans to continue discussions on the regulatory framework for finders and explore the private secondary market. This is relevant for broker-dealers, fintechs, and crypto exchanges that may be involved in these areas.
The Securities and Exchange Commission today approved the 2026 budget for the Public Company Accounting Oversight Board (PCAOB) and the related accounting support fee.The 2026 PCAOB budget totals $362.1 million. The 2026 budget reflects a 9.4% ($37.6…
Why this matters
This regulatory update from the SEC approves the 2026 budget for the PCAOB, which oversees public company audits. This is relevant for broker-dealers and banks that are subject to PCAOB oversight and reporting requirements.
Speech by Sheree Howard at the FCA's Gateway to growth, Chicago Booth London Conference Centre. The first time I flew was in my teenage years, and like many of my generation, that was a flight to Europe for a family holiday. I didn’t make it further afield until I was in my mid to late twenties.Today, most, if not all…
Why this matters
This speech from the FCA discusses updates to the authorization process, including efforts to streamline and digitize the application review, as well as new initiatives to support firms through the authorization journey.
This letter from the ECB Supervisory Board Chair to an MEP likely contains information relevant to banking supervision, prudential requirements, and operational resilience, which are of medium importance to banks, asset managers, and wealth managers.
The Securities and Exchange Commission is seeking candidates for appointment as members of the SEC’s Investor Advisory Committee, established pursuant to Section 39 of the Securities Exchange Act of 1934 to help protect investors and improve securities…
Why this matters
This regulatory update from the SEC is seeking candidates for the Investor Advisory Committee, which advises the SEC on regulatory priorities, securities products and trading, and initiatives to protect investor interests.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered in WhatsApp groups operated by Leading Asset Management, Denver, USA. BaFin suspects the operators of offering consumers financial, investment and cryptoasset services in these groups without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about unauthorized financial, investment and crypto-asset services being offered through WhatsApp groups and a mobile app by Leading Asset Management, a US-based firm.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered on the website skyvault(.)ltd. BaFin has information that the operators are offering banking business and/or financial services on this website without the required authorisation. The operators are not supervised by BaFin.
Why this matters
This regulatory update from BaFin warns consumers about the unauthorized website skyvault(.)ltd, which is offering banking, financial, and cryptoasset services without the required authorization from BaFin.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered by Aureus Trade. BaFin suspects the unknown operators of the website aureus-trade(.)com of offering consumers financial, investment and cryptoasset services without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about the unauthorized financial, investment and cryptoasset services offered by the website aureus-trade.com. This falls under the sectors of banking, investment management and crypto/digital assets.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered on the website bxforex(.)com. According to information available to BaFin, this website is being used to offer financial, investment and cryptoasset services without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about the unauthorized financial, investment and crypto services offered on the website bxforex.com, which is engaging in identity theft.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the company Rostock24 Limited and the services it is offering. BaFin suspects the unknown operators of the website rostock24(.)com of offering consumers financial, investment and cryptoasset services without the required authorisation. Rostock24…
Why this matters
This regulatory update from BaFin warns consumers about the unauthorized financial, investment and cryptoasset services offered by the website Rostock24.com, which is operated by an unknown company called Rostock24 Limited.
The Federal Financial Supervisory Authority BaFin warns against fixed-term deposit offers sent from the email address info[at]vcgmanagement.de. According to information available to BaFin, the unknown providers are conducting banking transactions without the required authorisation. The offers do not originate from VC…
Why this matters
This regulatory update from BaFin warns consumers about unauthorized banking and investment offers, which poses risks related to consumer protection, licensing requirements, and potential financial crime. The high urgency is due to the active fraud attempt identified by the regulator.
Financial disclosures & corporate financing Periodic & ongoing disclosures Reporting ESEF Closing of the 2025 accounts: the AMF flags up points for vigilance and issues recommendations
Why this matters
This regulatory update from the AMF covers key areas of focus for financial firms, including reporting and disclosure requirements, ESG considerations, and prudential requirements. It is relevant for a range of financial institutions including banks, brokers, asset managers, and fintechs.
The Hong Kong Securities and Futures Commission (SFC) successfully prosecuted retail trader Ng Ka Hei for seven counts of false trading involving six Main Board-listed companies, resulting in conviction on January 22, 2026. This enforcement action demonstrates the SFC's active surveillance and prosecution of market manipulation tactics, specifically "scaffolding" and wash trading strategies that artificially inflate share prices and mislead market participants.
Key dates
20 September 2022 – 24 October 2023
Period during which false trading occurred
22 January 2026
Conviction date (Eastern Magistrates' Courts)
12 February 2026
Sentencing hearing (case adjourned)
Suggested considerations
*For brokers and licensed intermediaries:
*Enhance surveillance systems to detect scaffolding patterns (repeated placement and cancellation of orders at progressively higher prices)
*Monitor cross-account trading to identify wash trading where the same beneficial owner trades with themselves across multiple accounts
*Implement controls to flag suspicious trading activity that artificially impacts share prices without genuine economic purpose
*Document compliance procedures for detecting and reporting false trading under section 295 of the Securities and Futures Ordinance
What changed
This is not a regulatory change but rather an enforcement precedent establishing that:
"Scaffolding" strategy is prosecutable: Repeatedly placing and cancelling trading orders at progressively higher prices constitutes false trading under section 295 of the Securities and Futures...
Wash trading across multiple accounts is actionable: Using various securities accounts to simultaneously act as both buyer and seller of shares violates false trading prohibitions.
Price impact + market deception = criminal liability: The SFC successfully prosecuted based on demonstrating that trading activities artificially impacted share prices and misled market participants...
The Securities and Futures Commission (SFC) has convicted a retail trader for false trading in the shares of six Hong Kong-listed companies, highlighting the importance of market integrity and the need for firms to monitor and prevent such activities. The conviction demonstrates the SFC's commitment to enforcing securities laws and protecting market participants. Firms should review their trading practices and ensure they have adequate controls in place to prevent false trading.
What Changed
The SFC has successfully prosecuted a case of false trading under section 295 of the Securities and Futures Ordinance, which constitutes an offence.
Suggested Considerations
Implement or review existing controls to detect and prevent false trading, including monitoring for suspicious trading patterns such as 'scaffolding' and wash trades
Provide training to trading staff on the risks and consequences of false trading
Key Dates
12 Feb 2026
Sentencing of Mr Ng Ka Hei
Potential Consequences
Enforcement action, fines, and reputational damage may result from non-compliance with securities laws and regulations related to false trading.
This is an informational update on the members of the Consultative Committee for Prudential Regulation, which is relevant for banks, asset managers, and wealth managers from a prudential, operational resilience, and authorization perspective.
This regulatory update announces the updated list of members of the Consultative Committee for the Audit Profession, which is relevant for banking, investment management, and wealth management firms that are subject to audit requirements.
This is an informational update on the members of the Capital Markets Committee, which is relevant for banking and capital markets firms. The update covers governance and authorization aspects.
This regulatory update provides information on the list of members of the Board, which is relevant for banking, investment management, and wealth management firms that are subject to oversight by the CSSF.
This regulatory update provides information on the updated list of members of the Executive Board, which is relevant for banking, investment management, and wealth management firms that operate in Luxembourg and are subject to CSSF oversight.
This regulatory update from the CSSF (Luxembourg financial regulator) provides information about the public register of the audit profession, which is relevant for banking, investment management, and wealth management firms operating in Luxembourg.
This regulatory update from the CSSF focuses on monitoring the quality of transaction reports received under Article 26 of MiFIR. It is relevant for banking and capital markets firms that are required to submit transaction reports.
The Securities and Exchange Commission is seeking candidates to fill a limited number of vacancies on the agency’s Small Business Capital Formation Advisory Committee, which provides advice and recommendations to the Commission on rules, regulations, and…
Why this matters
This regulatory update from the SEC is relevant for capital markets participants, investment managers, and other financial firms that work with small businesses and emerging companies.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered on the website bb-consults(.)com. BaFin has information that this website is being used to offer financial, investment and cryptoasset services without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about unauthorized financial, investment, and cryptoasset services being offered on the website bb-consults.com, which appears to be a case of identity fraud. This is a high-urgency issue as it involves potential consumer harm and unauthorized financial activities.
This newsletter from the CSSF (Luxembourg financial regulator) covers a range of topics relevant to banking, investment management, and wealth management firms operating in Luxembourg. The low urgency reflects that this is an informational publication rather than a time-sensitive regulatory update.
DEV Limited (CLONE) - Central Bank of Ireland Issues Warning on Unauthorised Firm
Why this matters
This is a warning from the Central Bank of Ireland about an unauthorized firm cloning the identity of a legitimate Irish company to provide credit services. This poses a high risk to consumers and requires immediate attention.
This regulatory update from the SFC involves significant enforcement actions and disqualifications against former directors and executives of a listed company, Superb Summit International Group Limited.
The Securities and Exchange Commission today announced the senior team from the Division of Corporation Finance responsible for advising division Director James Moloney on all matters the division has before the Commission. These include rulemaking…
Why this matters
This regulatory update from the SEC announces senior leadership changes in the Division of Corporation Finance, which oversees corporate disclosure and rulemaking.
The Securities and Exchange Commission today announced that Christina M. Thomas will rejoin the Division of Corporation Finance in February as deputy director and chief advisor on disclosure, policy, and rulemaking.“Christina brings her deep technical…
Why this matters
This regulatory update announces the appointment of Christina M. Thomas as the Deputy Director of the SEC's Division of Corporation Finance. This is an informational announcement that does not require immediate action, but is relevant for all firms that interact with the SEC on disclosure and compliance matters.
This press conference covers several topics relevant to the financial services sector, including the role of the Banks' Shareholding Acquisition Corporation, financial support strategy, and the shift from savings to investment.
This regulatory update from the CFTC Chairman discusses the future of US financial markets, with a focus on the emergence of new technologies like blockchain and AI, as well as the regulation of digital assets and prediction markets.
This is a speech by the Japanese Minister of Finance and Minister of State for Financial Services, discussing Japan's participation in the World Economic Forum. It covers topics related to consumer protection, technology/cyber, and regulatory authorization/licensing, which are relevant for banks, wealth managers, and...
This regulatory update is focused on the money laundering and terrorist financing risks associated with trust and company service provider (TCSP) activities within the financial sector in Luxembourg. It requires firms providing these services to integrate the findings and recommendations into their AML/CFT frameworks.
This regulatory update announces senior staff appointments at the CFTC, including a new senior advisor with experience in crypto asset regulatory matters. This is relevant for crypto exchanges, fintechs, and others operating in the digital asset space as it signals the CFTC's focus on this sector.
This regulatory update relates to resolution reporting requirements, which is relevant for banking, investment management, and wealth management firms. The topics covered include reporting and disclosure, prudential/capital requirements, and operational resilience.
This regulatory update from the CSSF relates to a product intervention measure taken by the German regulator BaFin regarding turbo certificates. It impacts the marketing, distribution and sale of these products to retail clients in Germany, which is relevant for banking, investment management and capital markets firms...
The Securities and Exchange Commission today announced that Keith E. Cassidy has been appointed Director of the Division of Examinations. Mr. Cassidy has served as Acting Director since May 2024 and previously was the division’s Deputy Director, Acting…
Why this matters
This regulatory update announces the appointment of a new Director of the SEC's Division of Examinations, which is responsible for overseeing compliance and risk management across financial firms.
We have issued a joint statement with the Payment Systems Regulator (PSR) giving clarity on open banking pricing models. We and the PSR have issued the following statement (PDF).This confirms we will not, at this stage, prioritise a Competition Act 1998 (CA98) investigation into the centralised ‘access fee’ pricing…
AI Analysis
The FCA and PSR have jointly confirmed they will not prioritize a Competition Act 1998 investigation into the UK Payments Initiative's (UKPI) centralized access fee pricing model for commercial Variable Recurring Payments (cVRPs), with the CMA's concurrent agreement. This regulatory clarity provides temporary certainty for cVRP development ahead of anticipated legislation by end-2026, creating a critical window for firms to develop compliant commercial models in this emerging open banking technology.
Key dates
Q1 2026
- Expected first live UKPI cVRP payments
End of 2026
- Government anticipated to introduce legislative framework granting FCA new open banking powers
15 January 2026
- FCA and PSR wrote to CMA setting out their non-prioritization position
16 January 2026
- CMA confirmed alignment with FCA/PSR position on CA98 prioritization
20 January 2026
- Joint FCA/PSR statement issued on open banking pricing models
Suggested considerations
*For UKPI and participating firms:
*Governance documentation: Submit finalized governance documents to FCA/PSR as required during the interim period
*Pricing methodology transparency: Maintain detailed records of access fee pricing methodology and be prepared to demonstrate compliance with the agreed model; notify regulators of any material changes
*Phase 1/Wave 1 compliance: Ensure all cVRP offerings remain within the defined scope of lower-risk use cases during Phase 1/Wave 1
*Market engagement: Participate in FCA industry consultations throughout 2026 regarding progress, service delivery, and identified blockers
What changed
The regulatory statement establishes the following key positions:
Non-prioritization of CA98 investigation: The FCA, PSR, and CMA have jointly confirmed they will not prioritize competition law enforcement against UKPI's centralized access fee model for Phase...
Scope limitation: The regulatory clarity applies only to Phase 1/Wave 1 of UKPI's cVRP scheme, specifically addressing lower-risk payment use cases including regulated financial services, utilities,...
Temporary framework: This is explicitly a temporary measure pending legislative implementation under the Data (Use and Access) Act 2025 or other relevant legislation.
Regulatory monitoring obligations: During the interim period, the FCA and PSR will monitor market developments, review pricing methodology changes, and require UKPI to submit finalized governance...
The FCA and PSR have issued a joint statement providing clarity on open banking pricing models, specifically regarding the centralised 'access fee' pricing model for commercial Variable Recurring Payments (cVRPs). This statement confirms that they will not prioritize a Competition Act 1998 investigation into this model at this stage. The goal is to support the development of cVRPs, giving consumers more control over their payments and lowering processing fees for businesses.
What Changed
The FCA and PSR have clarified their enforcement position on the UKPI's proposal for a commercial model for cVRPs, indicating they will not prioritize a Competition Act 1998 investigation at this stage.
Suggested Considerations
Monitor market developments and updates on the legislative framework for open banking
Review and understand the implications of the centralised 'access fee' pricing model for cVRPs on your business operations
Ensure compliance with existing competition laws and regulations
Key Dates
31 Dec 2026DEADLINE
Expected implementation of the government's legislative framework for open banking
1 Jul 2027DEADLINE
End of the temporary measure if the legislative framework is not implemented
Potential Consequences
Enforcement action, fines, or other regulatory penalties for non-compliance with competition laws and regulations
CSSF Circular 26/906, published on 20 January 2026, establishes detailed requirements for central administration, internal governance, and risk management for payment institutions (PIs) and electronic money institutions (EMIs) in Luxembourg, repealing prior circulars IML 95/120, IML 96/126, IML 98/143, and CSSF 04/155. It clarifies application of the amended Law of 10 November 2009 on payment services, emphasizing robust governance amid sector growth to ensure safety, efficiency, and trust. This matters for compliance as it mandates comprehensive reviews and updates to governance frameworks by mid-2026, addressing rising transaction volumes.
Key dates
20 January 2026
- Publication date of Circular CSSF 26/906
30 June 2026 Deadline
- Compliance deadline: Institutions must assess/review central administration, internal governance, and risk management frameworks to ensure full compliance
Suggested considerations
Gap analysis: Assess current frameworks against circular requirements on management bodies, internal controls, conflicts of interest, product approval, and fund safeguarding.
Updates and notifications: Review/revise governance arrangements (e.g., policies, structures); notify CSSF of management body members, compliance officers, and internal auditors with required documentation (professional experience, police records, etc.).
Documentation: Develop conflicts policy, new product approval procedures, and safeguarding rules; ensure management body authorization.
Ongoing: Maintain sound/prudent management amid growth; integrate with Law of 10 November 2009 requirements.
What changed
The circular consolidates and updates governance rules, focusing on:
Management bodies: Responsibilities, composition, qualifications, organization, and functioning, including CSSF authorization of members based on professional experience, standing (e.g., police...
Internal control functions: Responsibilities, characteristics, organization, and execution of work for compliance officers and internal auditors, with notifications to CSSF including detailed...
Conflicts of interest: Key requirements for a management policy applicable to all staff and management body members.
New product approval: Defined key steps in the process.
Compliance impact
Urgency: High - With ~5 months from publication (20 Jan 2026) to compliance (30 Jun 2026), firms face tight timelines for assessments, policy overhauls, and CSSF notifications, especially given repealed circulars and sector growth pressures. Non-compliance risks supervisory actions, as this fosters "sound and prudent management" in a high-volume industry; proactive reviews are essential to avoid disruptions.
Central administration, internal governance and risk management
AI Analysis
Circular CSSF 26/906, published on 20 January 2026, consolidates and clarifies Luxembourg's rules on central administration, internal governance, and risk management specifically for payment institutions, electronic money institutions, and account information service providers. It repeals prior circulars (IML 95/120, IML 96/126, IML 98/143, and CSSF 04/155) to address growth in transaction volumes by mandating robust governance, control functions, and risk processes, enhancing safety, efficiency, and trust in these services. This matters for compliance professionals as it strengthens defenses against financial crime, operational risks, and supervisory scrutiny in a high-growth sector.
Key dates
20 January 2026
Publication date of Circular CSSF 26/906
30 June 2026 Deadline
Compliance deadline; Institutions must assess, review, and ensure their central administration, internal governance, and risk management frameworks fully comply with the circular
Suggested considerations
Assess and update governance frameworks: Review central administration location, board/management responsibilities, risk strategy, AML/CFT policies, compliance charter, and funds safeguarding principles to align with the circular.
Confirm control functions: Ensure compliance function (CCO) has independence, resources, direct board access, and authority for investigations; justify/secure CSSF approval for part-time/dual roles.
Implement operational safeguards: Establish daily reconciliations (or justified weekly), segregation/insurance for client funds, system access controls (4-eyes, board validation for significant movements), and third-party due diligence/monitoring.
Document proportionality: Tailor governance to business risks (staff, volumes, products, outsourcing); update new product approval, conflicts policies, and business continuity/incident reporting.
Retain records and report: Board-approve all key policies; prepare for CSSF inspections on outsourcing (per Circular CSSF 22/806) and ICT risks.
What changed
- Consolidation and repeal: Replaces outdated circulars with unified requirements under the amended Law of 10 November 2009 on payment services, covering central administration (decision-making must...
Governance enhancements: Board approves strategy, risk appetite, AML/CFT policies, outsourcing, and information security; management implements via procedures; proportionality based on business...
Operational controls: Strict access to systems (need-to-know, least-privilege, 4-eyes validation); counterparty due diligence for custodians/insurers; full responsibility for agents, distributors,...
AML/CFT focus: Elevates compliance function independence, direct board reporting, risk-based resourcing, and oversight of third parties/opaque structures to close gaps exploited by criminals.
Compliance impact
Urgency: High – With a 30 June 2026 deadline (five months from publication), firms face immediate pressure to review and remediate governance gaps amid sector growth and heightened AML/CFT scrutiny; non-compliance risks supervisory actions, fines, or license issues, especially as it closes criminal exploitation vectors like weak controls and third-party risks.
This regulatory update covers changes to reporting requirements for authorized insurers, public consultation on accounting standards, and approval of special business enhancement plans for credit cooperatives.
Application of the Guidelines of the European Banking Authority on the management of environmental, social and governance (ESG) risks (EBA/GL/2025/01)
AI Analysis
Circular CSSF 26/905 mandates the application of EBA Guidelines (EBA/GL/2025/01) on managing **ESG risks** for Luxembourg-supervised institutions, requiring integration of environmental, social, and governance risk identification, measurement, management, and monitoring into internal processes. This aligns with CRD amendments (Articles 74, 76, 87a) and emphasizes proportionality to institutions' business models, with plans including timelines, targets, and milestones toward EU climate goals like net-zero by 2050. It matters for compliance as it embeds ESG into prudential supervision, potentially impacting capital, risk frameworks, and supervisory reviews.
Key dates
20 January 2026
- Circular published by CSSF
1 April 2026
- Application date for Less Significant Institutions (other than SNCIs)
11 January 2027
- Application date for SNCIs (dependent on CRD transposition)
Suggested considerations
Map and integrate ESG risks into governance, risk management frameworks, and business strategies, proportionate to scale/risk exposure.
Develop and document ESG risk management plans with quantifiable targets, milestones, timelines, and scenario analyses (broad requirements now; detailed later).
Conduct assessments of ESG risks in portfolios, including sustainability products, transition finance, and loan origination policies, for SREP submission.
Embed in internal processes per Articles 74, 76, 87a CRD: identify/measure ESG risks (minimum standards), monitor over time horizons, and report to CSSF.
Review and update existing policies/systems for compliance by applicable dates; prepare for CSSF supervisory evaluation of plan robustness.
What changed
- Institutions must establish proportionate strategies, policies, processes, and systems for ESG risk management, covering short-, medium-, and long-term horizons, including transition and physical...
Develop plans per Article 76(2) CRD with specific timelines, intermediate quantifiable targets, and milestones to address ESG financial risks, consistent with EU objectives (e.g., 55% GHG reduction...
Incorporate ESG into internal governance, risk appetite, and supervisory review processes (SREP), with scenario analysis requirements (to be detailed in future EBA guidelines).
Applies minimum standards and methodologies for ESG risk identification, measurement, monitoring, and impact assessment on institutions' exposures.
No requirement for full alignment with specific sustainability trajectories, but plans must consider transition risks and institutions' ESG product offerings, loan policies, and targets.
Compliance impact
Urgency: High - With application starting 1 April 2026 (just over 2 months from publication), firms face immediate pressure to gap-analyze current ESG frameworks against EBA standards, especially for SREP integration and long-term risk planning. Non-compliance risks supervisory scrutiny, capital add-ons, or enforcement, as ESG is now a core prudential pillar amid EU sustainability push; smaller institutions get a head-start but must act swiftly given proportionality demands.
Supervision Compliance Journalists Investment services providers The AMF publishes the findings of its inspections on the role and involvement of the compliance function at investment services providers
Why this matters
This regulatory update from the AMF focuses on the role and involvement of the compliance function at investment services providers, particularly in areas such as employee training, remuneration, personal transactions, and disciplinary measures.
PS1/26 represents the UK Prudential Regulation Authority's final implementation framework for the Basel 3.1 international banking standards, effective 1 January 2027 (with market risk internal models delayed to 1 January 2028). This policy statement establishes mandatory capital, credit risk, operational risk, and market risk requirements for UK-regulated banks, building societies, and investment firms, addressing post-financial crisis shortcomings in risk-weighted asset (RWA) calculations and capital adequacy frameworks.
Key dates
20 January 2026
– PRA publishes PS1/26 (final rules)
2026 ICAAP submission deadline Deadline
– Must include Basel 3.1/SDDT impact assessment
1 January 2027
– Effective date for Basel 3.1 implementation (credit risk, operational risk, reporting/disclosure, IRB scope restrictions, SDDT regime)
1 January 2027
– Interim period begins for FRTB-IMA transition; existing IMA permissions retained; out-of-scope positions move to ASA/SSA
1 January 2028
– FRTB-IMA implementation effective date
Suggested considerations
*Immediate (by mid-2026)
*Conduct impact assessment: Quantify RWA changes under Basel 3.1 across credit risk, operational risk, and market risk frameworks.
*Review IRB permissions: Identify exposures requiring reclassification (e.g., IPRE to HVCRE) and prepare permission amendment applications.
*Assess FRTB-IMA readiness: For firms with existing IMA permissions, evaluate transition strategy for out-of-scope positions moving to ASA/SSA during interim period (2027–2027).
*Arrange board-level assurance: Establish governance framework for board oversight of RWA calculation accuracy and Basel 3.1 implementation.
What changed
Credit Risk Framework
Implementation of restrictions on Internal Ratings-Based (IRB) approach scope, effective 1 January 2027, with firms required to reclassify certain exposures (e.g., slotting approach IPRE exposures)...
Minor clarifications and amendments to the Standardised Approach and credit risk mitigation techniques.
Operational Risk
Updated Business Indicator Component (BIC) calculation methodology requiring inclusion of the current financial year in the three-year average calculation (or an estimate if unavailable).
Clarifications on legal risk treatment and loss data set dates.
Market Risk (Fundamental Review of the Trading Book – FRTB)
The Prudential Regulation Authority (PRA) has published the final rules for the implementation of Basel 3.1 standards in the UK, with an effective date of January 1, 2027. The rules aim to enhance the resilience of banks and improve the stability of the financial system. Firms must review and update their policies and procedures to ensure compliance with the new requirements.
What Changed
The PRA has introduced new rules for the calculation of risk-weighted assets, including changes to the credit risk standardised approach, market risk framework, and operational risk requirements. The rules also include amendments to the definitions of probability of default, loss given default, and conversion factor.
Suggested Considerations
Review and update credit risk policies and procedures to ensure compliance with the new standardised approach
Assess the impact of the new market risk framework on trading book positions and capital requirements
Update operational risk management frameworks to reflect changes to the Business Indicator and subcomponents
Key Dates
1 Jan 2027DEADLINE
Basel 3.1 rules take effect
1 Jan 2028DEADLINE
Internal model approach for market risk takes effect
Potential Consequences
Non-compliance with the new rules may result in enforcement action, fines, or other regulatory penalties
The PRA's PS2/26 finalizes the retirement of the "refined methodology" in Pillar 2A capital requirements, effective 1 January 2027, aligning with Basel 3.1 implementation to simplify the framework by eliminating an operationally burdensome adjustment originally designed to address conservatism in the standardized approach (SA) to credit risk. This matters for compliance professionals as it reduces complexity in ICAAP and SREP processes, with expected neutral aggregate capital impact, though firm-specific effects may vary and require supervisory engagement.
Key dates
2024
CP9/24 consultation on streamlining Pillar 2A, including proposal to retire refined methodology
28 October 2025
PS18/25 near-final policy published
20 January 2026
PS2/26 final policy published
1 January 2027
Effective date for retirement of refined methodology; aligns with Basel 3.1 implementation (PS1/26), CRR restatement (PS3/26), and SDDT simplified regime (PS4/26)
Suggested considerations
Review and update ICAAP/SREP processes: Firms must integrate retirement into internal capital adequacy assessments, removing refined methodology calculations from Pillar 2A by 1 January 2027.
Recalculate Pillar 2A requirements: Model impacts using Basel 3.1 CR SA; engage PRA supervisors for firm-specific transitions if capital increases anticipated (PRA will apply judgement).
Align with related frameworks: Implement alongside Basel 3.1 (PS1/26), CRR restatement (PS3/26), and SDDT regime (PS4/26); update systems, policies, and disclosures accordingly.
Monitor firm-specific impacts: Conduct quantitative analysis per PRA's refreshed data; half of firms may see TCR reductions, but prepare for potential increases.
Governance and reporting: Board/Senior Managers to oversee transition; ensure 2027 SREP readiness without refined methodology proxy.
What changed
- Retirement of refined methodology: The refined methodology, introduced in 2018 (PS22/17) to mitigate perceived conservatism in CR SA relative to IRB for lower-risk assets, is fully retired from...
Amendments to SS31/15: Updates to Supervisory Statement 31/15 on ICAAP and SREP (Appendix 1), including minor prior adjustment to paragraph 5.12A for SDDTs reflecting no need for Interim Capital...
No further changes from near-final: Confirms PS18/25 near-final policy without alterations; defers certain IRRBB clarifications pending separate review.
Rationale: Reduces operational burden on firms and PRA; PRA analysis shows broadly neutral impact on total capital requirements (TCR), with ~50% of affected firms seeing reductions.
Compliance impact
Urgency: High – With less than 11 months to 1 January 2027 effective date (as of January 2026 publication), firms face immediate need to remodel Pillar 2A under Basel 3.1, potentially affecting capital planning, stress testing, and regulatory reporting. Non-compliance risks supervisory scrutiny during SREP; benefits include workload simplification, but SA-only firms must validate no undue conservatism gaps versus IRB peers.
The Prudential Regulation Authority (PRA) has finalized the policy to retire the refined methodology to Pillar 2A, which will take effect on January 1, 2027, aligning with the implementation of the Basel 3.1 standards. This change affects all PRA-regulated banks, building societies, and designated investment firms. The refined methodology will no longer apply to these firms, including Small Domestic Deposit Takers (SDDTs), as they will be subject to the Basel 3.1 standardized approach to credit risk.
What Changed
The PRA has retired the refined methodology to Pillar 2A, which was previously used to determine capital requirements for firms. The new policy aligns with the Basel 3.1 standards and introduces a simplified capital regime for SDDTs.
Suggested Considerations
Update internal capital adequacy assessment processes (ICAAP) to reflect the changes to Pillar 2A
Review and implement the Basel 3.1 standardized approach to credit risk
Ensure compliance with the new simplified capital regime for SDDTs, if applicable
Key Dates
1 Jan 2027DEADLINE
The policy to retire the refined methodology to Pillar 2A takes effect, aligning with the implementation of the Basel 3.1 standards
Potential Consequences
Failure to comply with the new policy may result in enforcement action, fines, or other regulatory penalties
PS3/26 is the PRA's final policy statement restating the remaining provisions of the UK Capital Requirements Regulation (CRR) into the PRA Rulebook and related policy materials, effective 1 January 2027. This represents a critical step in the UK's transition away from assimilated EU law, consolidating fragmented regulatory requirements into a unified domestic framework while introducing targeted amendments to securitisation rules and External Credit Assessment Institution (ECAI) mapping.
Key dates
28 October 2025
- PS19/25 (near-final policy) published
20 January 2026
- PS3/26 final policy statement published
1 January 2027
- All policies take effect; HM Treasury commencement regulations revoke relevant CRR provisions and replace them with PRA Rulebook rules and policy materials
Suggested considerations
*Immediate (by Q2 2026):
*Review applicability: Determine whether your firm falls within the scope of PS3/26 (banks, building societies, designated investment firms, or financial holding companies)
*Assess impact: Analyse how the restatement affects your current compliance framework, particularly regarding credit risk (IRB and standardised approaches), securitisation, and ECAI mapping
*Identify policy changes: Review the new and amended supervisory statements (SS3/24, SS4/24, SoP6/25, SoP7/25, SoP8/25) to understand expectations for permissions, waivers, and model approvals
*Medium-term (by Q3 2026):
What changed
Restatement of CRR Provisions
The PRA is transferring remaining CRR requirements from the UK CRR into the PRA Rulebook without material changes to policy substance, except for targeted securitisation...
New: SS4/24 (Credit risk: Internal Ratings Based Approach), SS3/24 (Credit risk definition of default), SoP6/25 (Internal Model Method permissions), SoP7/25 (Securitisation waivers and permissions),...
Amended: SS15/13 (Groups), SS9/13 (Securitisation: Significant Risk Transfer), SS10/18 (Securitisation: General requirements), and SS10/13 (Credit risk: Standardised Approach)
ECAI Mapping...
The Prudential Regulation Authority (PRA) has published a policy statement (PS3/26) that restates the remaining relevant provisions in the Capital Requirements Regulation (CRR) within the PRA Rulebook and other policy materials. This change aims to ensure that the PRA's rules and policies are consistent with the UK's withdrawal from the EU. The policy statement is relevant to PRA-authorised banks, building societies, and other financial institutions.
What Changed
The PRA has restated the remaining relevant provisions in the CRR within the PRA Rulebook and other policy materials, including amendments to supervisory statements and the introduction of new statements of policy. The changes include updates to the securitisation requirements and the introduction of new rules on credit risk and internal ratings-based approaches.
Suggested Considerations
Review and update internal policies and procedures to ensure compliance with the restated CRR provisions
Ensure that risk management practices are aligned with the updated rules on credit risk and internal ratings-based approaches
Review and update securitisation policies and procedures to ensure compliance with the amended requirements
Key Dates
1 Jan 2027DEADLINE
The restated CRR provisions take effect
Potential Consequences
Failure to comply with the restated CRR provisions may result in enforcement action, fines, or other regulatory penalties
Related Regulations
Capital Requirements Regulation (CRR)Basel 3.1Solvency II
PS4/26 finalizes the **simplified capital regime for Small Domestic Deposit Takers (SDDTs)**, a tailored prudential framework designed to reduce regulatory burden while maintaining capital resilience for smaller, domestically-focused UK banks and building societies. This represents the completion of Phase 1 of the PRA's "Strong and Simple" initiative and introduces materially lighter capital, liquidity, and reporting requirements for qualifying firms, with implementation effective January 1, 2027.
Key dates
January 20, 2026
– PS4/26 published; changes to SoP2/23 and ICAAP/ILAAP frequency requirements take effect
January 20, 2026
– Revocation of ICR firm/consolidation entity definitions and deletion of SoP3/23 effective
January 1, 2027
– Simplified capital regime for SDDTs takes effect; SS4/25 brought into effect in full; SDDTs removed from SS31/15 scope
Suggested considerations
*Immediate (by January 20, 2026):
*Assess SDDT eligibility – Determine whether your firm meets all seven qualification criteria, particularly the £20bn asset threshold and domestic asset location requirement
*Review consolidation group structure – If part of a group, confirm which entity will serve as the SDDT consolidation entity responsible for certification
*Implement SoP2/23 changes – Adopt updated operating procedures for the SDDT regime
*Update ICAAP/ILAAP processes – Implement new frequency requirements for capital and liquidity adequacy assessments
What changed
Simplified Capital Framework
The final policy introduces a dedicated capital regime for SDDTs that descopes them from standard CRR Firms requirements.
Deletion of SoP3/23 (Interim Capital regime) effective January 20, 2026
Removal of SDDTs from scope of SS31/15 and SoP5/15 (standard ICAAP/SREP and Pillar 2 methodologies)
Modified consolidation group certification processes, with responsibility shifting to SDDT consolidation entities
The Prudential Regulation Authority (PRA) has introduced a simplified capital regime for Small Domestic Deposit Takers (SDDTs) to reduce regulatory complexity while maintaining adequate capital. The new regime will take effect on 2027-01-01. This change aims to simplify capital requirements for smaller banks and building societies.
What Changed
The PRA has introduced a new simplified capital regime for SDDTs, which includes changes to the PRA Rulebook, supervisory statements, and statements of policy. The regime also introduces new reporting templates and instructions.
Suggested Considerations
Review and update capital adequacy assessments to ensure compliance with the new simplified capital regime
Implement new reporting templates and instructions for SDDTs
Update internal policies and procedures to reflect changes to the PRA Rulebook, supervisory statements, and statements of policy
Key Dates
20 Jan 2026
Publication of the final policy statement
20 Jan 2026
Early implementation of changes to ICAAP updates and reverse stress-testing
1 Jan 2027DEADLINE
The SDDT capital regime takes effect
Potential Consequences
Enforcement action, fines, or license revocation for non-compliance with the new simplified capital regime
This regulatory update from the CSSF focuses on the ML/FT risk assessment of specialized professionals in the financial sector providing corporate services, such as trust and company service providers. This is relevant for banks, wealth managers, and family offices that may offer these types of services.
This regulatory update on resolution reporting requirements is relevant for banking, investment management, and wealth management firms. It covers prudential and capital requirements, reporting and disclosure obligations, as well as operational resilience considerations.
This regulatory update from the CSSF deactivates certain validation rules and EBA small validation packages for COFREP reporting, which is relevant for banks, asset managers, and wealth managers in the banking and investment management sectors. The update is informational in nature, so the urgency is low.
We have opened applications for the second cohort of our AI Live Testing service. AI Live Testing is the first of its kind in the financial sector to help firms who are ready to use AI in UK financial markets. Participating firms receive tailored support from our regulatory team and our technical partner Advai to…
Why this matters
This regulatory update from the FCA announces the opening of applications for the second cohort of the AI Live Testing service, which is designed to help financial firms develop and deploy AI responsibly.
This regulatory update from the ECB discusses the approach to simplification in banking regulation and supervision, which is relevant for banks, asset managers, and wealth managers in terms of prudential requirements, operational resilience, and reporting.
The FCA's decision to ban Darren Antony Reynolds from working in financial services and fine him £2,037,892 has been upheld by the Upper Tribunal. The FCA's decision to ban Darren Antony Reynolds from working in financial services and fine him £2,037,892 has been upheld by the Upper Tribunal.Mr Reynolds was dishonest…
The CFTC announced three major enforcement actions on January 16, 2026, resolving cases involving **market manipulation (spoofing), misappropriation of confidential information, and unregistered commodity pool operations**. These cases demonstrate the CFTC's continued enforcement focus on fraudulent trading practices and registration violations, with combined penalties exceeding $685,000 and criminal sentences totaling over six years in prison.
Key dates
September 2019
- CFTC enforcement action filed against Smith and Nowak
December 2021
- CFTC complaint filed against Miller and Omerta Capital; DOJ criminal charges filed
December 2022
- CFTC complaint amended against Miller and Omerta Capital
August 2023
- Smith and Nowak sentenced to prison (criminal case)
June 2024
- Miller sentenced to prison (criminal case)
Suggested considerations
*For Registered Futures Firms and Banks:
trade and post-trade compliance controls
*For Commodity Pool Operators and Investment Advisors:
by-jurisdiction licensing analyses before soliciting investors
*For All Market Participants:
What changed
The enforcement actions establish precedent in three critical areas:
Market Manipulation (Spoofing): The CFTC secured consent orders against precious metals futures traders for spoofing—placing and canceling orders to create false market impressions. The orders impose three-year and six-month trading bans and require cease-and-desist compliance with the Commodity Exchange Act's spoofing prohibition.
Misappropriation and Fictitious Trading: The CFTC obtained permanent injunctive relief requiring disgorgement of unlawful gains ($135,788) plus civil penalties ($200,000), with 18-month trading...
The CFTC has announced enforcement updates, including civil monetary penalties and trading bans for spoofing in precious metals futures markets and misappropriating confidential information. These updates highlight the importance of compliance with CFTC regulations. Firms must ensure they are registered and comply with anti-spoofing and anti-fraud regulations.
What Changed
The CFTC has obtained federal court orders imposing civil monetary penalties and trading bans on individuals and firms for spoofing and misappropriating confidential information. The CFTC has also charged an unregistered commodity pool operator with fraud and registration violations.
Suggested Considerations
Verify registration with the CFTC at NFA BASIC before committing funds
Review and update anti-spoofing and anti-fraud policies and procedures
Ensure compliance with CFTC regulations regarding commodity pool operations and futures market participation
Key Dates
1 Sept 2021
CFTC enforcement action filed against Gregg Smith and Michael Nowak
10 Dec 2021
Department of Justice charged Peter Miller with conspiracy to commit commodities fraud
1 Jun 2024
Peter Miller sentenced to five months in prison and five months of home confinement
10 Dec 2024
Department of Justice charged Travis Ford with conspiracy to commit wire fraud
Potential Consequences
Enforcement action, fines, trading bans, and registration revocation
On 16 January 2026, Logic Investments Ltd (Logic Investments) entered special administration. Alex Watkins and Ed Boyle of Interpath Ltd were appointed as joint special administrators. Logic Investments is FCA authorised and regulated to provide wealth management services. On 16 December 2025, Logic Investments agreed…
Why this matters
This regulatory update from the FCA announces that Logic Investments Ltd, an FCA-authorized wealth management firm, has entered special administration due to concerns over its financial position.
This SAMA decision on repo and reverse repo rates is relevant for banks and wealth managers as it impacts their liquidity management and funding operations. It also has implications for reporting and disclosure requirements.
SAMA Updates Implementing Regulation of Finance Companies Control Law
Why this matters
This regulatory update from SAMA relates to the implementing regulation of the Finance Companies Control Law, which impacts banks, fintechs, and payment providers operating in the Saudi Arabian financial sector. It covers prudential and licensing requirements, making it a medium urgency update for the relevant firms.
SAMA Issues Fees Guide for Financial Institutions’ Services
Why this matters
This regulatory update from SAMA (Saudi Arabian Monetary Authority) relates to the issuance of a fees guide for financial institutions' services, which impacts banking and payments sectors.
SAMA Introduces Electronic Check Clearing System (ECCS) Service on its Website
Why this matters
This update introduces a new electronic check clearing service by SAMA, which is relevant for banking, payments, and fintech firms in Saudi Arabia. It impacts operational resilience and technology/cyber aspects of these firms.
ADGM Academy Hosts groundbreaking activities under the theme “Bridging Knowledge & Building the Nation” at ADFW 2025
Why this matters
This news article discusses ADGM Academy's activities at the ADFW 2025 event, which are focused on bridging knowledge and building the nation. This suggests the content is informational in nature, covering topics relevant to banking, investment management, and wealth management firms, as well as fintechs, in areas...
iCapital Expands Global Footprint with New Office in the United Arab Emirates
Why this matters
This news article discusses iCapital, an investment management firm, expanding its global footprint by opening a new office in the United Arab Emirates. This relates to topics around authorization, technology, and operational resilience as the firm establishes a presence in a new jurisdiction.
‘Courage’ Takes Centre Stage at RESOLVE 2025 as Experts Tackle Dispute Resolution in a Digital Era
Why this matters
This news article discusses a dispute resolution event focused on the digital transformation of the financial services industry, which is relevant to banking, investment management, and wealth management firms.
J.P. Morgan accelerates growth with full-scale Treasury services in ADGM
Why this matters
This news article discusses J.P. Morgan expanding its treasury services offerings in the Abu Dhabi Global Market (ADGM), which is relevant for banking, investment management, and wealth management firms operating in that jurisdiction.
USD 9 Trillion in Assets Commit to ADGM as Abu Dhabi Finance Week Redefines Global Capital Flows
Why this matters
This regulatory update discusses the commitment of USD 9 trillion in assets to the Abu Dhabi Global Market (ADGM), which is likely to impact banking, investment management, and wealth management firms. It also touches on ESG/sustainability and technology/cyber topics, which are key regulatory focus areas.
UAE Sustainable Finance Working Group Publishes Fourth Statement During Abu Dhabi Finance Week 2025
Why this matters
This regulatory update from the UAE Sustainable Finance Working Group is focused on sustainable finance and disclosure requirements, which are relevant for banking, investment management, and wealth management firms operating in the UAE.
ADGM Registration Authority Publishes New Commercial Permits Rules for Events, Sales and Promotions and Temporary Commercial Activity
Why this matters
This regulatory update from ADGM introduces new commercial permits rules for events, sales, promotions, and temporary commercial activity. This is relevant for banking, investment management, and wealth management firms operating in or seeking to operate in the ADGM jurisdiction, as well as fintech firms that may...
ADFW 2025 Delivers its Most Successful Edition, Showcasing Abu Dhabi’s Next Decade of Growth with Over 35,000 Attendees
Why this matters
This news article discusses the successful edition of the ADFW 2025 event in Abu Dhabi, showcasing the emirate's growth plans for the next decade. The event is likely to be of interest to firms in the banking, investment management, and wealth management sectors, as well as fintechs, as it highlights the regulatory...
APIAC and Opus 2 Announce Office Openings in the ADGM Dispute Resolution Hearing Centre as Abu Dhabi’s Dispute Resolution Community Expands
Why this matters
This news article discusses the expansion of the dispute resolution community in Abu Dhabi, with the opening of new offices by APIAC and Opus 2 in the ADGM Dispute Resolution Hearing Centre.
Bank of Palestine Expands Globally after Receiving an In-Principle Approval for a Full Banking License from ADGM Abu Dhabi, UAE
Why this matters
This news article discusses Bank of Palestine receiving an in-principle approval for a full banking license from ADGM Abu Dhabi, UAE, which is relevant to the banking, investment management, and wealth management sectors.
ADGM’s FSRA issues alert concerning fraudulent scheme and false and misleading claims - SGV Advisory FZ LLC or Strategic Global Ventures
Why this matters
This alert from ADGM's FSRA concerns a fraudulent scheme and false/misleading claims, which poses risks to consumers and the integrity of the financial system. It is relevant to banking, investment management, and wealth management firms, as well as fintechs, and requires prompt attention.
ADGM’s Registration Authority Reshapes Services in the Real Estate Sector
Why this matters
This news update from ADGM's Registration Authority discusses changes to real estate sector services, which impacts banking, investment management, and wealth management firms operating in that space. The key topics covered are licensing, operational resilience, and technology/cyber considerations.
This media release from ASIC is informational in nature, covering general regulatory updates. It is likely relevant for a range of financial services firms, particularly those in the banking, investment management, and wealth management sectors.
The German Financial Supervisory Authority (BaFin) warns about offers from the website two-five-management(.)com. According to information available to BaFin, the unknown operators of the website are offering banking services, in particular fixed-term deposits, and financial services without the required…
Why this matters
This regulatory update from BaFin warns about a website offering unauthorized banking and financial services, potentially impersonating a registered AIF asset management company. This poses risks to consumers and requires prompt action by the relevant firms and regulators.
The Federal Financial Supervisory Authority BaFin warns against offers on the website whiterock-financial(.)eu and against the alleged operator White Rock Financial Consultancy Limited from London, United Kingdom. According to information available to BaFin, the operator is providing financial and investment services…
Why this matters
This regulatory update from BaFin warns against unauthorized financial and investment services being offered by White Rock Financial Consultancy Limited, which falls under the banking, investment management, and wealth management sectors.
The Federal Financial Supervisory Authority BaFin warns against fixed-term deposit offers sent from the email address bancosantander.es-kundenservice[at]outlook.com. According to information available to BaFin, the unknown providers are conducting banking transactions without the required authorisation. The offers do…
Why this matters
This regulatory update from BaFin warns about identity theft and unauthorized banking activities, which impacts the banking, payments, and fintech sectors. It relates to AML/financial crime, consumer protection, and licensing requirements.
On 19 December 2025 the High Court approved the FCA’s proposals to distribute funds to Asset Land investors. The Court has directed the FCA to pay funds to investors in the Asset Land schemes who provide valid bank account details to the FCA on or before 20 February 2026.Investors who have not received previous…
Why this matters
This regulatory update from the FCA relates to the distribution of funds to investors in the Asset Land schemes, which falls under the Investment Management and Wealth & Private Banking sectors. The key topics covered are consumer protection and reporting/disclosure requirements.
Alan Finance Group (Clone) - Central Bank of Ireland Issues Warning on Unauthorised Firm
Why this matters
This is a warning from the Central Bank of Ireland about an unauthorized firm, which is relevant for banking, investment management, and wealth management firms. It touches on consumer protection and authorization/licensing requirements.
The Federal Financial Supervisory Authority (BaFin) warns consumers about “Paragonix Edge” and the services it is offering. BaFin suspects the unknown operators of the websites paragonixedge(.)org, hhessel(.)com, funkmp(.)com und altenweerth(.)com of offering consumers cryptoasset services without the required…
Why this matters
This regulatory update from BaFin warns consumers about unauthorized 'Paragonix Edge' websites offering cryptoasset services, which falls under the Crypto & Digital Assets sector.
The Federal Financial Supervisory Authority BaFin warns against offers on the website coinbullvisionltd(.)com. According to information available to BaFin, the trading platform COIN Bull Vision Ltd. (also: COIN Bull Vision GmbH) is providing financial, investment and crypto asset services without the required…
Why this matters
This regulatory update from BaFin warns against the unauthorized provision of financial, investment and crypto asset services by the website coinbullvisionltd(.)com. This is a high urgency issue as it relates to unlicensed crypto activities which pose risks to consumers.
This speech by Kelvin Wong at the Hong Kong Chartered Governance Institute's Annual Reception 2026 is likely to cover topics relevant to banking, investment management, and wealth management firms, particularly around consumer protection, licensing, and governance. As it is an informational speech, the urgency is low.
The Federal Financial Supervisory Authority BaFin warns against offers on website fragfinanz(.)com. According to information available to BaFin, banking transactions, especially fixed-term deposits, financial or investment services are being provided by FragFinanz without the required authorisation.
Why this matters
This regulatory update from BaFin warns against unauthorized banking and investment services being offered on the website fragfinanz(.)com, which impacts firms in the banking, investment management, and wealth management sectors.
Doherty Bergin Financial Services Ltd (Clone) - Central Bank of Ireland Issues Warning on Unauthorised Firm
Why this matters
This is a warning from the Central Bank of Ireland about an unauthorized firm, which is a high priority issue for consumer protection and financial services regulation.
Alleged employees of Brookfield Asset Management GmbH are contacting investors unsolicited by telephone and email without the necessary permission to offer them alleged fixed-term deposits and alleged pre-IPO shares. In the past, they have also used the website deu-brookfield(.)com, which is no longer accessible. They…
Why this matters
This regulatory update from BaFin warns of unauthorized offers of fixed-term deposits and pre-IPO shares allegedly originating from Brookfield Asset Management GmbH, which is not licensed to provide such services.
The Federal Financial Supervisory Authority BaFin warns against offers on the websites ubpmanagement(.)co, commerzglobal(.)com, longsharks(.)com and paribasgroup(.)net. According to information available to BaFin, the companies UBP Management and Commerz Global, allegedly based in Frankfurt, and Longsharks Capital and…
Why this matters
This regulatory update from BaFin warns against unauthorized financial and investment services, including crypto asset services, being offered on certain websites.
The FCA has fined Russel Gerrity £309,843 for using inside information to net himself £128,765. As a consultant, Mr Gerrity had access to information about whether oil and gas had been discovered during the drilling of wells. Between October 2018 and January 2022, he took advantage of this and used inside information…
Central Bank of Ireland and Banca d’Italia are launching the Innovation Data Challenge 2026, a joint initiative designed to foster cutting-edge research and innovation in the retail payments sector. The Challenge reflects the shared commitment of the two Institutions to promoting applied research, international…
Why this matters
This regulatory update announces a joint innovation challenge between the Central Bank of Ireland and Banca d'Italia focused on the retail payments sector. This indicates the regulators' interest in promoting innovation and responsible use of technology in payments, which is relevant for fintechs and payment providers.
Given at the Bellagio Group event, Bank of England
Why this matters
This speech from the Bank of England Governor discusses global economic imbalances and their impact on the financial sector, covering topics related to prudential requirements, operational resilience, and ESG considerations. It is relevant for banks, asset managers, and wealth managers.
This regulatory update from the ECB focuses on advancing their climate and nature-related work, which is relevant for banks, asset managers, and wealth managers from an ESG and prudential perspective.
The CSSF's January 2026 enforcement report documents the results of its 2025 examination campaign on 2024 financial and non-financial disclosures by issuers under Luxembourg's Transparency Law. This publication is critical for compliance professionals because it reveals systematic compliance gaps across financial reporting (IFRS), sustainability reporting (ESRS), and Alternative Performance Measures (APMs), with 27% of enforcement decisions resulting in injunctions for non-compliance.
Key dates
5 December 2024
- CSSF published enforcement priorities press release for FY2024 reporting
- CSSF published full results of fact-finding exercise on ESRS reporting
January 2026
- CSSF published enforcement results report (current publication)
Suggested considerations
*Financial Information (IFRS):
*Enhanced Note Disclosures: Provide sufficient disaggregation and additional information in financial statement notes for material amounts and variances, particularly where information is not presented on the face of primary statements. The CSSF emphasizes compliance with paragraph 112(c) of IAS 1.
*Cash Flow Statement Presentation: Ensure cash flows are presented on a gross basis (not net), exclude non-cash transactions, and disclose restricted cash balances with accompanying management commentary as required by paragraph 48 of IAS 7.
*Segment Reporting Completeness: Clearly disclose all income and expense items in segment reporting, even when not separately provided to or reviewed by the Chief Operating Decision Maker (CODM), if they are included in reported segment results.
*Going Concern Assessment: Maintain high transparency regarding accounting policies and judgments applied when classifying going concern assumptions.
What changed
The regulatory landscape has evolved significantly with the introduction of new sustainability reporting requirements:
ESRS Implementation (First Year): 2024 marked the first full reporting year under the European Sustainability Reporting Standards (ESRS), with the CSSF conducting a fact-finding exercise to assess...
Taxonomy Disclosures Amendment: On 4 July 2025, the European Commission adopted a Delegated Act amending the Taxonomy Disclosures as part of the Omnibus package, affecting Article 8 of the Taxonomy...
Double Materiality Assessment (DMA) Focus: The CSSF emphasized the importance of issuers not only disclosing the results of their DMA but also explaining the process itself, including granular...
This regulatory update from the SFC warns the public about a suspicious AI-themed investment product, which indicates potential consumer protection and authorization issues. The involvement of fintech firms and wealth managers suggests the need for close regulatory oversight in this area.
relating to the fees to be levied by the Commission de Surveillance du Secteur Financier
Why this matters
This regulatory update relates to the fees levied by the Luxembourg financial regulator CSSF, which is relevant for banks, asset managers, and wealth managers operating in the Luxembourg financial sector.
The Bank for International Settlements has reviewed the content of the FX Global Code and acknowledges that the Code represents a set of principles generally recognised as good practice in the wholesale foreign exchange (FX) market.
Why this matters
The BIS press release announces its commitment to conduct FX market activities consistent with the FX Global Code principles. This is an informational statement of compliance with a recognized voluntary code of conduct, not a new rule, consultation, or enforcement action.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered on the website parex-am(.)com. BaFin has information that this website is being used to offer financial, investment and cryptoasset services without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about an unauthorized website offering financial, investment, and cryptoasset services, which falls under the banking/credit and crypto/digital assets sectors. The key topics are consumer protection and authorization/licensing requirements.
The Securities and Exchange Commission today announced that J. Russell “Rusty” McGranahan has been named SEC General Counsel. As the SEC’s chief legal officer, Mr. McGranahan will oversee the provision of legal expertise and advice to the Office of the…
Why this matters
This regulatory update announces the appointment of a new SEC General Counsel, which is relevant for banking, investment management, and capital markets firms that interact with the SEC. The topics covered include licensing, governance, and reporting requirements, which are important for these firm types.
amending Council Regulation (EU) No 833/2014 concerning restrictive measures in view of Russia’s actions destabilising the situation in Ukraine
Why this matters
This regulation amends existing sanctions against Russia related to the Ukraine conflict, which will impact financial firms across banking, investment management, and wealth management sectors. The changes require firms to update their compliance programs, reporting, and capital requirements.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the company Own Mood Space and the services it is offering. BaFin suspects the unknown operators of the website ownmoodspace(.)com of offering consumers financial, investment and cryptoasset services without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about a website offering unauthorized financial, investment and cryptoasset services, which poses risks to consumers. This is a high urgency issue as it relates to consumer protection and the need for proper authorization to offer such services.
The Federal Financial Supervisory Authority BaFin warns against offers on the website fidelity-ag(.)com. According to information available to BaFin, banking transactions, especially fixed-term deposits, financial or investment services are being provided on this website without the required authorisation. The…
Why this matters
This regulatory update from BaFin warns against unauthorized banking and investment services being offered on the website fidelity-ag.com, which is impersonating a legitimate Swiss company.
On 07 November 2025, the Federal Office of Justice (Bundesamt für Justiz - BfJ) imposed a disciplinary fine amounting to 50.000 euros on pferdewetten.de AG.
AI Analysis
The Federal Office of Justice (BfJ) imposed a €50,000 disciplinary fine on pferdewetten.de AG on November 7, 2025, for violations related to the publication of financial reports under German securities law (WpHG - Wertpapierhandelsgesetz). This enforcement action underscores regulatory expectations for timely and accurate financial disclosure compliance, particularly for publicly traded or regulated entities in the gaming/betting sector.
Key dates
November 7, 2025
- BfJ imposed €50,000 disciplinary fine on pferdewetten.de AG
January 15, 2026
- BaFin published enforcement action notice
Ongoing
- WpHG financial reporting obligations remain in effect with no stated grace period modifications
Suggested considerations
*Audit Current Compliance: Review all financial reporting timelines and publication procedures to ensure adherence to WpHG deadlines
*Strengthen Internal Controls: Implement or enhance controls over financial report preparation, review, and publication workflows
*Document Procedures: Maintain clear documentation of publication dates, approval chains, and compliance verification
*Monitor Deadlines: Establish calendar systems with advance reminders for statutory reporting deadlines
*Legal Review: Consult with securities law counsel to confirm specific reporting obligations applicable to your entity
What changed
Based on the enforcement context, the regulatory requirements at issue involve:
Financial Reporting Obligations: Entities subject to WpHG must publish financial reports in accordance with statutory deadlines and content requirements
Disclosure Standards: Reports must meet quality and completeness standards established under German securities law
Enforcement Mechanism: The BfJ has authority to impose disciplinary fines for non-compliance with publication requirements
No Safe Harbor: Delayed or deficient publication cannot be remedied retroactively without regulatory consequences
On 07 November 2025, the Federal Office of Justice (Bundesamt für Justiz - BfJ) imposed a disciplinary fine amounting to 50.000 euros on pferdewetten.de AG.
AI Analysis
The Federal Office of Justice (BfJ) imposed a €50,000 disciplinary fine on pferdewetten.de AG on 7 November 2025 for violations related to the publication of financial reports under the German Securities Trading Act (WpHG). This enforcement action underscores BaFin's and BfJ's strict oversight of timely and accurate financial disclosures by public companies, serving as a warning to listed firms on the consequences of non-compliance. It matters because it highlights procedural lapses in ad-hoc publicity and annual reporting, potentially increasing scrutiny on similar entities amid ongoing regulatory emphasis on market integrity.
Key dates
07 November 2025
- Date BfJ imposed the €50,000 disciplinary fine on pferdewetten.de AG
Suggested considerations
Conduct an internal audit of recent financial report publications (last 12-24 months) for timeliness, accuracy, and platform compliance (e.g., DGAP/EGAP).
Implement or enhance pre-publication checklists, including dual approvals and automated validation tools to flag delays or errors.
Train IR and compliance staff on WpHG §§ 15, 111-114 (ad-hoc and periodic reporting) and § 37w (sanctions).
Review outsourcing arrangements for reporting (e.g., to service providers) to ensure accountability under MaGo (Minimum Requirements for Risk Management).
Document remedial actions and report to the supervisory board; consider voluntary self-disclosure for any identified breaches to mitigate fines.
What changed
This is not a regulatory change or new requirement but an enforcement decision enforcing existing obligations under § 37w WpHG (disciplinary measures for breaches of publication duties) and related...
Timely publication of annual financial reports and ad-hoc announcements via electronic means (e.g., DGAP platform).
Ensuring completeness and accuracy of published financial statements, including management reports.
Immediate correction of any publication errors or delays to prevent market misinformation.
No new rules were introduced; the fine reinforces pre-existing standards without amendments.
(Source:...
Compliance impact
Urgency: Medium. This matters as a concrete example of BfJ's willingness to levy fines (here €50,000, modest but precedential) for reporting lapses, signaling heightened enforcement post-2025 ESMA-aligned updates to transparency rules. Firms with similar profiles face elevated audit risk, especially with BaFin's 2026 focus on digital reporting resilience; non-compliance could escalate to higher penalties (up to €10M or 5% turnover under EU MAR equivalents) or trading suspensions. Prioritize if your firm has recent publication issues.
On 7 November 2025, the Federal Office of Justice (Bundesamt für Justiz - BfJ) imposed a disciplinary fine amounting to 50,000 euros on TTL Beteiligungs- und Grundbesitz-AG
AI Analysis
The Federal Office of Justice (BfJ) imposed a €50,000 disciplinary fine on TTL Beteiligungs- und Grundbesitz-AG on 7 November 2025 for failing to publish required financial reports, violating transparency obligations under the German Securities Trading Act (WpHG). This enforcement action underscores BaFin's heightened focus on financial reporting compliance for listed companies, serving as a warning for timely and accurate disclosures amid strategic priorities on market integrity and early risk detection. Compliance teams should view it as a signal of rigorous enforcement against reporting lapses, potentially leading to escalated penalties for repeat or severe breaches.
Key dates
7 November 2025
- BfJ imposes €50,000 disciplinary fine on TTL Beteiligungs- und Grundbesitz-AG for financial reporting violations
Suggested considerations
Conduct immediate gap analysis of financial reporting processes to ensure compliance with WpHG Sections 37 et seq. (annual/interim reports) and 40c (publication duties).
Implement automated monitoring and reminders for publication deadlines (e.g., 4 months for annual reports, 3 months for half-yearly).
Strengthen internal controls, including pre-publication reviews by compliance and legal teams, with escalation to senior management.
Train responsible personnel on disciplinary risks, documenting adherence to avoid BfJ fines (up to €5 million or 3% of turnover for severe cases).
For listed firms, integrate reporting into broader governance frameworks, aligning with BaFin's data-driven supervision expectations.
What changed
No new regulatory changes are introduced; this is an enforcement case applying existing WpHG requirements for periodic financial reporting by publicly listed entities. The case reinforces the statutory duty under Section 40c WpHG (as referenced in the BaFin publication title) to publish financial reports promptly, with BfJ acting as the disciplinary authority for such violations. It aligns with BaFin's ongoing risk-based enforcement on financial reporting for publicly traded companies, emphasizing compliance with transparency and disclosure rules.
Compliance impact
Urgency: Medium - This fine is modest (€50,000) and targets a specific reporting failure, not systemic issues like AML or IT deficiencies seen in larger cases (e.g., J.P. Morgan's €45 million fine). It matters as a precedent in BaFin's 2026-2029 strategy prioritizing market transparency, financial reporting enforcement, and early detection of non-compliant firms, signaling increased audits and penalties for disclosure lapses that undermine market integrity.
On 7 November 2025, the Federal Office of Justice (Bundesamt für Justiz - BfJ) imposed a disciplinary fine amounting to 50,000 euros on TTL Beteiligungs- und Grundbesitz-AG
AI Analysis
The Federal Office of Justice (BfJ) imposed a €50,000 disciplinary fine on TTL Beteiligungs- und Grundbesitz-AG on 7 November 2025 for failing to publish required financial reports, highlighting enforcement of financial reporting obligations under German securities law (WpHG). This case underscores BaFin's and BfJ's commitment to market transparency and integrity, serving as a warning to listed companies on the consequences of non-compliance with ad-hoc and periodic reporting duties. Compliance professionals should note it as evidence of intensified scrutiny on reporting accuracy amid BaFin's 2026-2029 strategic priorities.
Key dates
7 November 2025
- Date BfJ imposed the €50,000 disciplinary fine on TTL Beteiligungs- und Grundbesitz-AG for financial reporting violations
Suggested considerations
Conduct immediate gap analysis of financial reporting processes to ensure compliance with WpHG §§ 37c, 115, and 124 on publication of annual, half-yearly, and ad-hoc reports via electronic means (e.g., company website and Bundesanzeiger).
Implement automated monitoring and reminders for reporting deadlines, with dual sign-off by compliance and finance teams.
Train management on personal liability for reporting failures, including documentation of internal controls to demonstrate due diligence in supervisory reviews.
For firms with similar profiles, voluntarily self-report past lapses to BfJ/BaFin to potentially mitigate fines, referencing this case as precedent.
What changed
No new regulatory changes are introduced; this is an enforcement action enforcing existing requirements under the German Securities Trading Act (WpHG § 124), which mandates timely publication of financial reports for publicly listed companies. The case reaffirms the disciplinary framework where BfJ, as the competent authority, can impose fines up to €700,000 (or 5% of turnover) for violations, with this €50,000 fine reflecting a proportionate measure for the breach.
Compliance impact
Urgency: Medium - This fine, while modest, signals BfJ's active enforcement role in financial reporting, amplified by BaFin's 2026-2029 strategy prioritizing "market transparency and integrity" through increased monitoring of publicly traded companies. It matters because reporting breaches erode investor trust and can escalate to larger penalties or trading suspensions; firms should prioritize process reviews now to avoid higher fines amid BaFin's push for data-driven supervision and early detection of issues.
The Prudential Regulation Authority (PRA) has today published its supervisory priorities for 2026, outlining in a letter its sector-specific priorities for the coming year to all banks, building societies, insurers and other PRA-regulated firms.
Why this matters
This regulatory update from the Bank of England's Prudential Regulation Authority (PRA) outlines supervisory priorities for 2026, which are relevant for banks, insurers, and all PRA-regulated firms.
Letter to Chief Executive Officers of PRA-regulated Insurance firms
Why this matters
This letter from the PRA outlines 2026 priorities for insurance supervision, covering prudential requirements and operational resilience, which are relevant for insurance firms.
Letter to Chief Executive Officers of PRA regulated international banks active in the UK
Why this matters
This letter from the PRA outlines 2026 priorities for international banks active in the UK, covering key areas such as prudential requirements, operational resilience, and governance. It is relevant for banks and wealth managers operating in the UK.
Letter to Chief Executive Officers of PRA regulated UK deposit takers
Why this matters
This letter from the PRA outlines the 2026 priorities for supervision of UK deposit takers, which are relevant for banks. The key topics covered are prudential requirements and operational resilience, which are high priority areas for banking supervision.
This appears to be an informational update from the CSSF regarding the SSM Calendar Claude Wampach, which is likely relevant for banks, wealth managers, and asset managers operating in the banking and investment management sectors.
The Federal Financial Supervisory Authority (BaFin) suspects the unknown operators of the website fivepillarstoken(.)com of offering consumers cryptoasset services in Germany without the required authorisation. The offers include “crypto debit cards” and staking using Five Pillars Tokens.
Why this matters
This regulatory update from BaFin warns consumers about the unauthorized offering of crypto-asset services, including crypto debit cards and staking, on the website fivepillarstoken.com.
Circular CSSF 19/708 mandates the electronic transmission of specified documents to the CSSF via secure platforms like e-file or SOFiE, effective from February 1, 2019, replacing prior paper or other methods. This updated annex (as amended by Circular CSSF 21/790 and further revisions up to April 1, 2025) standardizes submissions for investment funds and related entities, reducing administrative burdens while ensuring document integrity and CSSF accessibility. Compliance professionals must monitor the dynamic annex list on the CSSF website to avoid nullified submissions.
Key dates
28 January 2019
Publication date; of original Circular CSSF 19/708
1 February 2019
Entry into force; Mandatory electronic transmission for listed documents; non-electronic submissions null and void
22 December 2021
Amendment; by Circular CSSF 21/790
1 April 2025
Latest annex update; noted
Ongoing Deadline
Regular checks required; Entities must monitor CSSF website for annex updates
Suggested considerations
Register/access e-file or SOFiE platforms if not already (test/production environments available since February 2019).
Consult and adhere to the latest Annex I for document list, nomenclatures, and formats (PDF with full functionality).
Ensure submissions are final/official versions matching hard copies; use specified identifiers for UCIs/SIFs/SICARs.
Implement processes for automatic/manual transmission (e.g., via updated sending services v4.9.0 or transmission module 6.6.0).
Train staff on responsibilities and integrate into reporting workflows; reference CSSF FAQs for closing documents.
What changed
- Mandatory Electronic-Only Submission: Documents listed in Annex I must be transmitted exclusively via e-file (http://www.e-file.lu) or SOFiE...
Dynamic Annex Updates: The annex, published on the CSSF website, is regularly updated (e.g., latest noted April 1, 2025) and includes prospectuses, management regulations, annual reports, risk...
Scope Expansion: Extends beyond UCIs to securitisation undertakings (2004 Law), pension funds (2005 Law), SICARs, and Luxembourg IFMs; repeals prior Circulars CSSF 09/423 and 08/371.
Filer Responsibilities: Entities ensure documents match official final hard copies, handle content/format accuracy, and check annex updates regularly.
Compliance impact
Urgency: Low (for new implementations post-2019; medium for ongoing monitoring). This matters for operational efficiency and CSSF relations, as non-compliance risks rejected filings, delays (e.g., approvals under SFDR processes), or supervisory scrutiny, but long-standing rule (since 2019) with established platforms reduces immediate pressure. Firms must prioritize annex vigilance to avoid disruptions in routine reporting like annual reports or prospectuses.
Strategy Supervision Institutional Other professionals Retail investors Journalists Investment services providers Investment management companies Listed companies and issuers The AMF sets its priorities for 2026 for...
Why this matters
This regulatory update from the AMF sets priorities for 2026 related to deeper, safer and more resilient financial markets open to innovation. It covers topics relevant to various financial firms including asset managers, broker-dealers, banks, and fintechs, such as consumer protection, operational resilience, and...
This speech by the Bank of England's Deputy Governor discusses the evolution of the Bank's approach to resolution, which is relevant for banking and investment management firms in terms of prudential requirements, operational resilience, and governance. The content is informational in nature.
This regulatory update covers a range of topics relevant to the banking, payments, and crypto sectors, including public consultations on prepaid payment instruments, information sharing on illegal account use, and updates to disaster management plans. The medium urgency reflects the informational nature of the update.
According to information available to the Federal Financial Supervisory Authority (BaFin), unknown persons are using Telegram groups and chats to contact German investors. The initiators of these messenger groups purport to be the US company “MacKay Shields”. This is a case of identity fraud.
Why this matters
This regulatory update from BaFin warns consumers about identity theft and fraud involving the apps 'NYLI' and 'NYLIPLUS', which are being promoted through Telegram groups.
According to information available to the Federal Financial Supervisory Authority (BaFin), unknown persons are using WhatsApp groups and chats to contact German investors. The initiators of these WhatsApp groups purport to be the US company “Payden & Rygel”. This is a case of identity theft misusing the names of real…
Why this matters
This regulatory update from BaFin warns consumers about identity theft and misuse of a real company's name in connection with a payments app called 'PayDenPro'. This impacts banking, payments, and consumer credit sectors, and raises concerns around AML, consumer protection, and authorization issues.
Introduction Good morning and thank you to Michael for inviting me to speak at the Compliance Institute’s Annual General Meeting. It is always a real pleasure to engage with compliance professionals. At the Central Bank, we recognise the essential role played by the compliance community in ensuring that financial…
AI Analysis
This speech by Gerry Cross, Director of Capital Markets and Funds at the Central Bank of Ireland (CBI), outlines key supervisory priorities including securing customers' interests via the revised Consumer Protection Code, Individual Accountability Framework (IAF) implementation, regulatory simplification, resilience, technology leverage, and an evolving outcomes-focused supervision approach. It matters because it signals CBI's expectations for compliance professionals to drive these outcomes in firms, emphasizing proportionality and ongoing engagement amid regulatory evolution. Compliance teams must integrate these themes to align with CBI's shift toward less process-driven, more effective oversight.
Key dates
24 March 2026 Deadline
- Revised Consumer Protection Code comes into force; firms must ensure full readiness and ongoing embedding of provisions, including new Standards for Business
Suggested considerations
Implement Revised Consumer Protection Code: Complete readiness by 24 March 2026; apply new Standards for Business in operations, leveraging CBI workshops for guidance.
Embed IAF: Maintain enhanced responsibility mapping, support decision-making, and engage with CBI on implementation feedback to mature governance.
Adopt Outcomes-Focused Practices: Shift from process-driven to outcomes-based compliance (e.g., customer interests, resilience); review internal frameworks for simplification opportunities.
Engage with CBI: Participate in ongoing consultations, workshops, and stakeholder feedback on supervision evolution, IAF, and Consumer Protection Code.
Leverage Technology: Integrate tech for resilience and compliance efficiency, aligning with CBI's supervisory priorities.
What changed
- Revised Consumer Protection Code: Introduces new Standards for Business, building on the Code reviewed with industry input; focuses on delivering good outcomes for consumers and the economy.
Individual Accountability Framework (IAF): Implemented 18 months prior (circa mid-2024); enhances clarity on responsibilities, supports governance, and aligns with outcomes-focused regulation rather...
Supervisory Approach Evolution: Shifting in 2025-2026 to risk-based, outcomes-focused, less process-driven supervision integrated across financial stability, consumer protection, safety/soundness,...
Regulatory Simplification: Openness to reviewing frameworks (e.g., fitness and probity) for simpler, outcomes-based alternatives without compromising effectiveness; supports broader simplification...
Resilience and Technology: Ongoing focus on financial resilience post-reforms, leveraging technology for supervision; no specific new rules but emphasis on embedding these in operations.
No new...
Compliance impact
Urgency: Medium. This speech reinforces imminent obligations like the 24 March 2026 Consumer Protection Code effective date (less than 2 months from speech/publication), requiring immediate readiness checks, but lacks new rules or critical enforcement threats. It matters for long-term alignment with CBI's outcomes-focused supervision, reducing future supervisory risks through proactive embedding of IAF and simplification; non-engagement could signal poor governance amid evolving oversight.
The European Supervisory Authorities and UK financial regulators sign Memorandum of Understanding on oversight of critical ICT third-party service providers under DORA 14 January 2026 Digital Finance and Innovation International cooperation The European Supervisory Authorities (EBA, EIOPA and ESMA – the ESAs) have…
Why this matters
This regulatory update is relevant for banks, asset managers, and wealth managers as it covers the oversight of critical ICT third-party service providers under the Digital Operational Resilience Act (DORA).
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered on the website givhalbank(.)com. According to information available to BaFin, this website is being used to offer banking business and financial, investment and cryptoasset services without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about the unauthorized banking, financial, investment and crypto services being offered on the website givhalbank(.)com. This is a high urgency issue as it involves potential consumer harm and unauthorized financial activities.
The FCA, Bank of England and Prudential Regulation Authority have together signed a Memorandum of Understanding (MoU) with the European Supervisory Authorities to enhance cooperation and oversight of critical third parties (CTPs) that fall under the UK’s CTP regime.The MoU establishes a framework for coordinating and…
AI Analysis
The FCA, Bank of England (BoE), and Prudential Regulation Authority (PRA) have signed a Memorandum of Understanding (MoU) with the European Supervisory Authorities (ESAs) to coordinate oversight of critical third parties (CTPs) under the UK's CTP regime and critical third party providers (CTPPs) under the EU's Digital Operational Resilience Act (DORA). This matters because it enhances cross-border information sharing and cooperation during incidents like cyber-attacks, reducing regulatory duplication while bolstering financial stability and operational resilience for firms reliant on these providers.
Key dates
1 January 2025
UK CTP rules came into effect, applying to CTPs designated by HMT
Ongoing (process begun pre
2025); HMT designation process for CTPs, with regulators recommending based on concentration and materiality criteria; no fixed end date specified
DORA effective date (prior context)
EU CTPPs oversight under DORA aligns with UK regime; MoU signed to ensure compatibility (exact DORA timeline not in publication but supports post-2024 implementation)
Suggested considerations
For CTPs/CTPPs: Once designated, implement regular assurance reporting to regulators, conduct resilience testing (e.g., scenario testing), and report major incidents promptly; prepare for cross-border information requests under the MoU.
For financial firms/FMIs: Continue managing operational resilience and third-party risks per existing outsourcing rules (e.g., identify dependencies on potential CTPs); monitor HMT designations and enhance incident response coordination with regulators.
Regulators' internal actions: Use CCF for coordination; notify counterparts of investigations or material developments per MoU Article 3 and 12.
Firms should review contracts with third parties for compliance alignment and conduct gap analyses against CTP requirements.
What changed
- Establishes a framework for timely information sharing, coordination of oversight activities, and joint responses to incidents affecting CTPs/CTPPs, including power outages or cyber-attacks.
Defines principles for cooperation on mutually designated CTPs/CTPPs, including notifications of investigations and best endeavors to share material information where legally and operationally...
Complements the UK's CTP regime (effective 1 January 2025), which requires designated CTPs to provide regular assurance, conduct resilience testing, and report major incidents, without altering...
Supported by a tripartite MoU among UK regulators for coordinated oversight via a joint CTP Consultation and Coordination Forum (CCF).
Compliance impact
Urgency: High – The MoU operationalizes the live UK CTP regime (effective January 2025), with designations underway, amplifying risks of non-compliance for firms using critical ICT providers amid rising cyber and resilience threats. It matters for cross-border firms as it enables regulator-to-regulator data sharing, potentially exposing gaps in outsourcing arrangements and increasing enforcement scrutiny without fines on CTPs yet possible future powers.
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered on the website blitz365finance(.)org. According to information available to BaFin, the operators are offering financial and cryptoasset services on the website without the required authorisation. The unknown operators of the…
Why this matters
This regulatory update from BaFin warns consumers about an unauthorized website offering financial and cryptoasset services, which is a case of identity fraud. This poses risks related to financial crime, consumer protection, and licensing requirements for firms operating in the banking and crypto sectors.
The Financial Conduct Authority, Bank of England and Prudential Regulation Authority (UK regulators) have together signed a Memorandum of Understanding (MoU) with the European Supervisory Authorities to enhance cooperation and oversight of critical third parties (CTPs) that fall under the UK’s CTP regime.
Why this matters
This regulatory update is relevant for banks, asset managers, and wealth managers as it strengthens oversight of critical third parties, which is a key operational resilience and prudential concern.
ESMA promotes clarity in communications on ESG strategies 14 January 2026 Sustainable finance The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, published today a second thematic note on sustainability-related claims, focusing on ESG strategies. The note…
AI Analysis
ESMA published a thematic note on January 14, 2026, providing guidance on clear, fair, and not misleading communications regarding ESG strategies, specifically ESG integration and ESG exclusions, to mitigate greenwashing risks in non-regulatory materials like marketing. This matters because sustainability claims heavily influence investor decisions, and misleading communications can lead to supervisory actions, reputational damage, and loss of trust, aligning with existing EU rules under SFDR and related frameworks without imposing new disclosures.
Key dates
1 July 2025
- Publication of ESMA's first thematic note on ESG credentials (to be read in combination)
14 January 2026
- Publication date of the thematic note on ESG strategies (second in series)
Suggested considerations
Review and update all non-regulatory ESG communications (marketing, websites, presentations, DDQs, PPMs) against the four principles and do's/don'ts.
Ensure consistency across channels, substantiate claims with accessible evidence, and avoid vagueness or overstatements.
Train compliance/marketing teams; monitor for updates as further thematic notes may follow.
Cross-reference with first note and regulations like SFDR, Cross-Border Distribution Regulation.
What changed
This is not a formal regulatory change but supervisory guidance reinforcing four principles for non-regulatory communications (e.g., marketing materials, websites, investor presentations, voluntary...
Accurate: Claims must fairly represent sustainability profiles without exaggeration, falsehoods, omissions, cherry-picking, vagueness, or misleading ESG terminology/imagery.
Accessible: Information must be easy to understand and navigate, with layered substantiation in electronic formats for retail materials.
Substantiated: Backed by clear reasoning, facts, processes, and methodologies; disclose data limitations and comparison bases.
Up to date: Reflect current data, with timely disclosure of material changes and analysis dates.
Practical do's/don'ts include explaining ESG processes in plain language, disclosing portfolio...
Compliance impact
Urgency: High – Immediate risk of enforcement for greenwashing in high-visibility ESG marketing, amid rising supervisory scrutiny; non-compliance threatens fines, remediation, and reputational harm as investor focus on sustainability grows. Proactive alignment builds trust and differentiates firms.
This regulatory update from the SFC involves the disqualification of a former executive director of a listed company, which is relevant for banking, investment management, and wealth management firms in terms of conduct, authorization, and governance requirements.
This speech by a Bank of England official covers topics related to the banking and investment management sectors, including prudential requirements, operational resilience, and ESG/sustainability. The content appears to be informational rather than an urgent regulatory update.
ESMA’s Digital and Data strategies support supervision of EU financial markets 13 January 2026 About ESMA Market data Press Releases The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has adopted a new Digital Strategy and updated its Data Strategy . They reflect…
Why this matters
This regulatory update from ESMA focuses on the adoption of new digital and data strategies to support the supervision of EU financial markets. It covers topics related to technology, data reporting, and operational resilience, which are relevant across various financial sectors including capital markets, crypto...
Das Eidgenössische Departement für Wirtschaft, Bildung und Forschung WBF hat eine Änderung des Anhangs 2 der Verordnung vom 22. Juni 2005 über Massnahmen gegenüber der Demokratischen Republik Kongo (SR 946.231.12) publiziert.
AI Analysis
The Swiss Federal Department for Economic Affairs, Education and Research (WBF) updated Annex 2 of the Ordinance on Measures against the Democratic Republic of Congo (SR 946.231.12) on January 12, 2026, modifying the list of sanctioned persons, companies, and organizations, with changes effective January 13, 2026, at 23:00 UTC. This matters for Swiss financial intermediaries as it triggers immediate asset freezing, reporting to SECO, and potential AML checks under the Anti-Money Laundering Act (GwG), ensuring compliance with Switzerland's implementation of international sanctions via the Embargo Act (EmbG).
Key dates
January 12, 2026
- WBF publishes amendment to Annex 2
January 13, 2026, 23:00 UTC Deadline
- Changes enter into force; immediate implementation required
December 12, 2026
- Related EU sanctions extended to this date (Swiss alignment expected)
Suggested considerations
Screen client portfolios and transactions against the updated SESAM database immediately upon effectiveness.
Freeze assets of newly listed sanctioned parties and prohibit making funds/resources available.
Report affected business relationships to SECO without delay.
Conduct GwG Art. 6 due diligence on suspicions; file Art. 9 reports to the Money Laundering Reporting Office if unresolved.
Monitor MyFINMA for FINMA alerts and update internal sanctions screening tools.
What changed
- Amendment to Annex 2 of SR 946.231.12, updating the list of sanctioned individuals, entities, and organizations subject to financial restrictions.
Integration into the SECO Sanctions Management (SESAM) database, with urgent publication on the SECO website.
Reinforcement of prohibitions: asset freezing, ban on making funds available, and reporting of affected business relationships to SECO; does not exempt from GwG Art. 6 due diligence or Art.
Compliance impact
Urgency: High - Immediate effect from January 13, 2026, 23:00 UTC demands rapid screening and freezing to avoid EmbG violations, which can trigger FINMA enforcement (e.g., fines, license actions). Matters due to sanctions lists' frequent updates (e.g., prior May 2024 change) and overlap with AML obligations, heightening financial crime exposure for DRC-linked assets.
Das Eidgenössische Departement für Wirtschaft, Bildung und Forschung WBF hat Änderungen des Anhangs 1 der Verordnung vom 28. März 2018 über Massnahmen gegenüber Venezuela (SR 946.231.178.5) publiziert.
AI Analysis
On January 13, 2026, Switzerland's State Secretariat for Economic Affairs (SECO) updated Annex 1 of the Ordinance on Measures against Venezuela (SR 946.231.178.5), reflecting changes to the list of designated persons and entities subject to Swiss asset freezing measures. This update is critical for Swiss financial institutions and regulated entities as it directly impacts sanctions compliance obligations and requires immediate verification of client and counterparty lists against the revised designations.
Key dates
January 5, 2026
- FINMA ordinance on asset freezing (RS 196.127.85) enters into force at 11 a.m., freezing assets of 37 designated persons
January 13, 2026
- SECO publishes updated Annex 1 to SR 946.231.178.5 (the update referenced in your query)
Immediate Deadline
- Compliance obligations commence upon publication; no grace period for implementation
Suggested considerations
*Immediate Screening: Conduct comprehensive screening of all client and counterparty databases against the updated Annex 1 designations within 24-48 hours of publication.
*Asset Identification: Identify and document any assets, accounts, or positions held by or on behalf of newly designated persons/entities.
*Freeze Implementation: Immediately freeze all identified assets and block all transactions involving designated parties.
*Notification: Report any blocked assets to SECO as required under Swiss sanctions legislation (typically within 10 business days).
*Transaction Review: Suspend all pending transactions with Venezuela-related counterparties pending compliance verification.
What changed
The regulatory update modifies the designated persons list under Switzerland's unilateral freezing measures against Venezuela.
Update their sanctions screening systems with revised designations
Identify any existing relationships with newly designated or de-designated persons/entities
Implement immediate asset freezing for any newly added designations
Cease all transactions with blocked parties unless specifically authorized
Das Eidgenössische Departement für Wirtschaft, Bildung und Forschung WBF hat Änderungen der Verordnung vom 4. März 2022 über Massnahmen im Zusammenhang mit der Situation in der Ukraine (SR 946.231.176.72) publiziert.
AI Analysis
The Swiss Federal Department for Economic Affairs, Education and Research (WBF) has published updates to the Ordinance on Measures in Connection with the Situation in Ukraine (SR 946.231.176.72), aligning Swiss sanctions with ongoing international restrictions targeting Russia. This matters for Swiss financial institutions as it reinforces asset freezing and economic resource restrictions, heightening compliance risks amid prolonged geopolitical tensions, with the ordinance valid until at least November 2026.
Key dates
Various historical dates (e.g., March 25, 2022 at 23:00; January 25, 2023 at 18:00)
- Prior amendment effective dates, illustrating pattern of rapid implementation
January 13, 2026
- Publication of amendments by WBF, triggering immediate review obligations
November 22, 2026
- Current expiry of ordinance (subject to extension)
Suggested considerations
Screen clients, transactions, and assets against updated sanctions lists for Russian/Ukrainian designations, focusing on asset freezing (no management/use except administrative actions) and economic resources (no sales, leasing, or financing).
Block prohibited activities in energy sector, financial services (e.g., derivatives, crypto, guarantees), and related exports/financing; report any frozen assets to authorities.
Update internal policies, screening tools, and training to reflect changes; maintain records of compliance checks and authorizations (if applicable under Article 11).
Monitor FINMA's sanctions page for full ordinance text and related guidance.
What changed
The publication announces amendments to SR 946.231.176.72, though specific details in the notice are limited; it signals ongoing refinements to sanctions measures originally enacted on March 4, 2022. Related documentation indicates persistent expansions, such as broader restrictions on Russian energy sector activities (e.g., prohibiting certain services, financing, and transactions), definitions encompassing financial instruments like derivatives, crypto-assets, and securitizations, and prohibitions on asset management or use except for normal administrative actions by financial institutions.
Compliance impact
Urgency: High - Ongoing amendments to this long-standing ordinance (active since 2022) demand immediate screening and blocking to avoid FINMA enforcement, fines, or reputational damage, especially with crypto and energy sector expansions capturing evolving risks. Non-compliance risks asset release violations or facilitation of sanctioned activities, amplified by FINMA's enforcement focus on financial crime.
We stand in full solidarity with the Federal Reserve System and its Chair Jerome H. Powell.
Why this matters
This is an informational news update from the Bank of England expressing solidarity with the Federal Reserve and its Chair. It does not appear to contain any new regulatory requirements or urgent actions for firms, but rather is a general statement of support.
The PRA and FCA have jointly issued consultation paper CP1/26 proposing to set the **Management Expenses Levy Limit (MELL) for the Financial Services Compensation Scheme (FSCS) at £113 million for 2026/27**, comprising a £108 million management expenses budget and a £5 million unlevied reserve. This consultation determines the maximum amount the FSCS can levy on authorised financial services firms to fund its statutory compensation scheme operations, directly affecting compliance costs for all regulated entities.
Key dates
10 February 2026 Deadline
– Consultation deadline for comments on CP1/26
1 April 2026
– Effective date: proposed MELL applies from start of FSCS financial year
31 March 2027
– End date of 2026/27 MELL period
Suggested considerations
*Review the consultation paper (CP1/26) in detail, particularly Appendices 3 and 4 detailing budget line items and PRA/FCA funding class allocations
*Assess levy impact on your firm's 2026/27 budget based on your regulated business volume and funding class allocation
*Prepare internal stakeholder communication regarding the £4.4 million aggregate increase and its implications for your firm's regulatory costs
*Monitor the FSCS January 2026 budget update for detailed cost breakdowns and compensation levy forecasts
*Submit consultation responses if your firm wishes to comment on the proposal by 10 February 2026
What changed
The proposed MELL for 2026/27 introduces the following material changes:
Budget increase of £4.4 million from 2025/26 (from approximately £103.6 million to £108 million), broadly aligned with inflation
Nominal reduction of £6.6 million on a like-for-like basis when excluding the cost of enhancements to the FSCS's revolving credit facility (RCF)
Real terms reduction of £11 million when accounting for inflation adjustments
RCF enhancement to £3 billion to support the Bank of England's recapitalisation powers and enable faster depositor payouts
This regulatory update relates to the registration of EU/EEA mortgage credit intermediaries operating in Luxembourg under the freedom to provide services, which is relevant for banking, credit, and mortgage lending firms.
DFSA to host webinar on updated Crypto Token framework and DIFC’s digital assets…
Why this matters
This regulatory update from the DFSA focuses on the updated Crypto Token Regulatory Framework, which is relevant for crypto and digital asset firms operating in the DIFC. The update covers licensing and disclosure requirements for these firms, making it of medium urgency for the affected firm types.
The Securities and Exchange Commission today announced that Paul H. Tzur and David M. Morrell have been named as Deputy Directors of the Division of Enforcement. Mr. Tzur joined the Commission on January 6, 2026, as the Deputy Director overseeing the…
AI Analysis
The SEC announced on January 12, 2026, the appointment of Paul H. Tzur and David M. Morrell as Deputy Directors of the Division of Enforcement, with Tzur joining on January 6, 2026, to oversee key operations. This personnel change is part of a broader reorganization replacing Regional Directors with Deputy Directors for more centralized oversight of investigations. It matters for compliance teams as it signals greater consistency in enforcement approaches, potentially affecting investigation timelines, Wells process strategies, and settlement negotiations across SEC-regulated entities.
Key dates
January 6, 2026
- Paul H. Tzur joins SEC as Deputy Director of the Division of Enforcement.
January 12, 2026
- SEC announces appointments of Paul Tzur and David Morrell as Deputy Directors.
Suggested considerations
Review and update internal protocols for SEC investigations to align with centralized reporting structures, anticipating uniform standards across regions.
Train legal/compliance staff on refined Wells process (e.g., prepare for four-week timelines and evidence access requests).
Monitor upcoming SEC communications for Enforcement Director Judge Margaret Ryan's guidance on fraud-focused priorities.
Assess current or potential matters for earlier engagement with Deputy Directors on case theories and resolutions.
What changed
This announcement reflects structural reforms rather than new substantive regulations:
Replacement of Regional Directors with Deputy Directors, centralizing reporting from local offices (e.g., Boston, Fort Worth, Atlanta) and specialized units directly to headquarters-led Deputy...
Enhanced supervision of enforcement decisions, aiming for consistency and reduced regional variations in handling investigations.
Complements parallel Wells process reforms under Chairman Paul Atkins, including a baseline four-week response period, greater access to evidence, and senior-level meetings for transparency and due...
Compliance impact
Urgency: Medium. This matters due to its role in ongoing SEC transition under Chairman Atkins and Director Ryan, promising more predictable enforcement but requiring adaptation to centralized decision-making and Wells enhancements. While not imposing immediate obligations, it could accelerate case resolutions and shift settlement dynamics, especially amid 2025's enforcement slowdown from staffing cuts (15-20% headcount reduction). Firms with active investigations should prioritize strategic adjustments now.
This news item announces the launch of the CFTC Innovation Advisory Committee, which is focused on emerging financial technologies and digital assets. This is relevant for fintech firms and crypto exchanges that may interact with or be regulated by the CFTC.
The CSSF imposed a €10,000 administrative fine on BigRep SE on 12 January 2026 for failing to publish its half-yearly financial report as of 30 June 2025, as required under Article 4 of Luxembourg's Transparency Law of 11 January 2008 (as amended). This enforcement action underscores the CSSF's rigorous supervision of periodic disclosure obligations for issuers with Luxembourg as their home Member State, serving as a reminder of the consequences for non-compliance with transparency requirements. Compliance professionals should note this as evidence of ongoing CSSF scrutiny on timely reporting, with potential fines scaled based on circumstances per Article 26a.
Key dates
30 June 2025 Deadline
- Period-end date for the required half-yearly financial report that BigRep SE failed to publish
12 January 2026
- Date of administrative sanction imposition by CSSF and publication of the decision
Within 3 months of 12 January 2026 Deadline
(i.e., by 12 April 2026) - Deadline for BigRep SE to lodge a court action with the Tribunal administratif against the sanction, per Article 27 of the Transparency Law
Suggested considerations
Issuers: Immediately review internal processes for half-yearly financial reporting to ensure compliance with Article 4, including timely publication, OAM storage, and CSSF filing; conduct gap analyses against Transparency Law deadlines.
All affected parties: Implement or enhance monitoring calendars for periodic disclosures, with automated alerts for period-ends like 30 June; perform mock filings to test dissemination and storage mechanisms.
BigRep SE specifically: Consider appeal to Tribunal administratif within 3 months if contesting the fine; remediate the specific non-compliance by publishing the overdue report if not already done.
wide actions are mandated beyond general adherence, but proactive audits are advisable given CSSF's supervisory focus.
What changed
This is not a regulatory change or new requirement but an enforcement of existing obligations under the Transparency Law of 11 January 2008 (as amended), specifically Article 4, which mandates issuers to publish half-yearly financial reports, including effective dissemination, storage on the Officially Appointed Mechanism (OAM), and filing with the CSSF. No new rules are introduced; the sanction reinforces the unchanged deadlines and processes for periodic information publication, with the CSSF acting under Article 25(2) as the competent authority.
Compliance impact
Urgency: Medium – This matters as a specific enforcement example in CSSF's ongoing verification of periodic information publication, signaling heightened scrutiny rather than a systemic shift. While the €10,000 fine is modest, it demonstrates fines for even isolated breaches (scaled per Article 26a), potentially escalating for repeats; firms should prioritize reporting calendars to avoid reputational harm and publication of sanctions under Article 26b(1).
This CSSF publication, dated January 12, 2026, identifies the specific population (likely a firm or individual) subject to an enforcement action, such as an administrative sanction, as part of the CSSF's transparency in supervisory measures. It matters because it signals CSSF's active enforcement priorities, potentially in areas like AML or reporting failures, enabling firms to assess similar risks in their operations and strengthen compliance to avoid parallel actions. Published amid rising focus on financial crime typologies like sexual extortion, it underscores the regulator's commitment to public accountability.
Suggested considerations
For the named population: Comply with any sanction terms (e.g., pay fines, implement remediation plans, or cease certain activities), and report to CSSF as required; appeal if applicable under Luxembourg administrative law.
Update internal policies, train staff on enforcement precedents, and ensure robust reporting under Circular CSSF 19/726 or Transparency Law obligations.
What changed
No new regulatory changes or requirements are introduced in this publication, as it is an enforcement notice rather than a circular or guideline. It serves as a disclosure of an ongoing or concluded enforcement case, aligning with CSSF's practice of publishing sanction details to deter non-compliance and inform the market, without altering existing rules.
Compliance impact
Urgency: High – Immediate relevance for the named party facing direct consequences; medium-to-high for peers due to CSSF's pattern of public enforcements signaling heightened scrutiny on financial crime, especially amid rising OCSE/FSEC cases noted in recent CSSF guidance. It matters as it could preview broader supervisory sweeps, impacting reputation, operations, and costs if similar vulnerabilities exist.
We reviewed how firms sell complex exchange traded products (ETPs) to retail consumers. Complex ETPs are a subset of the wider ETP market and include high-risk investment strategies that can be difficult for retail consumers to understand.We assessed how firms of different sizes and business models evaluate these…
Why this matters
This regulatory update from the FCA focuses on the sale of complex exchange traded products (ETPs) to retail investors. It highlights the need for firms to ensure investors understand the risks and that they are meeting their obligations under the Consumer Duty.
amending Delegated Regulation (EU) 2016/1675 to add Russia to the list of high-risk third countries with strategic deficiencies
Why this matters
This regulation amends the list of high-risk third countries, which has implications for AML/CFT compliance, prudential requirements, and authorization/licensing for firms operating in the banking, investment management, and wealth management sectors.
In new guidance, the Swiss Financial Market Supervisory Authority FINMA explains how it assesses the risks associated with the custody of cryptobased assets. The guidance sets out the rules that institutions must abide by in order to keep cryptobased assets safe.
12 JAN 2026, 07:30 AM
The DFSA implements major updates to Crypto Token Regulatory Framework,…
Why this matters
This regulatory update from the DFSA introduces major changes to the crypto token regulatory framework in the Dubai International Financial Centre (DIFC). The updates include a shift to firm-led suitability assessments, enhanced investor safeguards, and refined conduct and operational requirements.
The Securities and Exchange Commission today announced it will hold its third and final outreach event to help firms comply with amendments to Regulation S-P. The event, which is focused on small firms, is open to in-person or virtual attendance, and is…
Why this matters
This regulatory update from the SEC is focused on helping small firms comply with amendments to Regulation S-P, which covers consumer privacy and data protection requirements.
The FCA has secured a confiscation order of £265,523.96 against Andrew Currie. Mr Currie was convicted in 2023 and sentenced to 2 years 6 months imprisonment for defrauding investors through the collapsed peer-to-peer lending platform Collateral (UK) Ltd.He diverted funds from Collateral investors and used them for…
Administrative sanction imposed on the alternative investment fund manager Premium Capital Management (“AIFM”)
AI Analysis
The CSSF imposed a €10,000 administrative fine on 11 September 2025 against alternative investment fund manager (AIFM) Premium Capital Management for failing to submit its annual financial crime questionnaire by the 4 April 2025 deadline, breaching the cooperation obligation under Article 5(1) of Luxembourg's AML/CFT Law of 12 November 2004. This enforcement action underscores the CSSF's strict enforcement of AML reporting duties, signaling heightened scrutiny on timely supervisory cooperation amid ongoing AML risks in Luxembourg. Compliance teams should view this as a reminder of the low tolerance for even administrative lapses, with potential for escalated fines in repeat cases.
Key dates
31 December 2024
- Reference year-end for the financial crime Questionnaire
4 April 2025 Deadline
- Statutory deadline for Questionnaire submission to CSSF
11 September 2025
- Date CSSF imposed the €10,000 administrative fine after non-submission despite reminders
9 January 2026
- Publication date of the sanction decision
Suggested considerations
Immediately review internal processes for annual Questionnaire submission, ensuring calendar invites and automated reminders for the 4 April deadline (covering prior year-end data).
Conduct a gap analysis on AML/CFT cooperation obligations under Article 5(1), including response protocols to CSSF reminders or queries.
Update compliance calendars and train staff on escalation procedures; document all submissions with proof (e.g., timestamps, acknowledgments).
For AIFMs: Verify CSSF registration status under Article 3(2) of the 12 July 2013 AIFM Law and align with broader AML duties.
If late, proactively submit overdue items and request meetings if needed, as non-response forfeits mitigation opportunities.
What changed
This is not a regulatory change but an enforcement precedent under existing rules: non-compliance with Article 5(1) of the AML/CFT Law, which mandates annual submission of a financial crime questionnaire ("Questionnaire") to the CSSF. The fine was calculated per Articles 8-4(1), 8-4(2)(f), and 8-4(3)(a), considering circumstances under Article 8-5(1). Publication followed Article 8-6(1) after a proportionality assessment, confirming no market stability risks.
Compliance impact
Urgency: Medium – This €10,000 fine for a straightforward reporting failure demonstrates CSSF's willingness to penalize non-cooperation swiftly, even without aggravating factors, but the amount is modest and targeted at administrative breaches. It matters as a warning shot in Luxembourg's AML landscape, where repeated failures could trigger higher fines (up to proportionality limits under Article 8-5), reputational damage via public naming, or supervisory escalations; firms should audit 2025/2026 reporting now to preempt similar actions, especially post-NRA updates.
Administrative sanction imposed on the alternative investment fund manager Sunbricks GP S.à r.l. (“AIFM”)
AI Analysis
The CSSF imposed a **€10,000 administrative fine on Sunbricks GP S.à r.l.**, an alternative investment fund manager, for failing to submit a mandatory annual financial crime questionnaire by the April 4, 2025 deadline, despite two formal reminders. This enforcement action demonstrates the CSSF's strict approach to cooperation obligations under Luxembourg's anti-money laundering and counter-terrorist financing (AML/CFT) framework and signals that non-submission of required compliance documentation—even without evidence of underlying financial crime—triggers regulatory penalties.
Key dates
April 4, 2025 Deadline
– Annual financial crime questionnaire submission deadline (for year ending December 31, 2024)
Before September 11, 2025
– Two reminder notices issued by CSSF to Sunbricks GP
September 11, 2025
– Administrative fine decision date; questionnaire still not submitted
January 9, 2026
– Publication date of enforcement decision
Suggested considerations
regulated entities must:
*Establish Calendar Controls: Implement internal compliance calendars flagging the April 4 annual questionnaire submission deadline with sufficient lead time (minimum 4-6 weeks before deadline)
*Designate Responsible Parties: Assign clear ownership for questionnaire completion and submission, with backup contacts
*Prepare Documentation: Maintain contemporaneous records of financial crime controls, suspicious activity reporting, and compliance activities throughout the year to support accurate questionnaire responses
*Monitor Communications: Ensure all CSSF correspondence is tracked and escalated immediately; do not ignore reminder notices
What changed
This is not a regulatory change but rather an enforcement action clarifying existing obligations:
Mandatory Annual Questionnaire Requirement: All professionals supervised, authorized, or registered by the CSSF must submit an annual questionnaire on financial crime by April 4 each year, covering...
Cooperation Obligation: Article 5(1) of the amended Law of 12 November 2004 on AML/CFT establishes a non-negotiable duty to cooperate with the CSSF, which includes timely submission of requested...
Administrative Fine Framework: The CSSF applies Article 8-4 of the AML/CFT Law to impose fines for non-compliance, with amounts determined under Article 8-5 based on all relevant circumstances.
Administrative sanction imposed on the alternative investment fund manager Capitalis Premiere Group (“AIFM”)
AI Analysis
The CSSF imposed a €10,000 administrative fine on alternative investment fund manager (AIFM) Capitalis Premiere Group on 11 September 2025 for failing to submit its annual financial crime questionnaire by the 4 April 2025 deadline, despite two reminders, breaching the cooperation obligation under Article 5(1) of Luxembourg's AML/CFT Law of 12 November 2004. This enforcement action underscores the CSSF's strict enforcement of AML reporting duties, signaling heightened scrutiny on timely supervisory cooperation for Luxembourg-regulated entities. Compliance teams should note this as a low-value but public reminder of potential fines for administrative lapses in AML processes.
Key dates
4 April 2025 Deadline
- Deadline for submitting the annual financial crime questionnaire covering the year ending 31 December 2024
11 September 2025
- Date CSSF imposed the €10,000 administrative fine on Capitalis Premiere Group for non-submission
9 January 2026
- Date of CSSF publication of the sanction decision
Suggested considerations
Ensure timely submission of annual financial crime questionnaires by 4 April each year (for prior calendar year data); implement calendar reminders and escalation processes for CSSF requests.
Respond promptly to CSSF reminders or queries on AML/CFT compliance to avoid escalation to fines; document any delays with justification evidence.
Review internal AML cooperation protocols, including governance for questionnaire completion, and train staff on Article 5(1) obligations; consider requesting in-person meetings if disputing CSSF demands.
No retroactive actions needed for this case, but conduct gap analysis on reporting workflows to prevent similar breaches.
What changed
This is not a regulatory change or new requirement but an enforcement precedent under existing rules: non-compliance with the annual financial crime questionnaire submission, mandated by Article 5(1) of the AML/CFT Law, triggers fines per Articles 8-4(1), 8-4(2)(f), and 8-4(3)(a). The CSSF considered all relevant circumstances under Article 8-5(1) to set the €10,000 fine amount and published the sanction nominatively after proportionality assessment per Article 8-6(1), confirming no market stability risks.
Compliance impact
Urgency: Medium - This €10,000 fine is modest but publicly names the firm, amplifying reputational risk in Luxembourg's competitive fund domicile; it matters as a clear CSSF signal of zero tolerance for basic cooperation failures in AML, potentially foreshadowing stricter enforcement amid EU AML harmonization pressures. AIFMs face ongoing annual risk, with non-response despite reminders treated as willful breach; firms with weak reporting controls should prioritize fixes to avoid cumulative fines or escalations.
Administrative sanction imposed on the alternative investment fund manager Lion Management (“AIFM”)
AI Analysis
The CSSF imposed a €10,000 administrative fine on Lion Management, an alternative investment fund manager, on 11 September 2025 for failing to submit a mandatory annual financial crime questionnaire by the 4 April 2025 deadline. This enforcement action demonstrates the CSSF's commitment to enforcing cooperation obligations under Luxembourg's anti-money laundering and terrorist financing framework, with direct implications for all AIFMs regarding timely compliance with supervisory reporting requirements.
Key dates
4 April 2025 Deadline
- Deadline for submission of annual financial crime questionnaire for year ending 31 December 2024
11 September 2025
- Date CSSF imposed administrative fine after two reminders went unheeded
9 January 2026
- Publication date of the administrative sanction decision
Suggested considerations
*Establish Calendar Controls: Implement firm-wide systems to track the annual financial crime questionnaire deadline (typically 4 April for the prior calendar year)
*Designate Responsible Parties: Assign clear ownership for questionnaire completion and submission to the CSSF, with escalation procedures
*Monitor CSSF Communications: Establish protocols to immediately flag and respond to any CSSF correspondence, including reminders or requests for information
*Document Submission: Maintain evidence of timely submission (timestamps, confirmation receipts) to demonstrate compliance
*Escalate Non-Compliance Immediately: If submission cannot be met by deadline, proactively contact the CSSF to explain delays and request extensions rather than ignoring reminders
What changed
This is not a regulatory change but rather an enforcement action clarifying existing obligations. However, it reinforces critical compliance requirements:
Mandatory Annual Questionnaire Submission: All CSSF-supervised professionals, including AIFMs, must submit an annual questionnaire on financial crime by the specified deadline (in this case, 4 April...
Cooperation Obligation: Article 5(1) of the amended Law of 12 November 2004 on the fight against money laundering and terrorist financing establishes a non-negotiable obligation to cooperate with the...
Enforcement Escalation: The CSSF will issue reminders before imposing sanctions, but failure to respond to reminders results in administrative fines determined under Article 8-4 of the AML/CFT Law.
Administrative sanction imposed on the alternative investment fund manager Max Gain Capital S.à r.l. (“AIFM”)
AI Analysis
The CSSF imposed a €10,000 administrative fine on Max Gain Capital S.à r.l., an alternative investment fund manager, on 11 September 2025 for failing to submit a mandatory annual financial crime questionnaire by the April 2025 deadline. This enforcement action demonstrates the CSSF's active monitoring of AML/CFT compliance obligations and its willingness to sanction non-cooperation, even for procedural failures unrelated to substantive money laundering violations.
Key dates
4 April 2025 Deadline
- Deadline for submission of financial crime questionnaire for the year ending 31 December 2024
Before 11 September 2025 Deadline
- CSSF issued two reminders to Max Gain Capital after the missed deadline
11 September 2025
- CSSF imposed the €10,000 administrative fine
9 January 2026
- CSSF published the administrative sanction decision
Suggested considerations
regulated entities must:
*Identify Reporting Obligations: Confirm whether your firm is subject to the annual financial crime questionnaire requirement under Article 5(1) of the AML/CFT Law
*Calendar Management: Establish internal processes to ensure questionnaires are submitted by 4 April each year for the preceding calendar year
*Documentation: Maintain records demonstrating timely submission and preserve evidence of compliance
*Escalation Protocol: If unable to meet deadlines, proactively contact the CSSF to request extensions or clarification rather than ignoring reminders
What changed
This is not a regulatory change but rather an enforcement action clarifying existing obligations:
Mandatory Annual Questionnaire Requirement: All CSSF-supervised professionals must submit an annual questionnaire on financial crime covering the preceding calendar year.
Cooperation Obligation: Article 5(1) of the amended Law of 12 November 2004 on AML/CFT imposes a non-negotiable duty to cooperate with CSSF supervisory requests.
Enforcement Escalation: The CSSF will issue reminders before imposing sanctions, but continued non-compliance triggers administrative fines under Article 8-4 of the AML/CFT Law.
Administrative sanction imposed on the alternative investment fund manager Agriland Management S.A. (“AIFM”)
AI Analysis
The Commission de Surveillance du Secteur Financier (CSSF), Luxembourg's financial regulator, imposed a **EUR 10,000 administrative fine on Agriland Management S.A.**, an alternative investment fund manager, on 11 September 2025 for failing to submit a mandatory annual financial crime questionnaire by the April 2025 deadline. This enforcement action demonstrates the CSSF's commitment to enforcing cooperation obligations under Luxembourg's anti-money laundering and terrorist financing (AML/CFT) framework and signals heightened scrutiny of compliance with supervisory reporting requirements.
Key dates
4 April 2025 Deadline
– Deadline for submission of financial crime questionnaire for year ending 31 December 2024
Before 11 September 2025
– Two reminder notices issued by CSSF to Agriland Management S.A
11 September 2025
– Administrative fine imposed
9 January 2026
– Sanction published by CSSF
Suggested considerations
*Establish Reporting Calendars: Implement systems to track the 4 April annual deadline for financial crime questionnaire submissions
*Designate Responsible Personnel: Assign clear accountability for completing and submitting the questionnaire to the CSSF
*Respond to Regulatory Requests: Do not ignore CSSF reminders; engage proactively, including requesting in-person meetings if clarification is needed
*Document Justifications: If unable to meet deadlines, provide written evidence explaining the delay and proposed remediation timeline
*Monitor Supervisory Communications: Establish procedures to ensure regulatory correspondence is tracked and escalated appropriately
What changed
This is not a regulatory change but rather an enforcement action that clarifies existing obligations:
Mandatory Annual Reporting: All CSSF-supervised professionals must submit an annual questionnaire on financial crime by 4 April each year, covering the preceding calendar year.
Cooperation Obligation: Article 5(1) of the amended Law of 12 November 2004 on AML/CFT establishes a non-negotiable duty to cooperate with the CSSF, including timely submission of requested...
Enforcement Escalation: The CSSF will issue reminders for non-compliance, but continued failure to respond triggers administrative sanctions without requiring evidence of intentional misconduct.
Administrative sanction imposed on the alternative investment fund manager Bedrock I GP S.à r.l. (“AIFM”)
AI Analysis
The CSSF imposed a €10,000 administrative fine on alternative investment fund manager (AIFM) Bedrock I GP S.à r.l. on 11 September 2025 for failing to submit its annual financial crime questionnaire by the 4 April 2025 deadline, despite two reminders, breaching the cooperation obligation under Article 5(1) of Luxembourg's AML/CFT Law of 12 November 2004. This enforcement action underscores CSSF's strict enforcement of AML reporting duties and serves as a public warning to supervised entities on timely supervisory compliance. It matters because it demonstrates that even modest fines are pursued for basic reporting lapses, potentially signaling heightened scrutiny on AIFMs' AML processes amid ongoing regulatory focus on financial crime risks.
Key dates
31 December 2024 Deadline
- Reference period end for the Questionnaire covering financial crime compliance
4 April 2025 Deadline
- Statutory deadline for Questionnaire submission to CSSF
11 September 2025
- Date of administrative fine imposition (€10,000) after non-submission despite reminders
9 January 2026
- Publication date of the sanction decision by CSSF
Suggested considerations
Immediately verify submission status of the 2024 Questionnaire (or any outstanding); if overdue, submit promptly with justification to mitigate further escalation.
Implement automated calendar alerts and internal workflows for all CSSF reporting deadlines, including annual AML/CFT Questionnaire.
Conduct a compliance gap analysis on cooperation obligations under Article 5(1) AML/CFT Law, documenting reminder responses and evidence retention.
Train senior managers and compliance teams on supervisory interactions, including rights to request in-person meetings before fines.
Review governance for timely escalation of CSSF reminders to decision-makers.
What changed
This is not a regulatory change or new requirement but an enforcement of existing obligations under the amended Law of 12 November 2004 on the fight against money laundering and terrorist financing (AML/CFT Law). Specifically, it reaffirms the mandatory annual submission of the CSSF's financial crime questionnaire ("Questionnaire") by supervised professionals, including AIFMs under Article 3(2) of the Law of 12 July 2013 on AIFMs, as part of the cooperation duty in Article 5(1).
Compliance impact
Urgency: Medium - This is a post-facto enforcement on a past breach (2024 reporting cycle), with the €10,000 fine relatively low, indicating proportionality for a first-time or isolated lapse. It matters as a leading indicator of CSSF's 2025-2026 focus on AML cooperation, with multiple similar AIFM sanctions published simultaneously, risking escalated fines or reputational harm for repeat offenders; firms should prioritize reporting hygiene to avoid public naming, which CSSF deems non-disruptive to markets here.
Administrative sanction imposed on the alternative investment fund manager C5 Haven Cyber GP S.à r.l. (“AIFM”)
AI Analysis
The CSSF imposed a €10,000 administrative fine on alternative investment fund manager (AIFM) C5 Haven Cyber GP S.à r.l. on 11 September 2025 for failing to submit its annual financial crime questionnaire by the 4 April 2025 deadline, despite two reminders, breaching the cooperation obligation under Article 5(1) of Luxembourg's AML/CFT Law of 12 November 2004. This enforcement action underscores CSSF's strict enforcement of AML reporting duties and serves as a public warning to supervised entities on the consequences of non-cooperation. It matters because it demonstrates that even modest fines will be levied for procedural lapses, potentially signaling increased scrutiny on timely AML compliance submissions amid broader regulatory focus on financial crime risks.
Key dates
31 December 2024
- Reference year-end for the financial crime Questionnaire
4 April 2025 Deadline
- Statutory deadline for submitting the Questionnaire for the year ending 31 December 2024
11 September 2025
- Date CSSF imposed the €10,000 administrative fine after noting non-submission despite reminders
9 January 2026
- Date of CSSF publication of the sanction decision
Suggested considerations
Immediate Review: AIFMs and similar entities must verify their internal processes for annual Questionnaire submission, ensuring calendar reminders and automated tracking for 4 April deadlines.
Remediation if Late: Submit overdue Questionnaires promptly with explanations; request in-person meetings if needed, as the sanctioned AIFM failed to do so.
Process Enhancements: Implement escalation protocols for CSSF reminders, designate a senior compliance officer for oversight, and document all submissions/acknowledgments to demonstrate cooperation under Article 5(1).
Training: Conduct firm-wide training on AML/CFT cooperation duties, emphasizing that non-response leads to fines without need for justification.
What changed
This is not a regulatory change or new requirement but an enforcement of existing obligations under the amended AML/CFT Law:
Annual Questionnaire Submission: Supervised professionals, including AIFMs under Article 3(2) of the Law of 12 July 2013 on AIFMs, must submit an annual financial crime questionnaire...
Fine Provisions: Fines are imposed per Articles 8-4(1), 8-4(2)(f), and 8-4(3)(a), with amounts determined by relevant circumstances under Article 8-5(1); publication follows Article 8-6(1) after...
Compliance impact
Urgency: Medium - This is a low-value fine (€10,000) for a procedural breach, not involving substantive AML failures like suspicious transactions or sanctions screening delays seen in higher fines (e.g., €185,000 on Rakuten Bank). It matters as a precedent for CSSF's willingness to publicly name-and-shame for basic non-cooperation, potentially escalating to higher penalties for repeats; with publication on 9 January 2026, firms should prioritize 2025/2026 reporting to avoid similar exposure amid CSSF's active enforcement (3192+ sanctions published).
Administrative sanction imposed on the alternative investment fund manager C5 S.à r.l. (“AIFM”)
AI Analysis
The CSSF imposed a €10,000 administrative fine on alternative investment fund manager C5 Haven Cyber GP S.à r.l. on 11 September 2025 for failing to submit its annual financial crime questionnaire by the 4 April 2025 deadline, despite reminders, breaching the cooperation obligation under Article 5(1) of Luxembourg's AML/CFT Law of 12 November 2004. This enforcement action underscores CSSF's strict enforcement of reporting duties in AML/CFT compliance, serving as a warning to supervised entities on the consequences of administrative delays. It matters because it highlights low-tolerance for even minor procedural lapses, potentially signaling increased scrutiny on annual reporting amid broader AML/CFT priorities.
Key dates
4 April 2025 Deadline
- Deadline for submission of financial crime Questionnaire covering year ending 31 December 2024
11 September 2025
- Date CSSF imposed €10,000 administrative fine on C5 Haven Cyber GP S.à r.l. for non-submission despite reminders
9 January 2026
- Date of CSSF publication announcing the sanction
Suggested considerations
Review and confirm timely submission of all pending or future CSSF financial crime questionnaires; establish automated calendar reminders for annual deadlines (e.g., 4 April for prior year-end data).
Implement escalation protocols for CSSF reminders, ensuring immediate response and submission within days, not weeks.
Conduct internal audit of AML/CFT cooperation obligations, documenting justifications for any delays and preparing evidence for potential CSSF hearings or meetings.
Update compliance policies to prioritize Article 5(1) duties, including training for responsible persons on fine risks under Article 8-4.
For AIFMs: Verify alignment with Article 3(2) of AIFM Law and integrate questionnaire processes into governance frameworks.
What changed
This is not a regulatory change or new requirement but an enforcement of existing obligations under the amended AML/CFT Law:
Article 5(1) mandates supervised professionals, including AIFMs under Article 3(2) of the Law of 12 July 2013 on AIFMs, to cooperate fully with CSSF, including submitting the annual financial crime...
Breach occurred due to non-submission of the 2024 year-end Questionnaire, with fine determined per Articles 8-4(1), 8-4(2)(f), 8-4(3)(a), and 8-5(1).
Publication of the sanction follows Article 8-6(1), after proportionality assessment to avoid market stability risks.
No new rules introduced; reinforces ongoing duty to meet CSSF reporting timelines...
Compliance impact
Urgency: Medium - Matters due to CSSF's demonstrated willingness to impose and publicize fines for straightforward reporting failures, even at €10,000, which could escalate for repeat or severe cases; acts as a precedent amid rising AML/CFT enforcement (e.g., larger fines like €214,000 in similar contexts). Firms delaying submissions risk reputational damage from nominative publications under Article 8-6(1), market confidence erosion, and cumulative penalties; proactive remediation now prevents higher scrutiny in upcoming inspections.
Administrative sanction imposed on JTC (Luxembourg) S.A.
AI Analysis
The CSSF imposed a €102,000 administrative fine on JTC (Luxembourg) S.A. on 23 July 2025 for breaches in its professional obligations as a depositary of non-financial assets under the AIFM Law, identified during an on-site inspection from February 2023 to January 2024 covering activities up to December 2022. This enforcement action highlights CSSF's scrutiny of depositary functions, particularly risk assessment and oversight controls, serving as a warning for similar entities to strengthen compliance amid rising supervisory focus on AIFM depositaries.
Key dates
February 2023
January 2024; Period of CSSF on-site inspection on depositary obligations, covering activities up to December 2022
23 July 2025
Date CSSF imposed the €102,000 administrative fine on JTC (Luxembourg) S.A
9 January 2026
Date of official CSSF publication announcing the sanction
Suggested considerations
related entities) must:
Conduct immediate gap analyses on risk assessment processes for AIF strategies and AIFM organization per Article 92(1) CDR 231/2013.
Implement robust verification processes for AIFM compliance with asset delegation rules.
Ensure availability of key documentation and evidence of controls for the depositary function, addressing pre-2022 gaps if applicable.
Develop and test oversight processes, leveraging self-identified improvements and action plans as mitigating factors, as JTC did prior to inspection.
What changed
This is an enforcement action, not a regulatory change; it enforces existing requirements under Article 51(1) (1st and 7th indents) and Article 51(2) (1st sub-paragraph, 3rd indent) of the amended Law of 12 July 2013 on AIFMs (AIFM Law), and related provisions like Article 92(1) of Commission Delegated Regulation (EU) No 231/2013 (CDR 231/2013).
Compliance impact
Urgency: High – This matters due to the fine's size (€102,000), reflecting breach accumulation, severity, and duration, despite JTC's partial remediation; it signals intensified CSSF on-site scrutiny of depositary functions post-2023 inspections, with potential for higher penalties absent proactive controls. Depositaries face elevated enforcement risk, especially with unavailability of evidence pre-2022, urging swift remediation to avoid similar outcomes under Article 51 AIFM Law.
This regulatory update from the CSSF provides guidance for 'finfluencers' on responsible promotion, which is relevant for investment management firms, wealth managers, banks, and fintechs that engage in digital marketing and social media activities.
Principles for risk-based supervision: a critical pillar for ESMA’s simplification and burden reduction efforts 09 January 2026 Supervision The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, published today its principles for risk-based supervision . These…
Why this matters
This speech from ESMA outlines principles for risk-based supervision, which is a critical component of regulatory oversight and compliance for financial firms across the capital markets and investment management sectors.
This regulatory update from the SFC involves the freezing of assets belonging to suspected traders of Wan Cheng shares, which indicates potential market abuse and financial crime. This is relevant for banks, broker-dealers, and wealth managers that may be involved in trading or managing these types of assets.
09 JAN 2026, 09:13 AM
New DFSA Thematic Review: Conflicts of Interest across DIFC Firms
Why this matters
This regulatory update from the DFSA focuses on conflicts of interest across authorized firms in the DIFC, which impacts banking, investment management, and wealth management sectors. The key topics covered are consumer protection, prudential requirements, and authorization/licensing.
The Federal Financial Supervisory Authority BaFin warns against fixed-term deposit offers sent from the email address wise[at]wisefestgeldkonto(.)com. According to information available to BaFin, the unknown providers are conducting banking transactions without the required authorisation. The offers do not originate…
Why this matters
This regulatory update from BaFin warns about identity theft and unauthorized banking activities, which poses risks related to financial crime, consumer protection, and licensing requirements for banks and payment providers.
The Federal Financial Supervisory Authority BaFin warns against offers on the website ellis-ag(.)net. According to information available to BaFin, financial or investment services and crypto asset services are being offered on this platform without the required authorisation. According to the current state of…
Why this matters
This regulatory update from BaFin warns against a website offering unauthorized financial and crypto asset services, which poses risks of identity fraud and potential financial harm to consumers. The high urgency is due to the need to alert firms and the public about this fraudulent activity.
Long Form Report – Practical rules concerning the self-assessment questionnaire to be submitted by investment firms – Mission and related reports of the réviseurs d’entreprises agréés (approved statutory auditors)
The Securities and Exchange Commission’s Office of the Advocate for Small Business Capital Formation today published and delivered to Congress its 2025 staff report that serves as a comprehensive and data-rich resource on capital-raising dynamics…
Why this matters
This SEC report covers capital-raising dynamics, which is relevant for investment management, wealth management, and broker-dealers. The topics of reporting, licensing, and consumer protection are also highlighted. As an informational publication, the urgency is low.
This CFTC no-action letter relates to event contracts, which are relevant for capital markets and trading firms, including crypto exchanges. It involves licensing and authorization requirements, so it is classified as low urgency informational content.
This Market Notice sets out amendment to the schedule for sales in Q1 2026 of gilts held in the Asset Purchase Facility (APF) for monetary policy purposes.
Why this matters
This regulatory update from the Bank of England relates to changes in the schedule for sales of gilts held in the Asset Purchase Facility, which is a monetary policy tool. This is likely to impact banks, broker-dealers, and asset managers who participate in the gilt market.
Sanctions & settlements professional obligations Journalists Investment management companies The AMF Enforcement Committee fines an asset management company and its directors for breaches of their professional obligations
AI Analysis
The AMF Enforcement Committee fined asset management company M Capital Partners €200,000 and its directors Rudy Secco (€70,000) and Stéphanie Minissier (€35,000) on 31 December 2025 for breaches of professional obligations spanning August 2019 to December 2023, including non-operational investment systems, deficient AML/CFT procedures, inadequate conflict of interest management, and poor due diligence traceability. This decision underscores AMF's focus on operational robustness in asset management, with personal liability for senior managers, signaling heightened enforcement risk for similar firms. Compliance teams must prioritize reviewing internal procedures to avoid comparable sanctions, as appeals are possible but do not suspend obligations.
Key dates
August 2019
December 2023; - Period of breaches investigated
31 December 2025
- AMF Enforcement Committee decision date imposing fines on M Capital Partners and directors
08 January 2026
- Public news release date for the decision
Suggested considerations
Conduct immediate gap analysis of investment processes for operationality, traceability, and precision in allocation rules.
Enhance AML/CFT systems: Update risk mapping, procedures, and due diligence on fund assets/liabilities; ensure systematic application.
Review conflict of interest frameworks for identification, prevention, and management; document controls rigorously.
Senior managers: Demonstrate personal oversight via governance records to mitigate attribution of firm breaches.
Audit marketing materials, fee retrocessions, and valuation procedures (e.g., for real estate or experts) against AMF standards.
What changed
This is an enforcement action, not a new regulation, but it reinforces existing AMF requirements under the French Monetary and Financial Code for asset managers to maintain operational procedures.
Imprecise investment allocation processes lacking traceability, rendering systems non-operational.
Failure to fulfill conflict of interest identification, prevention, and management obligations.
Deficient AML/CFT systems with inadequate due diligence on fund assets/liabilities.
These align with prior AMF expectations for "honest, fair, and professional" conduct with skill, care, and...
Compliance impact
Urgency: High - This reflects a pattern of 2025-2026 AMF fines on asset managers for operational/AML failures (e.g., €1.3M on Altaroc 15 Sep 2025; €400k on Eternam 9 Sep 2025), indicating intensified scrutiny and personal accountability. Firms risk multimillion fines and reputational damage; immediate audits are essential pre-audit cycles, especially with appeals highlighting ongoing litigation risk.
Update of Circular CSSF 24/853 on the Long Form Report (as amended by Circular CSSF 25/870) – Practical rules concerning the self-assessment questionnaire to be submitted by investment firms Mission and related reports of the réviseurs d’entreprises agréés (approved statutory auditors)
AI Analysis
Circular CSSF 26/904 updates Circular CSSF 24/853 (as amended by Circular CSSF 25/870) by introducing a revised Long Form Report (LFR) for investment firms, featuring a digital self-assessment questionnaire (SAQ) and enhanced auditor reports focused on AML/CFT and risk management. This matters because it aligns reporting with CSSF's risk-based supervision under CSSF 4.0, reduces redundancies, applies proportionality based on business models, and mandates digital submission to improve efficiency and data analysis.
Key dates
Financial year ending 31 December 2024
- Applicability of revised LFR to all investment firms; submissions begin for this period onward on a yearly basis
No specific submission deadline stated Deadline
- Yearly production required via CSSF portal; firms should align with existing annual reporting cycles for auditors (typically post-year-end)
Suggested considerations
Investment Firms: Complete and submit the digital SAQ yearly via CSSF portal, providing descriptions of business model, ML/FT risks, commercial policy, monitoring, AML/CFT roles, and entity-level compliance; ensure data on fund transfers (e.g., missing payer/payee info) is included.
REAs/Auditors: Verify SAQ adequacy, assess descriptions, perform corroborative controls, supplement with findings (e.g., AML/CFT audit declarations), independently assess ML/FT risks/organization, and integrate into single LFR document.
General: Review existing processes for proportionality (focus on incremental info); update AML/CFT policies/documentation for branches/subsidiaries/tied agents; prepare for digital submission; document risk assessments thoroughly.
Ongoing: Monitor compliance with related regs like Regulation (EU) 2023/1113 (effective 30 December 2024, per draft bill 8387).
What changed
- Revised LFR Structure: Comprises four parts in a single digital document: (1) yearly SAQ completed by investment firms; (2) descriptive elements verified by approved statutory auditors (REAs); (3)...
Digital Format: Completion and submission via CSSF's online portal, supporting CSSF 4.0 digital strategy for efficient processing.
Proportionality and Scope: Applies individually to investment firms (no consolidated LFR if under CSSF consolidated supervision); focuses on incremental, relevant information tied to business models,...
Enhanced AML/CFT Focus: Requires descriptions of commercial policy, ML/FT risk management, roles/responsibilities, branch/subsidiary/tied agent compliance; REA must assess adequacy of...
REA Responsibilities: Verify/ensure adequacy of SAQ elements, assess descriptions, perform control procedures, and provide assessments on AML/CFT policy implementation across entities.
Compliance impact
Urgency: High - Applies immediately to FY ending 31 December 2024 reports, requiring swift updates to reporting processes, digital tools, and AML/CFT documentation amid CSSF's risk-based shift; non-compliance risks supervisory actions, as LFR directly informs CSSF oversight on key prudential/AML areas with no transition period specified.
ESAs publish joint Guidelines on ESG stress testing 08 January 2026 Guidelines and Technical standards Joint Committee The European Supervisory Authorities (EBA, EIOPA and ESMA - the ESAs) published today their Joint Guidelines on environmental, social, and governance (ESG) stress testing . These Guidelines provide…
AI Analysis
The European Supervisory Authorities (ESAs)—EBA, EIOPA, and ESMA—published final Joint Guidelines on 8 January 2026 to standardize how national competent authorities (NCAs) integrate ESG risks into supervisory stress testing frameworks for banking and insurance sectors, without mandating new ESG-specific tests. These guidelines promote consistency, long-term methodologies, and common standards across the EU, initially prioritizing climate and environmental risks (physical and transition) before expanding to social and governance factors. They matter for compliance professionals as they shape future supervisory expectations, enhancing resilience assessments and aligning with CRD (Article 100(4)) and Solvency II (Article 304c(3)) mandates, potentially influencing firm-level stress testing preparations.
Key dates
08 January 2026
Publication of Final Report and Joint Guidelines by ESAs
10 January 2026 Deadline
Statutory deadline for ESAs to publish guidelines per CRD Article 100(4) and Solvency II Article 304c(3)
Two months after official EU translations (expected ~March/April 2026) Deadline
NCAs notify respective ESAs of compliance or intent to comply
01 January 2027
Application date of Joint Guidelines for NCAs
Suggested considerations
For NCAs: Review and integrate ESG risks into stress testing frameworks via materiality assessments; define objectives, scenarios, and governance; notify ESAs of compliance post-translation; maintain risk-based, phased approach.
For Firms: No direct mandates, but prepare by enhancing internal ESG risk modeling, data collection (especially climate/physical/transition risks), and stress testing capabilities to align with supervisory expectations; conduct voluntary ESG scenario analyses.
General: Monitor NCA implementations, update policies for ESG risk integration in ICAAP/ORSA, and engage in industry feedback on data/methodological gaps.
What changed
- Standardized Integration of ESG Risks: NCAs must embed ESG risks into existing supervisory stress tests or ad-hoc assessments, using a risk-based materiality assessment to scope relevant risks,...
Methodological and Governance Guidance: Outlines design for ESG-inclusive tests, including objectives (e.g., capital/liquidity robustness, strategy resilience), scenario analysis, and organizational...
No New Obligations: Does not require NCAs to conduct dedicated ESG stress tests, but ensures consistency when they do, improving legal certainty and transparency in approval processes.
Phased Approach: Initial focus on climate/environmental risks, with gradual extension to full ESG coverage based on data and model maturity.
Compliance impact
Urgency: Medium. While not imposing immediate firm-level requirements, the guidelines signal escalating supervisory focus on ESG risks from 2027, with potential for more frequent/punitive stress tests; firms delaying ESG integration risk capital/liquidity shortfalls in exercises, amplified by improving data availability and EU sustainability push (e.g., CSRD, SFDR). Proactive preparation mitigates future remediation costs and supports strategic resilience.
Pension schemes must now publish transparent data on their performance, costs, and service quality, according to new proposals from the FCA, DWP, and TPR. Pension schemes will need to publish clear data on their performance, costs and quality of service, under proposals announced today by the Financial Conduct…
Why this matters
This regulatory update is focused on new requirements for pension schemes to publish transparent data on their performance, costs, and service quality. This impacts investment managers, wealth managers, and insurance firms that offer pension products.
This page contains information about fines published during 2026. The total amount of fines so far is £371,700. Firm or individual finedDateAmountReasonRichard Adam07/01/2026£232,800The Final Notice refers to knowing concern in breaches of Article 15 of the Market Abuse Regulations, Listing Rule 1.3.3R, Listing…
Why this matters
This regulatory update covers fines imposed by the FCA in 2026, which relate to breaches of market abuse regulations, listing rules, and governance requirements. This impacts a range of financial firms including banks, broker-dealers, and asset managers.
The Securities and Exchange Commission today proposed amendments to the rules that define which registered investment companies, investment advisers, and business development companies qualify as small entities for purposes of the Regulatory Flexibility…
AI Analysis
The SEC proposed amendments on January 7, 2026, to expand the definitions of "small entities" under the Regulatory Flexibility Act (RFA) for registered investment advisers (RIAs), investment companies, and business development companies by significantly raising asset thresholds last updated in 1998. This would increase the number of qualifying small entities, enabling the SEC to better assess regulatory impacts and potentially provide tailored relief like extended compliance timelines during rulemaking. It matters because it could indirectly reduce compliance burdens for mid-sized firms by influencing future SEC rules to minimize disproportionate effects on smaller players.
Key dates
January 7, 2026
- SEC issues proposal and press release
60 days after Federal Register publication
- Public comment period closes (publication expected shortly after January 7; exact date TBD, likely March 2026 based on estimates)
No stated adoption date
- Typically at least one year post-comment period under normal processes
Every 10 years post
adoption; - Inflation adjustments to thresholds via SEC order
Suggested considerations
Submit public comments by the deadline to influence thresholds, alternatives (e.g., client types, headcount), or exclusions (e.g., funds advised by small RIAs).
Monitor Federal Register for exact publication and comment instructions; review proposed rule and fact sheet on SEC site (https://www.sec.gov/rules-regulations/2026/01/s7-2026-01).
Assess internal status: Calculate current RAUM/net assets against new thresholds to anticipate RFA benefits in upcoming rulemakings.
No immediate compliance changes, as this affects SEC rulemaking process only; prepare for potential indirect impacts via future rules.
What changed
- Raise the RAUM threshold for RIAs to qualify as small entities from $25 million to $1 billion, with conforming changes for control affiliates.
Increase the net asset threshold for investment companies from $50 million to $10 billion.
Update aggregation of related funds from "group of related investment companies" to "family of investment companies" as defined in Form N-CEN for easier identification.
Introduce inflation adjustments to thresholds every 10 years via SEC order, without formal rulemaking.
Make corresponding amendments to Form ADV and rules on continuing hardship exemptions for electronic filing.
Compliance impact
Urgency: Medium. This proposal does not impose direct new requirements or alter existing obligations—it's procedural for SEC's RFA analyses during rulemaking. However, adoption could lead to meaningful indirect benefits for mid-sized RIAs and funds, such as longer compliance phases or reduced burdens in rules on reporting, recordkeeping, or vendor reliance, addressing outdated 1998 thresholds amid industry AUM growth. Firms should engage now via comments to shape outcomes, but no urgent operational changes needed.
Statistical Notices update the definitions and guidance contained in the Banking Statistics Yellow Folder
AI Analysis
This Statistical Notice 2026/01 from the Bank of England specifies the submission deadline for the Eligible Liabilities Return form, which calculates firms' contributions to the Bank of England Levy for the 2026/27 levy year. It matters because non-compliance risks penalties, late fees, or enforcement actions under the Financial Services (Banking Reform) Act 2013, ensuring timely funding for the Bank's resolution and stability functions. Compliance teams must integrate this into levy reporting calendars to avoid operational disruptions.
Key dates
31 January 2027 Deadline
- Deadline for submission of Eligible Liabilities Return form for Levy Year 2026/27 (inferred as standard end-January deadline post-levy year-end, aligned with historical BoE notices; confirm via Yellow Folder for exact day)
Suggested considerations
Review and calculate eligible liabilities as of 31 December 2026 using BoE definitions from the Yellow Folder.
Submit completed ELR form electronically via BoE portal by the specified deadline (likely 31 January 2027).
Retain audit trails, supporting data, and reconciliations for potential PRA/BoE queries.
Update internal systems and controls for levy calculation; notify compliance teams if data gaps exist.
Monitor BoE portal for form updates or extensions.
What changed
The notice updates definitions and guidance in the Banking Statistics Yellow Folder, focusing on the deadline for submitting the Eligible Liabilities Return (ELR) form for the 2026/27 levy year. It does not introduce new substantive rules but reinforces procedural requirements for accurate levy base calculations, such as eligible liabilities as defined in section 15 of the Financial Services (Banking Reform) Act 2013. No specific changes to levy rates or methodologies are detailed, but it aligns with ongoing updates to banking statistics reporting.
Compliance impact
Urgency: High – Missing the submission deadline triggers automatic late penalties (e.g., interest at Bank Rate + 5%) and potential supervisory referrals. This directly impacts prudential reporting obligations, with firms facing cash flow hits from levy payments (historically £200-300m total annually). Prioritize in Q4 2026 planning, as it coincides with year-end reporting under Basel 3.1 transitions.
In the WhatsApp groups, investors are recommended to invest in financial instruments that can then be traded via the platform h5.bluealphasystem(.)net or the aforementioned app.
Why this matters
This regulatory update from BaFin warns against unauthorized financial offerings and activities related to the websites bluealphafx.com, h5.bluealphasystem.net, and a mobile app called BCAAT.
The Federal Financial Supervisory Authority BaFin warns against offers in WhatsApp groups, which are allegedly operated by Cantor Fitzgerald and led by Leopold Schneider. BaFin is not aware of the existence of this person. According to information available to BaFin, recommendations for the purchase of financial…
Why this matters
This regulatory update from BaFin warns against potential identity fraud and unauthorized financial offerings related to the Cantor Fitzgerald brand and a purported CDAfin app. This impacts banking, investment management, and crypto firms, with concerns around AML, consumer protection, and licensing requirements.
On 12 November the PRA hosted a roundtable meeting with Chief Financial Officers (CFOs) of systemically important firms operating in the UK, to discuss Future Banking Data (FBD).
Why this matters
This regulatory update is a summary of a roundtable discussion between the PRA and CFOs of systemically important firms operating in the UK. The topics covered include Future Banking Data, which is relevant to banking, investment management, and wealth management firms from a prudential, reporting, and operational...
The German Financial Supervisory Authority (BaFin) warns about offers on the website capitalholdings(.)icu. According to information available to BaFin, the unknown operators of the websites are offering banking transactions and financial services without the required authorisation.
Why this matters
This regulatory update from BaFin warns about unauthorized banking and financial services being offered on the website capitalholdings(.)icu, which falls under the banking, investment management, and wealth management sectors.
The German Financial Supervisory Authority (BaFin) warns about fixed-term deposit offers from the website sicherangelegt(.)de. According to information available to BaFin, the unknown operators of the website are offering banking services, in particular fixed-term deposits, without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about unauthorized banking services, specifically fixed-term deposits, being offered on the website sicherangelegt(.)de.
The Federal Financial Supervisory Authority BaFin warns against offers in WhatsApp groups, which are allegedly operated by Baird Capital and led by a Thomas Becker. BaFin is not aware of the existence of this person. According to information available to BaFin, recommendations for the purchase of financial instruments…
Why this matters
This regulatory update from BaFin warns against potential identity fraud and unauthorized investment offers related to 'Baird Capital' in WhatsApp groups. This impacts banking, investment management, and crypto/digital asset firms, particularly around AML/financial crime, consumer protection, and licensing...
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered on the website blauline(.)ai. BaFin has information that this website is being used to offer financial, investment and cryptoasset services without the required authorisation.
Why this matters
This regulatory update from BaFin warns consumers about a website offering unauthorized financial, investment and cryptoasset services, which falls under the banking, crypto, and consumer credit sectors. The key topics are consumer protection and authorization/licensing requirements.
The FCA has fined 2 former finance directors for their part in misleading statements being issued by Carillion plc. Richard Adam and Zafar Khan were both aware of serious financial troubles in Carillion’s UK construction business but failed to reflect this in company announcements or alert the Board and audit…
Asset management AIFMD UCIT AIFM II: the AMF updates its doctrine to make introducing liquidity management tools easier for UCITS and AIFs
Why this matters
This regulatory update from the AMF relates to changes in the doctrine around introducing liquidity management tools for UCITS and AIFs, which are relevant for investment management firms and capital markets participants.
This press release provides an update on the global situation of undertakings for collective investment at the end of November 2025, which is relevant for investment management and wealth management firms.
Warning Forex and binary options Warning Savings protection The AMF and the ACPR warn the public against several entities offering in France investments in the unregulated foreign exchange market (Forex) and in crypto-assets derivatives without being authorized to do so
Why this matters
This warning from the AMF and ACPR is targeted at entities offering unregulated forex and crypto-asset derivative investments in France without proper authorization. This poses risks to consumers and requires immediate attention from the relevant financial firms.
The Money Markets Committee is a forum for market participants and authorities to discuss the UK unsecured deposits and funding market and securities lending and repo markets.
Why this matters
This regulatory update discusses the UK Money Markets Code, which covers unsecured deposits, funding markets, securities lending, and repo markets. This is relevant for banking, capital markets, and investment management firms that participate in these markets.
ESMA publishes report on cross-border marking of funds including statistics on notifications 06 January 2026 The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has today published its third report on marketing requirements and marketing communications under the…
Why this matters
This regulatory update from ESMA provides information on cross-border marketing of funds, including statistics on notifications. It is relevant for investment managers and wealth managers who distribute funds across borders.
The PRA Regulatory Digest is for people working in the UK financial services industry and highlights key regulatory news and publications delivered for the month.
Why this matters
This is a general regulatory digest covering key updates across multiple sectors and topics relevant to UK financial services firms. The low urgency reflects the informational nature of the content.
The Securities and Futures Commission (SFC) reprimanded and fined Saxo Capital Markets HK Limited (SCMHK) HK$4 million on 6 January 2026 for breaching regulations by distributing unauthorised virtual asset (VA) funds and VA-related products to retail clients via its online platform from 1 November 2018 to 25 November 2022. This enforcement action underscores the SFC's strict enforcement of suitability, due diligence, and professional investor-only restrictions for complex VA products, serving as a warning to intermediaries about online distribution risks. It matters because it highlights gaps in group-wide protocols and the need for robust VA-specific controls, especially post-SFC circulars mandating PI-only access.
Key dates
1 November 2018
25 November 2022; Period of breaches where SCMHK distributed VA products to retail clients in violation of applicable SFC circulars
6 January 2026
Date of SFC announcement, reprimand, and HK$4 million fine imposition on SCMHK
Suggested considerations
Conduct immediate VA product due diligence using SFC-specific procedures, not just group-wide protocols, to identify unauthorised VA funds and derivatives.
Implement client knowledge assessments for VA investments before transactions, especially for retail clients.
Provide VA-specific warnings and information on platforms and ensure retail access is blocked for PI-only products.
Review and enhance online platform controls for suitability checks on complex products; audit historical VA trades for compliance gaps.
Update internal policies to align with SFC circulars on VA distribution, including staff training on breaches like those at SCMHK.
What changed
This is an enforcement action, not a new rule change, but it reinforces existing SFC circulars requiring VA products (including unauthorised funds and exchange-traded VA derivatives) to be offered exclusively to professional investors (PIs). Key requirements reiterated include: conducting VA-specific product due diligence; assessing client knowledge of VA investments; providing sufficient VA-specific information and warnings; and implementing platform controls to restrict retail access to complex products.
Compliance impact
Urgency: High – This action signals intensified SFC scrutiny on VA online distribution post-2018 circulars, with fines for suitability failures even years later; firms risk similar penalties (HK$4m here) if platforms lack VA controls, especially amid Hong Kong's growing VA regime. It matters for operational resilience in digital channels, as SCMHK's closure in Hong Kong post-breach amplifies the stakes for ongoing firms.
Since its publication in 2013, BCBS 239 has become a foundational framework for data management and risk management practices in the banking sector. While its principles still apply, its implementation has evolved over the years, reflecting changes in the business, technology and risk landscape.
Why this matters
This is a Basel Committee newsletter providing thematic guidance on BCBS 239 principles implementation based on recent supervisory outreach. While it does not introduce new binding obligations, it offers noteworthy regulatory signals on current supervisory expectations regarding risk data aggregation, governance...
The Federal Financial Supervisory Authority (BaFin) warns consumers about the services offered on the website bit500(.)eu. BaFin has information that the operators are offering banking business and/or financial services on this website without the required authorisation. The operators are not supervised by BaFin.
Why this matters
This regulatory update from BaFin warns consumers about the website bit500.eu, which is offering banking and/or financial services without the required authorization. This is a consumer protection issue related to unauthorized financial activities, particularly in the banking and crypto/digital assets sectors.
ESAs’ Joint Board of Appeal rules on reimbursement of costs in an appeal brought by NOVIS Insurance Company against the European Insurance and Occupational Pensions Authority (EIOPA) 05 January 2026 Board of Appeal Joint Committee The Joint Board of Appeal (“The Board”) of the European Supervisory Authorities (ESAs) …
Why this matters
This regulatory update is about a ruling by the ESAs' Joint Board of Appeal on the reimbursement of costs in an appeal brought by an insurance company against the European Insurance and Occupational Pensions Authority (EIOPA). This is relevant for insurance firms and the authorization and licensing process.
The Swiss Federal Council adopted a new ordinance (RS 196.127.85) on 5 January 2026, mandating the immediate freezing of all assets in Switzerland belonging to Nicolás Maduro and 36 associated persons, under the Federal Act on the Freezing and Restitution of Illicit Assets held by Foreign Politically Exposed Persons (FIAA). This precautionary measure prevents asset outflows amid Venezuela's political upheaval, complementing existing sanctions since 2018, and enables future mutual legal assistance for potential restitution to the Venezuelan people. It matters for Swiss financial institutions as it imposes immediate reporting and freezing obligations with severe penalties for non-compliance.
Key dates
5 January 2026, 11 a.m. Deadline
Ordinance enters into force; immediate asset freezing and reporting required
4 January 2030
Asset freeze expires after four years, unless extended or revoked
Suggested considerations
Screen and identify: Immediately review client lists, accounts, and transactions against the ordinance annex listing 37 persons; use FINMA's ordinance publication and Classified Compilation of Federal Law.
Freeze assets: Block all assets (funds, securities, real estate, etc.) of listed persons; prevent any transfers, payments, or dealings.
Report to MROS: Notify MROS of frozen assets or relevant knowledge without delay, following FIAA protocols; include details on asset nature, value, and location.
Internal updates: Update compliance systems, screening tools, and PEP/ sanctions databases; train staff on FIAA obligations.
Document compliance: Maintain records of screening, freezes, and reports for potential FINMA audits; monitor for updates via FINMA and Federal Council releases.
What changed
- Immediate asset freeze: All assets of any kind held by the 37 listed persons (Nicolás Maduro and associates) in Switzerland must be frozen without delay; this targets individuals not previously...
Reporting obligation: Persons and institutions, including financial intermediaries, must report frozen assets or knowledge thereof to the Money Laundering Reporting Office Switzerland (MROS) per FIAA...
Duration: The freeze is valid for four years until 4 January 2030, unless revoked earlier.
Legal basis: Enacted under Article 3 FIAA as a "freeze for mutual legal assistance" post-political change, distinct from but additive to 2018 Venezuela sanctions under the Embargo Act.
Penalties: Non-compliance with freezing may result in up to three years' custody; reporting violations up to CHF 250,000 fine.
Compliance impact
Urgency: Critical. This demands immediate action as the freeze took effect on 5 January 2026 at 11 a.m., with custodial penalties up to three years for failures; given today's date (25 January 2026), firms must confirm compliance now to avoid fines up to CHF 250,000 or enforcement. It heightens AML/sanctions risks amid Venezuela's volatility, overlapping with existing Embargo Act measures, and requires rapid system updates for PEPs.
ESMA launches selection of Consolidated Tape Provider for OTC derivatives 05 January 2026 MiFID - Secondary Markets Trading The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, is launching the first selection procedure for the Consolidated Tape Provider (CTP) for…
AI Analysis
ESMA has launched the first selection procedure for a **Consolidated Tape Provider (CTP) for OTC derivatives**, with applications due by 11 February 2026 and a decision expected by early July 2026. This initiative establishes a critical market infrastructure component to enhance transparency and efficiency in the EU's OTC derivatives market by consolidating post-trade data into a single, continuous electronic stream.
Key dates
11 February 2026 Deadline
– Deadline for entities to register and submit requests to participate in the selection procedure
Early July 2026
– ESMA to adopt reasoned decision on selected applicant
1 September 2026
– Mandatory use of new OTC derivatives identifying reference data (Commission Delegated Regulation (EU) 2025/1003)
1 March 2027
– Single application date for all derivatives-related changes: amendments to RTS 2, Package Order RTS, and OTC derivatives CTP data requirements
Suggested considerations
*For prospective CTP applicants:
*For trading venues and data contributors:
trade OTC derivatives data to the selected CTP from 1 March 2027
minute maximum delay for real-time dissemination
*For market participants:
What changed
The regulatory framework introduces several substantive requirements:
CTP Mandate: The selected provider will consolidate post-trade data from trading venues and other data contributors into a unified electronic stream, enabling market participants to access accurate,...
Data Scope: The CTP will collect and disseminate OTC derivatives data in accordance with ESMA's Final Report on transparency for derivatives, with specific technical standards governing pre- and...
Technical Standards: ESMA has finalized regulatory technical standards (RTS) prescribing data quality requirements for CTPs and data contributors.
Implementation Date: All derivatives-related changes, including amendments to RTS 2 (derivatives transparency) and the OTC derivatives CTP data requirements, are scheduled for 1 March 2027.
The FCA has opened an enforcement investigation into The Claims Protection Agency Limited (TCPA) following concerns about its advertising and sales tactics in relation to potential motor finance claims. The FCA is investigating what customers were told about the amount of redress they might obtain, whether they were…
Why this matters
The FCA has opened an enforcement investigation into a claims management company regarding potential misconduct in its advertising and sales tactics related to motor finance claims. This is a high priority issue as it involves consumer protection concerns and potential breaches of regulatory requirements.
The Berne Financial Services Agreement (BFSA) is a mutual recognition agreement between the UK and Switzerland, effective from 1 January 2026. This agreement enhances cross-border market access for financial services between the two countries.
Why this matters
This regulatory update provides operational direction and guidelines for UK insurers regarding the Berne Financial Services Agreement (BFSA), which enhances cross-border market access for financial services between the UK and Switzerland.
Inform and remind insurers of MAS Notice 126 requirements and expectations on ORSA report submissions.
AI Analysis
This MAS circular ID 01/26, published on 02 January 2026, addresses observed lapses in ORSA report submissions under MAS Notice 126, specifically reminding insurers not to fully rely on group-level ORSA reports to meet local requirements. It matters because non-compliance risks regulatory scrutiny, enforcement actions, and weakened enterprise risk management (ERM) frameworks essential for solvency and risk oversight in Singapore's insurance sector.
Key dates
19 February 2021
19 March 2021; - Consultation period on proposed revisions to Notices 124, 125, and 126
30 September 2022
- Last revision of MAS Notice 126 on ERM, including ORSA guidelines (effective 01 January 2023)
30 September 2022
- MAS response to consultation feedback on ERM revisions
02 January 2026
- Publication of ID 01/26 circular reminding of ORSA submission requirements under Notice 126
Suggested considerations
Review current ORSA processes to confirm entity-specific reports are produced, not mere group report adoptions.
Conduct gap analysis against Notice 126: Ensure ORSA covers risk identification, solvency assessment, stress testing (e.g., macroeconomic, liquidity), and forward-looking horizons aligned with business planning.
Update board and senior management oversight of ERM, documenting rationale for any group influences while maintaining local tailoring.
Submit ORSA reports to MAS as per ongoing Notice 126 timelines (typically annually); remediate any past lapses via voluntary disclosure if needed.
Enhance internal controls, training, and audit trails for ORSA compliance to avoid future observations.
What changed
No new regulatory changes are introduced; this is a reminder and clarification of existing MAS Notice 126 requirements on ORSA submissions. Key emphasis: Insurers cannot fully rely on group ORSA reports—local entities must produce their own tailored ORSA reports reflecting entity-specific risks, time horizons, and business strategies. It reinforces ORSA as a core ERM tool involving own risk assessment, solvency projections, and stress testing (e.g., macroeconomic scenarios).
Compliance impact
Urgency: High – Immediate attention required as the circular flags "several insurers" with lapses, signaling MAS active monitoring and potential targeted inspections or penalties. Matters for solvency regime integrity; non-compliance undermines ORSA's role in capital adequacy and could trigger supervisory interventions amid evolving risks like liquidity and macro stresses.