UK Financial Regulation (Capital Markets Programme) Quiz 07

Last Updated: June 2024

Table of Contents

UK Financial Regulation (Capital Markets Programme)
Element 1
The Regulatory Environment
-The Role of the FCA and PRA
On completion, the candidate should:
-know the FCA’s and PRA’s statutory objectives and rule-making
powers in respect of authorisation, supervision, enforcement,
sanctions and disciplinary action [FSMA]
-understand the Principles for Businesses [PRIN 1.1.2 (FCA),
1.1.7, 2.1.1 (FCA/PRA)], the Consumer Duty [PRIN 2A} and the
requirement to act honestly, fairly and professionally and to treat
customers fairly [COBS 2.1]
-know the requirements of the Senior Managers & Certification
Regime (SM&CR)
-know the rules and guidance regarding certain of the key Senior
Management Arrangements, Systems and Controls for both MiFID
and Non-MiFID investment firms [SYSC 1.2.1, 4.1.1/2]
-know the FCA’s and PRA’s supervisory approach to regulation
including outcome-based, early intervention and conduct risk
-know the recording of voice conversations and electronic
communications across all media [SYSC 10A]
-The Regulatory Infrastructure
On completion, the candidate should:
Understand the wider structure of UK financial regulation including
the responsibilities of the main regulating bodies and the
relationship between them:
-Market regulators: The Financial Conduct Authority and the
Prudential Regulation Authority
-Other regulators: The Competition and Markets Authority, The
Information Commissioner and The Pensions Regulator
-The relationships and coordination between the following:
• The Financial Conduct Authority (FCA)
• The Payment Systems Regulator (PSR)
• The Prudential Regulation Authority (PRA)
• The Competition and Markets Authority (CMA)
UK Financial Regulation
V31 © Chartered Institute for Securities & Investment 8
• HM Revenue & Customs (HMRC)
• The Financial Ombudsman Scheme (FOS)
• The Financial Services Compensation Scheme (FSCS)
• The Financial Policy Committee (FPC)
• The Upper Tribunal (Tax and Chancery)
• The Bank of England (BoE)
• HM Treasury (HMT)
• The Pension Ombudsman (PO)
• The Pension Protection Fund (PPF)
• The Panel of Takeovers and Mergers (POTM)
-know the type of provisions used by the FCA and PRA in their
handbooks/rulebooks and the status of their approved sector
-know relevant aspects of the Consumer Rights Act 2015 (CRA):
– know the Pension regulator’s rules with respect to occupational
pension schemes
-understand the Chartered Institute for Securities & Investment’s
Code of Conduct
-understand the relevance of EU legislation and guidance
(directives and regulations approved by the European Parliament
and European Supervisory Authorities)
-know the role played by oversight, influencing bodies and relevant
codes of conduct:
• internal audit
• external audit
• trustees
• compliance
• industry bodies, professional bodies and trade associations

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