Tag Archives: fca gabriel

Significant Rise In RegTech Costing Forecast By 2023

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This is according to a new report from Juniper Research, which estimates that spending on RegTech solutions, specifically, will escalate from an estimated $18bn (₤ 14bn) this year to $115bn (₤ 100bn) by 2023.

Financial commitment is forecast to go up by an average of 45% per annum over the next five years, far more than the 17% invested in compliance as a whole, reflecting a rapid change far away from traditional compliance options.

The Regulatory Compliance Paradox
The aggregated expense of regulatory compliance around the financial business sector is approaching $80BN globally. Yet compliance specific risks continue being at all-time highs.
Why would this be? Solely due to new regulations recommended immediately after the 2008 financial crisis mandate firms to gather, aggregate and fca template compliance manual risk management fca handbookreport unprecedented amounts of data, and combine complicated principles into their business operations. And yes, these rules are open to diverging translations and not consistently harmonised globally. But at the source of the enigma is the industry’s severe state of technology fragmentation: often within a single organisation, the same data is presented in many different ways using many different systems.
This can commonly cause highly complex regulatory setups that have escalated in to uninhibited costs, even so without having certainty of compliance: exactly how do you prove obedience to a rule, when the reasoning is hidden deep into a maze of inconsonant systems? This opacity at the same time challenges regulators’ supervisory mandate and might potentially affect market transparency.
Having this rise in complication and antiquated systems showing the existentialist and antique beliefs, it is predicted that RegTech will represent 40% of businesses total compliance spending by the year 2023.
The conclusions arrive as businesses start adhering to General Data Protection Regulation (GDPR), which came into law earlier this year and could possibly hit companies with fines worth up to 4% of their global annual turnover.
“Any heavily regulated business sector not prioritising RegTech adoption would risk damaging fines from failing to keep pace with regulatory changes,” Juniper warned.
After checking multiple technologies for estimated timescale of consequences and costs barriers, Juniper concluded that cloud computing is currently one of the most disruptive force in the RegTech sector.
The most recent report argues that transitioning to cloud-based compliance is a “crucial precursor” to other regulatory modern technology approaches, for instance, artificial intelligence and big data.
“Unless businesses effectively plan the correct cloud deployments, they will struggle to utilise the advanced technologies required to meet future compliance challenges,” Juniper said.
This comes after Claranet UK found that over half of the UK’s financial sector is at this time struggling to understand and act upon the customer data they accumulate.
Legacy systems are considered to be one of the main reasons behind the findings, with cloud technologies indicated as a way of remedying the predicament. Traditional spreadsheet systems have lots of inherent risks and need to be migrated to a more powerful and scalable system, because as we all know, if we don’t grow; our businesses, continue to adapt to new ways of operating, our business will become hardly a footnote in history.
Lee Werrell
Compliance Doctor
compliance consultants london apcc compliance consulting firms in london fsma compliance guru

Connect With FCA Authorisation And Learn What FCA Regulated Activities You Need

In March 2018, the FCA published its consultation paper (CP18/6) on its proposed approach to the execution of the European Banking Authority's (EBAs) final guidelines on security precautions for operational and security risks of payments services under PSD2.

 

Many firms ask the question whats does FCA authorised mean? They want to understand what FCA regulated activities would be involved if the obtain their FCA licence, registration or authorisation.

Often they get confused about things like the difference between the FCA Connect Service and FCA Gabriel, needing expert help from specialist FCA authorisation consultants.

FCA Authorisation Info (http://fcaauthorisation.info) is a website run by Compliance Consultant (this site) and can also be accessed via the Compliance Doctor (http://compliancedoctor.co.uk)

Dramatic Escalation In RegTech Being Forecast By 2023

compliance doctor consultants london fca handbook

That is with reference to a new report from Juniper Research, which estimates that spending on RegTech systems, specifically, will escalate from an estimated $18bn (₤ 14bn) this year to $115bn (₤ 100bn) by 2023.

Financial investment is forecast to climb by an average of 45% per annum over the next five years, far greater than the 17% invested in compliance overall, demonstrating a swift move far from traditional compliance solutions.

The Regulatory Compliance Paradox
The aggregated cost of regulatory compliance around the financial sector is approaching $80BN globally. Yet compliance connected threats continue to be at all-time highs.
fca template compliance manual risk management fca handbookWhy would this be? Simply due to new regulations recommended following the 2008 financial crisis call for firms to accumulate, aggregate and report unprecedented amounts of data, and incorporate complex policies into their business workflows. And yes, these particular rules obviously prone to diverging translations and not consistently harmonised globally. But at the root of the mystery is the industry’s extraordinary state of technology fragmentation: often within a single organisation, the same data is exhibited in various ways through numerous systems.
This can commonly result in highly complex regulatory implementations that have amplified right into uncontrolled costs, still without guarantee of compliance: just how do you prove obedience to a rule, when the logic is hidden deep into a maze of dissimilar systems? This opacity also challenges regulators’ supervisory mandate and might essentially affect market transparency.
Having this rise in intricacy and antiquated systems mirroring the existentialist and obsolescent views, it is estimated that RegTech will make up 40% of businesses total compliance spending by the year 2023.
The findings come as businesses start adhering to General Data Protection Regulation (GDPR), which came into force earlier this year and could hit businesses with fines worth up to 4% of their global annual turnover.
“Any heavily regulated business sector not prioritising RegTech adoption would risk damaging fines from failing to keep pace with regulatory changes,” Juniper warned.
After examining several technologies for estimated timescale of consequences and costs barriers, Juniper concluded that cloud computing is currently one of the most disruptive force in the RegTech sector.
The most recent report argues that transitioning to cloud-based compliance is a “crucial precursor” to other regulatory technological innovation approaches, such as artificial intelligence and big data.
“Unless businesses effectively plan the correct cloud deployments, they will struggle to utilise the advanced technologies required to meet future compliance challenges,” Juniper said.
This follows Claranet UK found that more than half of the UK’s financial sector is currently struggling to comprehend and act on the customer data they accumulate.
Legacy systems are thought of as being one of the main reasons at the bottom of the findings, with cloud technologies indicated as a way of remedying the situation. Traditional spreadsheet systems have lots of inherent risks and need to be migrated to a more potent and scalable system, because as most of us know, if we don’t grow; our businesses, never cease to adapt to new ways of working, our business will become barely a footnote in history.
Lee Werrell
Compliance Doctor
compliance consultants london apcc compliance consulting firms in london fsma compliance guru

Extraordinary Escalation In RegTech Being Forecast By 2023

compliance consultants london apcc compliance consulting firms in london fsma

This is with reference to a new report from Juniper Research, which predicts that spending on RegTech systems, specifically, will increase from a quoted $18bn (₤ 14bn) this year to $115bn (₤ 100bn) by 2023.

Financial commitment is forecast to climb by an average of 45% per annum over the next five years, far higher than the 17% spent on compliance as a whole, reflecting a fast transformation away from traditional compliance procedures.

fca template compliance manual risk management fca handbookThe Regulatory Compliance Paradox
The aggregated cost of regulatory compliance across the financial sector is approaching $80BN globally. Yet compliance relevant threats continue being at all-time highs.
Why would this be? Just simply due to new regulations brought out immediately after the 2008 financial crisis mandate firms to collect, aggregate and report unparalleled quantities of data, and combine sophisticated regulations into their business operations. And yes, these types of rules obviously prone to diverging judgements and not consistently harmonised globally. But at the root of the enigma is the industry’s exceptional state of technology fragmentation: typically within a single organisation, the same data is exhibited in many different ways using many different systems.
This can frequently bring about highly complex regulatory applications that have escalated into uninhibited costs, even so without any certainty of compliance: precisely how do you prove adherence to a rule, when the logic is hidden deep into a maze of inconsonant systems? This obscurity also challenges regulators’ supervisory mandate and may probably damage market transparency.
Through this rise in intricacy and old-fashioned systems showing the existentialist and antique beliefs, it is estimated that RegTech will make up 40% of businesses total compliance spending by the year 2023.
The findings appear as businesses start complying to General Data Protection Regulation (GDPR), which entered into law earlier this year and could well hit businesses with fines worth up to 4% of their global annual turnover.
“Any heavily regulated business sector not prioritising RegTech adoption would risk damaging fines from failing to keep pace with regulatory changes,” Juniper warned.
After assessing a variety of technologies for expected timescale of impact and costs barriers, Juniper concluded that cloud computing is currently among the most disruptive force in the RegTech sector.
The most recent report argues that transitioning to cloud-based compliance is a “crucial precursor” to other regulatory innovation approaches, such as artificial intelligence and big data.
“Unless businesses effectively plan the correct cloud deployments, they will struggle to utilise the advanced technologies required to meet future compliance challenges,” Juniper said.
This comes after Claranet UK found that more than half of the UK’s financial sector is right now struggling to understand and follow up on the customer data they collect.
Legacy systems are considered to be among the main reasons behind the findings, with cloud technologies indicated as a way of remedying the predicament. Traditional spreadsheet systems are full of inherent risks and need to be migrated to a more effective and scalable system, because as all of us know, if we don’t grow; our businesses, continue to adapt to new ways of functioning, our business will become hardly a footnote in history.
Lee Werrell
Compliance Doctor

Are Money Market Funds Really For You?

money market funs template compliance manual fca regulatory

Are Loan Market Funds For You?

Cash funds are among the most popular money management tools. These financial investments are also touted as the safest kind of fund. Prior to investing in them, you need to initially know exactly what they are, their advantages, and if they are ideal financial investments for you.

What Money Market Funds Are
Money market funds are shared funds that buy loan or monetary markets, which, in basic terms, indicates that you obtain or loan cash, respectively. A loan market fund resembles your deposit account at the bank because it takes your loan and utilizes it for investment purposes. A portion of the profits, which come in the kind of dividends, are paid to you. In general, loan market funds pay regular monthly dividends.
Money market funds usually purchase short-term financial investments that mature in less than 13 months at the maximum. Considering that money market funds are investment with much shorter amount of time, the threat is significantly reduced. The idea is that providing the cash for the short-term is more secure as there is a high likelihood that the amount will be repaid. Generally, money market funds invest in United States Treasury issues, short-term business paper, and certificates of deposit. There are various type of loan market funds based on the type of securities they buy. Nevertheless, the most significant distinction is whether the dividends earned are taxable or tax-free.
The Advantages of Money Market Fundsfca template compliance manual risk management fca handbook
With this kind of investment, you are permitted to write checks that draw from a loan market fund. This allows you to delight in the advantages of dividend earnings, plus you can quickly access your money. You require to confirm with your institution initially relating to fees and restrictions.
Loan market funds are most useful for parking money you need in the short term. These needs may include down payment for a holiday, a house or a vehicle. Likewise, considering that money market funds are totally liquid, you can sell your shares in a loan fund anytime you wish to.
Who Invests in Money Market Funds
Cash market funds are for financiers who wish to earn decent returns from safe investments. These financial investments are usually liquid. This implies that you have the advantage of extracting the cash within a few business days if you have to. Money market funds likewise permit you to take advantage of increasing rates of interest. This is enabled by stashing your cash in a financial investment that changes with the movements of the marketplace.
Loan market funds are shared funds that invest in money or monetary markets, which, in easy terms, means that you obtain or loan money, respectively. A money market fund is comparable to your deposit account at the bank in that it takes your cash and uses it for investment purposes. Loan market funds usually invest in short term financial investments that grow in less than 13 months at the optimum. With this type of investment, you are allowed to write checks that draw from a cash market fund. Since money market funds are entirely liquid, you can offer your shares in a loan fund anytime you desire to.
Our Mission is to be: Clear, Fair & Evidence Based
Lee Werrell Chartered FCSI FISM
Compliance Doctor

Do I Need To Be Regulated As An FCA Authorised Person?

 

Financial services providers, investment company and consumer credit firms ought to be Financial Conduct Authority (FCA) authorised.

Here’s a summary of what you should know.

Due to the regulations made under the Financial Services and Markets Act (FSMA) 2000, financial activities must be regulated by the FCA. Any firm (whether an enterprise, a not-for-profit or a sole trader) implementing a FCA regulated activities must be authorised or registered by them, unless they are exempt.

Banks, credit unions and insurance companies are regulated by the FCA and the Bank of England’s Prudential Regulation Authority (PRA).

Applications for authorisation.
You will have to apply to the FCA (or, if you’re dual-regulated, to the PRA) for FCA authorisation. This normally takes up to 6 months if sending a packaged complete application but could possibly take up to 1 Year if your application is not complete upon submission. Your submission will be made as complete as possible if we, FCA authorisation consultants, help and guide you. There is an application fee to pay straight to the FCA Authorisations department.

Appointed Representatives (ARs).
An authorised firm may appoint another firm or person to carry on regulated activities on its behalf. When this happens, the authorised firm or ‘principal’ takes full responsibility for being sure its agent or ‘appointed representative’ adheres to the FCA rules.

Responsibilities of an authorised firm.
Once you acquire FCA authorisation, there’s a fee to pay every year. You’ll also will have to meet the FCA’s minimum standards (threshold conditions) at all times, alongside following the regulations and principles relevant to your business and send the regulator reports, usually through the FCA Gabriel system.

Why use FCA Authorisation Consultants?
Your firm will require FCA authorisation if it executes an FCA regulated activities under the Financial Services and Markets Act 2000 (FSMA 2000) Regulated Activities Order (RAO).

compliance consultants london specialists authorisation consultancyWhether you’re seeking to broker insurance or home loans, start a fintech business, provide investment recommendations or asset management professional services, or operate in the Consumer Credit Act (CCA) sector your firm will have to hold FCA authorisation so as to trade unless it benefits from some of the exemptions. From 2019, Claims Companies will also require to be authorised by the FCA.

Obtaining FCA authorisation requires displaying to the FCA that the firm’s business model is one which meets the FCA’s requirements, that the firm’s activities will be compliant, that the firm’s controllers are fit and proper, and that the firm has proper systems and controls in position. FCA authorisation can only be obtained if the each of the requirements are fulfilled.

FCA Authorisation (http://fcaauthorisation.info)website is a trading style of Compliance Consultant (http://www.complianceconsultant.org), and our experts have years of expertise in regulatory compliance and assisting firms with preparing and putting forward applications for FCA authorisations. We know the financial services industry and we understand compliance. With this insight we help our clients design their business model and form their compliance.

All our FCA authorised person and FCA approved person applications are overseen by a Chartered Fellow of The CISI (The leading securities and investment Institute). Our cost-effectiveness and customer focused method also means lots of small businesses trust us with their FCA authorisation annually. Our team has decades of experience in compliance and regulated financial services. This experience means we understand what the Regulator is trying to find, what the important issues are to deal with, what typical areas of concern the FCA may have and ways to provide information in a way that matches requirements and provides the reassurance which the Regulator is seeking.

We can provide templates for submissions and the supporting documentation which sit behind them; and as a standard, we’ll also check all material just before submission.

One of the key qualities of the service is the interpretation and response to any questions or queries which the FCA may raise, helping to ensure the process is as smooth and painless as possible.

If you want us to amend and personalise your policies, we can possibly do this as well for an additional cost, but the final edit will be up to you, as it is your business that will be governed by these documents, and you should ensure that they are all singing the same song.

Whoever you choose you should be clear on these issues. Does the price include;.

* Qualified Compliance specialists handling your application.
* All policies and an annual compliance monitoring plan as required by the regulator?
* All forms completed on your behalf (excluding electronic signatures etc).
* All questions before submission at no extra cost.
* Recommendations on wording for text solution to explain your firm’s operations.
* All regulator questions and requests for explanations throughout the approval process at no extra charge.
* Professional project management of the process.
* Your questions answered throughout the approval process at no extra cost.

OURS DO!

Consult with one of our experts today for discreet and no obligation advice about FCA authorisation on

0207 097 1434


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Do I Need To Be Regulated As An FCA Authorised Person?

compliance specialist consultants london

Financial services providers, investment company and consumer credit firms ought to be Financial Conduct Authority (FCA) authorised.

Here’s a summary of what you should know.

With reference to the provisions made under the Financial Services and Markets Act (FSMA) 2000, financial activities will have to be regulated by the FCA. Any firm (whether an organisation, a not-for-profit or a sole trader) conducting a FCA regulated activities must be authorised or registered by them, unless they are exempt.

Banks, credit unions and insurance companies are regulated by the FCA and the Bank of England’s Prudential Regulation Authority (PRA).

Applications for authorisation.
You have to apply to the FCA (or, if you’re dual-regulated, to the PRA) for FCA authorisation. This normally will take up to 6 months if sending a packaged complete application but might take up to One Year if your application is not complete upon submission. Your submission will definitely be made as complete as possible if we, FCA authorisation consultants, help and guide you. There is an application fee to pay directly to the FCA Authorisations department.

Appointed Representatives (ARs).
An authorised firm may assign another firm or individual to carry on regulated activities on its behalf. When this happens, the authorised firm or ‘principal’ takes full obligation for making certain its agent or ‘appointed representative’ complies with the FCA rules.

Responsibilities of an authorised firm.
Once you obtain FCA authorisation, there’s a fee to pay every year. You’ll also must meet the FCA’s minimum standards (threshold conditions) at all times, along with observing the guidelines and principles relevant to your business and send the regulator statements, usually through the FCA Gabriel system.

Why use FCA Authorisation Consultants?
Your firm will require FCA authorisation if it conducts an FCA regulated activities under the Financial Services and Markets Act 2000 (FSMA 2000) Regulated Activities Order (RAO).

compliance authorisation consultants londonWhether you’re seeking to broker insurance or mortgage loans, start a fintech company, provide investment recommendations or asset management services, or operate in the Consumer Credit Act (CCA) sector your firm will have to hold FCA authorisation to be able to trade unless it takes advantage of some of the exemptions. From 2019, Claims Companies will also require to become authorised by the FCA.

Obtaining FCA authorisation requires displaying to the FCA that the firm’s business model is one which meets the FCA’s requirements, that the firm’s activities will be compliant, that the firm’s controllers are fit and proper, and that the firm has necessary systems and controls in place. FCA authorisation can only be obtained if the all of the requirements are complied with.

FCA Authorisation (http://fcaauthorisation.info)website is a trading style of Compliance Consultant (http://www.complianceconsultant.org), and our experts have years of knowledge in regulatory compliance and assisting firms with making and proposing applications for FCA authorisations. We know the financial services industry and we understand compliance. With this insight we help our clients establish their business model and establish their compliance.

All our FCA authorised person and FCA approved person applications are overseen by a Chartered Fellow of The CISI (The leading securities and investment Institute). Our cost-effectiveness and customer focused process also means lots of small companies trust us with their FCA authorisation annually. Our team has decades of experience in compliance and regulated financial services. This experience means we understand what the Regulator is looking for, what the important issues are to deal with, what typical areas of concern the FCA may have and effective ways to provide information in such a way that matches requirements and provides the reassurance which the Regulator is seeking.

making compliance work consultants london specialistsWe can provide structures for submissions and the supporting documentation which sit behind them; and as a standard, we’ll also check all material just before submission.

Among the key qualities of the service is the interpretation and response to any questions or queries which the FCA may raise, helping to ensure the process is as smooth and painless as possible.

If you want us to amend and personalise your plans, we can possibly do this as well for an additional cost, but the final edit will be down to you, as it is your business that will be governed by these documents, and you ought to make certain they are all singing the same song.

Whoever you choose you ought to be clear on these issues. Does the price include;

* Qualified Compliance specialists handling your application.
* All policies and an annual compliance monitoring plan as required by the regulator?
* All forms completed on your behalf (excluding electronic signatures etc).
* All questions before submission at no extra cost.
* Recommendations on wording for text solution to explain your firm’s operations.
* All regulator questions and requests for explanations throughout the approval process at no extra charge.
* Professional project management of the process.
* Your questions answered throughout the approval process at no extra cost.

OURS DO!

Converse with any of our experts today for private and no obligation advice about FCA authorisation on

0207 097 1434

compliance consultants London

38 Top Basic Questions to ask 3rd Party Outsourcers

compliance consultants london specialist regulatory complianceEmploying a 3rd Party Outsourcer is a huge move, exactly like consenting to manage an Appointed Representative.

This article will offer you lots of concerns to raise.

NB: You may possibly be required to sign a Non-Disclosure agreement prior to obtaining any answers to a few (nonetheless certainly not all) of these particular questions. If you discover a company hesitates to respond to these concerns, that can tell you something, should it not?

1. Is the company a member of any trade bodies or organisations?

NB: Membership is optional – if companies are members, it might provide a degree of credibility, nevertheless, many excellent companies are not always members.

2. Does the firm have experience in or comply fully with FCA Handbook in all regards? Is it FCA authorised?

NB: Firms do not have to be FCA Authorised provided they are not carrying out any regulated activities. We can conduct an audit to assist you in these matters.

3. Was business effectively providing services with previous financial services clients?

4. For how long has the firm worked?

5. The amount of companies they have services for/are servicing?

6. How many companies there are in their group?

7. Can you get an organisational diagram clarifying the structure of the business (Ownership/Management/Staff?

8. How many companies that have used their company on a continual basis i.e., rolled over contracts?

9. The frequency of board meetings discussing company earnings and revenue projections?

10. The amount of legal claims from clients made against them/outstanding?

11. How many company board meetings have been held in last 12 months?

12. What marketing is produced by the outsourcer? Samples?

13. What level of Training and CPD requirement is provided/required?

14. What level of ongoing Management Information (MI) is offered?

15. How is training and assistance supplied to new staff?

16. What is the makeup of the local management structure (more detail than 7)?

17. What are the Client profiles?

18. Working times (5 days a week, 7 days a week, etc.)?

19. Are shift-workers needed? If yes, what are the busiest times of each day (as an average)?

20. What warranties are provided if any, regarding service level compliance for complaints/escalation/quality of data?

21. Ask to talk to random financial services firms as referees and ask that they provide you some contact names and numbers?

22. When you have spoken to a business get them to give a rating out of 5, where 5 is highest, 1 is most affordable about: a) Marketing support b) Level of continuous Support c) Level and quality of Training d) General satisfaction

23. Ask for staff turnover particulars from their HR.

24. Is the firm planning any strategic acquisitions or expansion in the next 12 – 36 months

25. In their opinion, is the marketplace for the product or services most likely to grow soon?

26. What market share does the business have/ how strong are the competitors?

27. Is it easy for rivals to launch substitute companies? Are there entry barriers?

28. What market awareness (branding) does the firm have in their market?

29. Are they the leading player in the sector? How is this assessed?

30. What is their competitive advantage?

31. Is their competitive advantage distinct or can it be quickly copied?

32. Are they considered to be innovative?

33. What innovations has the company made in business design over the past one year to stay ahead of competition?

34. Will business grow in net value as business grows or will financial debt increase?

35. Will we have the capacity to exit any agreements? What are the usual terms? What about regulatory breach issues?

36. Have there been companies who have closed their arrangements early?

37. What Business Continuity arrangements are there, physically and IT? When was this last tested?

38. What secure waste destruction procedures are used? Are there certificates readily available?

With any luck, these questions made you think a bit harder about the outsourcing opportunities readily available. If you just haven’t got the time to make contact and ask all those questions, simply go to the website to sort the wheat from the chaff.

Lee Werrell
Compliance Doctor
0207 097 1434

compliance consultants London

Significant Raise In RegTech Costing Forecast By 2023


That is with reference to a new report from Juniper Research, which anticipates that spending on RegTech platforms, particularly, will increase from a quoted $18bn (₤ 14bn) this year to $115bn (₤ 100bn) by 2023.

Financial investment is forecast to go up by approximately 45% per annum over the next five years, far greater than the 17% invested in compliance as a whole, reflecting a quick transfer away from traditional compliance solutions.

The regulatory compliance paradox
The aggregated cost of regulatory compliance throughout the financial industry is reaching $80BN globally. Yet compliance specific risks are still at all-time highs.

Why would this be? Just simply due to new regulations put forward just after the 2008 financial problems call for firms to accumulate, aggregate and report unmatched volumes of data, and include sophisticated principles into their business operations. And yes, these types of rules are open to diverging interpretations and not consistently harmonised globally. But at the origin of the enigma is the industry’s exceptional state of technology fragmentation: typically within a single organisation, the same data is exhibited in many different ways using numerous systems.

This can frequently lead to highly complex regulatory implementations that have advanced in to uninhibited costs, still without any assurance of compliance: precisely how do you prove adherence to a rule, when the logic is buried deep into a maze of dissimilar systems? This opacity also tests regulators’ supervisory mandate and might probably damage market transparency.

With this rise in complexity and antiquated systems mirroring the existentialist and antique views, it is approximated that RegTech will make up 40% of businesses total compliance spending by the year 2023.

The findings come as businesses start adhering to General Data Protection Regulation (GDPR), which entered into force earlier this year and could possibly hit companies with fines worth up to 4% of their global annual turnover.

“Any heavily regulated business sector not prioritising RegTech adoption would risk damaging fines from failing to keep pace with regulatory changes,” Juniper warned.

After assessing many technologies for anticipated timescale of significance and costs barriers, Juniper concluded that cloud computing is currently among the most disruptive force in the RegTech sector.

The most recent report argues that transitioning to cloud-based compliance is a “crucial precursor” to other regulatory modern technology approaches, for instance, artificial intelligence and big data.

“Unless businesses effectively plan the correct cloud deployments, they will struggle to utilise the advanced technologies required to meet future compliance challenges,” Juniper said.

This comes after Claranet UK found that over half of the UK’s financial sector is at this time struggling to understand and follow up on the customer data they gather.

Legacy systems are considered as being among the main reasons responsible for the findings, with cloud technologies indicated as a way of remedying the predicament. Traditional spreadsheet systems have plenty of inherent risks and need to be migrated to a more powerful and scalable system, because as all of us know, if we don’t grow; our businesses, never cease to adapt to new ways of working, our business will become scarcely a footnote in history.

Lee Werrell
Compliance Doctor
http://www.complianceconsultant.org

compliance consultants london specialist remedial risk management fca handbook

Dramatic Raise In RegTech Costing Forecast By 2023


This is according to a new report from Juniper Research, which predicts that spending on RegTech systems, specifically, will escalate from a quoted $18bn (₤14bn) this year to $115bn (₤100bn) by 2023.

Financial commitment is forecast to climb by approximately 45% per annum over the next five years, far higher than the 17% spent on compliance as a whole, reflecting a rapid move far from traditional compliance options.

The regulatory compliance paradox
The aggregated expense of regulatory compliance all around the financial business sector is approaching $80BN globally. Yet compliance associated threats continue being at all-time highs.

Why would this be? Solely due to new regulations brought out soon after the 2008 financial crisis demand companies to gather, aggregate and report unparalleled volumes of data, and include complex policies into their business operations. And yes, these rules obviously prone to diverging analyses and not always harmonised globally. But at the source of the paradox is the industry’s extreme state of technology fragmentation: frequently within a single organisation, the same data is expressed in many different ways using a number of systems.

This can typically trigger highly complex regulatory setups that have grown right into uninhibited costs, still with no certainty of compliance: precisely how do you prove adherence to a rule, when the reasoning is hidden deep into a maze of dissimilar systems? This opacity at the same time challenges regulators’ supervisory mandate and can essentially damage market transparency.

Having this rise in sophistication and antiquated systems showing the existentialist and antique beliefs, it is quoted that RegTech will make up 40% of businesses total compliance spending by the year 2023.

The findings appear as businesses start complying to General Data Protection Regulation (GDPR), which came into law earlier this year and could very well hit businesses with fines worth up to 4% of their global annual turnover.

“Any heavily regulated business sector not prioritising RegTech adoption would risk damaging fines from failing to keep pace with regulatory changes,” Juniper warned.

After evaluating a variety of technologies for expected timescale of impact and costs barriers, Juniper concluded that cloud computing is currently among the most disruptive force in the RegTech sector.

The current report argues that transitioning to cloud-based compliance is a “crucial precursor” to other regulatory technological innovation approaches, such as artificial intelligence and big data.

“Unless businesses effectively plan the correct cloud deployments, they will struggle to utilise the advanced technologies required to meet future compliance challenges,” Juniper said.

This follows Claranet UK found that more than half of the UK’s financial sector is at the present time struggling to comprehend and act upon the customer data they accumulate.

Legacy systems are considered to be some of the main reasons behind the findings, with cloud technologies indicated as a way of remedying the problem. Traditional spreadsheet systems have lots of inherent risks and need to be migrated to a more effective and scalable system, because as most of us know, if we don’t grow; our businesses, continue to adapt to new ways of working, our business will become hardly a footnote in history.

Lee Werrell
Compliance Doctor
http://www.complianceconsultant.org

compliance consultants london specialist remedial risk management fca handbook