FCA Contemplates Revising Asset Management Regulatory Framework

The UK Financial Conduct Authority (FCA) is seeking industry feedback in a discussion paper (DP)¹ on potential regulatory reform of the asset management sector. If enacted, the UK Government's Future Regulatory Framework proposal² could see retained EU law replaced with UK-specific rules under the FCA's oversight, tailored for the UK asset managers. The FCA has called for views on the issues it has identified and its high-level proposals. The DP excludes discussion on a number of items, including the senior managers and certification regime, prudential requirements, pre-contractual disclosure and transaction-related disclosure and reporting requirements. In this alert, we set out a summary of the key elements of the proposals.