Compliance officers perform a vital, yet unpopular role in the business world as they advise on complying with myriad rules and regulations. What is good for compliance is sometimes seen as being bad for business, making a compliance officer's role a difficult one. Essential Strategies for Financial Services Compliance offers practical guidance on how to apply a regulatory requirement to day to day situations. It also shows how to communicate the compliance department's activities to the rest of the firm, how the role fits within the organization as a whole, what the scope and limitation of their responsibilities are, what to do when things go wrong, and how to deal with unusual problems.
Table of Contents
Contents Preface (or How Not to be an Execution Officer) Acknowledgements List of Abbreviations PART I: COMMENTARYAND CONTEXT 1 The UK Regulatory Environment 1.1 Different regulatory regimes in the UK 1.2 The FSMA regime for investment business 1.3 The UK's anti-money-laundering regime 1.4 The UK's takeover regime 2 The Compliance Function 2.1 Compliance as a concept 2.2 The Compliance Officer 2.3 Compliance: good and bad 2.4 The argument for Compliance 2.5 Compliance as a profession 3 The Compliance Contract 3.1 The Compliance Mission Statement 3.2 The Compliance Charter 4 Mapping Your Compliance Universe 5 Mapping Your Corporate Universe 5.1 Operating entities 5.2 Business units 5.3 External Service Providers 6 Regulators and Other Industry Bodies 6.1 Exchanges 6.2 Clearing houses 7 The Legislative Environment and Rules Mapping 7.1 Rules mapping 7.2 Detailed rules mapping for your own firm 7.3 Mapping requirement for an overseas jurisdiction 8 Financial Products, Services and Documentation 8.1 Products and services 8.2 Understanding products and services in context 8.3 Documentation 9 Compliance Outside the Compliance Department 9.1 The Front office 9.2 The Back office and other support functions 10 Key Compliance Department Activities 10.1 Routine activities 10.2 Off Piste Compliance: advisory work 10.3 Compliance conundrums 11 Comply or Die - When Things go Wrong 11.1 Someone's watching you 11.2 The FSA has 'hot buttons' 11.3 What the FSA can do to find out more 11.4 What to do if you are being investigated or are subject to disciplinary action 11.5 Consequences of rule breaches and other regulatory misdemeanours APPENDICES A Routine Compliance Activities B Routine Anti-Money-Laundering Activities C Compliance in the Front Office D Compliance for Senior Management, the Back Office and Other Support Departments E Compliance Conundrums - What Would You Do? PART II: INFORMATIVE EXAMPLES Box 1: Acting on Principle Box 2: ARROW Box 3: Basel II and CRD Box 4: Extradition Box 5: Financial Services Action Plan Box 6: Going Global? Box 7: Industry Guidance Box 8: L&G v. the FSA - Who are the real winners and losers? Box 9: Markets in Financial Instruments Directive Box 11: Prudential Regulation of Capital Adequacy Box 12: The Enforcement Process Getting on the wrong side of the FSA Box 13: The Lamfalussy Process Box 14: The Laundering Process Box 15: Treating Customers Fairly PART III: APPENDICES ON THE WEBSITE 1 Regulators and Other Industry Bodies 2 Exchanges and Clearing Houses 3 Financial Services Legislation 4 Anti-Money Laundering and Counter Terrorist Financing 5 EU Legislation Relevant to Financial Services in the UK 6 US Legislation Relevant to Financial Services in the UK 7 Equities, Bonds and Loans - Summary Differences 8 Equities 9 Bonds 10 Loans 11 Derivatives 12 Collective Investment 13 Foreign Exchange 14 The Money Market 15 Islamic Finance 16 Trade Finance 17 Trusts 18 National Savings and Investments 19 Customer Documents 20 Trade Documents 21 Regulatory Documents 22 UK Tax Documents 23 Sample Enforcement Actions 24 Sources and Resources Index
Annie Mills (London, UK) has worked in the compliance industry for nearly 10 years, working in many areas of investment management and banking compliance. Currently she is Senior Compliance Officer, Global Banking and Advisory at Standard Bank, where she has held previous positions as Head of International Compliance Monitoring, and as Compliance Officer. During her time at Standard Bank, her compliance team won the 2005 Compliance Register Award for Best UK Compliance Department. Previous to Standard Bank, Mills worked for Grindlays Private Bank, Guardian Investment Holdings, and First Marathon Securities. She presently sits on the Examining Panel for the Securities and Investment Institute's Regulation and Compliance Diploma.