SM&CR Accountability Compliance

In 2016 the PRA and FCA implemented the “Senior Managers and Certification Regime”, initially launched to deposit takers, then to dual-regulated firms in 2018 and now to the balance of the regulated marketplace in December 2019.

The regulation, in summary, focuses on individual sanction. This means that Senior Managers have to provide transparency on their accountabilities and responsibilities and show evidence that they have taken ‘Reasonable Steps’ to meet those accountabilities.  Critically the regime goes further into mandating Senior Management responsibility for the Fitness, Proprietary, and competence of key staff and requires companywide attestation, understanding and day to day application of minimum standards of conduct.

The Financial Stability Board is calling for a global accountability standard and already Hong Kong, Australia and Singapore have followed suit. This means “big-headaches” for companies who are trying to keep track of senior management qualifications, accountability and responsibilities in spreadsheets.

Key features of the regime include:

  • Map of senior manager accountabilities and responsibilities and associated governance (SORs and MRM)
  • Statutory duty of responsibility (Reasonable steps)
  • Effective controls and oversight of senior manager handovers
  • Certification and Fitness and Propriety checks of key staff performing Significant Harm Functions
  • Conduct rules attestation, understanding and breach recording

In early 2018 Brady partnered with Trailight to offer an automated solution in the cloud to help meet the requirements of the regulation for Energy and Commodity trading companies.

Brady’s Accountability Compliance solution was designed specifically to provide you with the control, intelligence, data and clarity you need to make informed business decisions and the evidence you need to show you’ve taken ‘reasonable steps’ to manage accountability throughout your firm – and comply with the Senior Management Regime, Certification Regime and Conduct rules.

From the ground up the solution was designed to be cost effective, cloud-based, automated, flexible, configurable and future-proof. Ensuring that you can be compliant in under 1 month.

For more information, contact us here

You can download our brochure by clicking on the image below.