August 12, 2020

Volume X, Number 225

August 11, 2020

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August 10, 2020

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FCA Statement on Extending SM&CR Implementation Periods

On June 30, the UK Financial Conduct Authority (FCA) published a statement on an extension to the Senior Managers & Certification Regime (SM&CR) implementation periods for solo regulated firms (the Statement).

In the Statement, the FCA announced that the deadline for solo-regulated firms to undertake the first assessment of the fitness and propriety of their Certified Persons has been delayed from December 9 until March 31, 2021. This will give firms affected by the COVID-19 pandemic time to bring themselves into compliance with the new requirements.

To ensure SM&CR deadlines remain consistent, the FCA is also considering an extension to the deadline for the following requirements from December 9 to March 31, 2021:

  • the date the Conduct Rules become effective;

  • the deadline for submission of information about Directory Persons to the Register; and

  • references in the FCA’s rules to the deadline for assessing Certified Persons as fit and proper.

The FCA notes that firms should continue with their programs of work in these areas and, if they are able to certify staff earlier than March 2021, they should do so.

The FCA will still publish details of certified employees of solo- regulated firms starting from December 9 on the Financial Services Register. Where firms are able to provide this information before March 2021, the FCA encourages them to do so.

The Statement is available here.

©2020 Katten Muchin Rosenman LLPNational Law Review, Volume X, Number 192


About this Author

Carolyn H. Jackson, International Attorney, Katten Muchin law firm

Carolyn Jackson is a partner in Katten Muchin Rosenman UK LLP and is a Registered Foreign Lawyer. She provides US financial regulatory legal advice to a broad range of market participants, including commercial banks, investment banks, investment managers, broker-dealers, electronic trading platforms, clearinghouses, trade associations and over-the-counter derivatives service providers.

Carolyn guides clients in the structuring and offering of complex securities, commodities and derivatives transactions and in complying with US securities and commodities laws...

+44 0 20 7776 7625
Nathaniel Lalone, Katten Muchin Law Firm, Financial Institutions Attorney
Senior Associate

Nathaniel Lalone, a partner at Katten Muchin Rosenman UK LLP, has a broad range of experience in the regulation of financial products and financial markets, and frequently provides regulatory and compliance advice to trading venues, clearing houses and buy-side firms active in the over-the-counter (OTC) derivatives, futures and securities markets. He is actively involved in advising clients on the implementation of MiFID 2 and MiFIR in the European Union as well as the international reach of US financial services regulation. He also has significant experience with structuring and documentation relating to OTC derivatives and structured products.

Prior to joining Katten, Nathaniel was a member of the US Regulatory and the Derivatives and Structured Finance practices at Allen & Overy LLP.

+44 0 20 7776 7629
Neil Robson, private equity fund managers counselor, Katten Law Firm, London

Neil Robson, a regulatory and compliance partner with Katten Muchin Rosenman LLP, focuses his practice on counseling hedge and private equity fund managers and other investment advisers on operational, regulatory and compliance issues. He regularly addresses Financial Conduct Authority (FCA) and EU authorization and compliance under both the EU Alternative Investment Fund Managers Directive (AIFM Directive) and MiFID, cross-border issues in the financial services sector, market abuse, anti-money laundering and regulatory capital requirements, formations and buyouts of...