FCA publishes Market Watch 63
The FCA signals that it will not relax its demands for complete and accurate transaction reporting.
In its latest newsletter on market conduct and transaction reporting issues, the FCA sets out its expectations of market conduct in the context of increased capital raising events and alternative working arrangements due to Covid-19. The focus of the newsletter was firmly on market abuse however there was a very clear message that transaction reporting is a key tool in its efforts to combat market abuse.
While the FCA acknowledged the operational challenges created by the Covid-19 crisis, it also made clear its intention to continue to use its powers to request information and “may ask market participants to provide further information on their activities to explain how they are meeting their regulatory obligations”.
Right controls around market abuse
Market Watch 63 stresses that it is “as important as ever that the right controls around market abuse” are in place and we believe that this extends to transaction reporting. These controls are clearly detailed in Article 15 of RTS 22 and if you are not regularly performing quality assurance testing and reconciliation of FCA data against your source system records, you are not meeting these requirements.
- For details of how Kaizen can help you with your transaction reporting obligations please visit our assurance services pages or contact us.
- Read the latest MarketWatch by visiting the FCA’s website.
