Please enable JavaScript.
Coggle requires JavaScript to display documents.
Codes - Regulated entity - Coggle Diagram
Codes - Regulated entity
the Codes require regulated firms to:
Act in the customers best interests
Regulated entity must
Avoid conflicts of interest
Transact business in an expeditious manner
Ensure that any delegations of duties or powers must be entered into for a proper purpose
Only exercise it's powers or discretions for a proper purpose
Ensure that regular reviews at appropriate intervals are conducted in respect of client business
Act with due skill, care and diligence
Act with Integrity
Maintain adequate risk
management systems
Corporate governance
Ensure reg entity has adequate control
Reg entity is adequately monitored/controlled at senior management & board level
Internal systems and controls
AML systems to ensure compliance with relevant legislation & guidance to counter ML & FT
Disaster recovery arrangements
Competence
Reg entity to ensure staff are fit & proper for their roles
Key Persons
Some roles within a financial services business require authorisation by the Commission:
Compliance officer
Money Laundering Compliance Officer
Money Laundering Reporting Officer
Complaints
Must establish effective complaint handling systems/procedures
Must notify Commission is complain not resolved in 3 months
Record keeping
Must keep adequate account records, business records & records of transactions
Clearly documented policy for retention of records of >10 years
Demonstrate transparency in their business arrangements
Be open & transparent about it's charges/fees
Accurately record the basis of any charges in respect of time spent & disbursements
Must disclose on it's stationary & advertising material that it's regulated by the commission
Demonstrate the existence of adequate financial resources
- Over 3 areas
A minimum share capital/minimum asset position
Liquidity - to ensure that the entity has sufficient liquid assets to cover operating expenses for a 3 month period
Professional indemnity insurance
Deal with the commission and other authorities in jersey in an open/co-operative manner
Not make statements that are misleading, false or deceptive
Consequences of breaching the Codes
Commission taking regulatory action
enhanced supervision
issue of condition of registration or revocation of registration
Issue a public statement
Written direction under Article 23 of the Law (removal of persons or cease operations)
Failure to follow codes render any person liable to legal proceedings