INTERNAL SYSTEMS AND CONTROLS FINDINGS 4.1  Client Due Diligence (“CDD”) The Commission noted a number of instances where Registered Persons were unable to fully demonstrate compliance with Sections 3 and 4 of the AML Handbook. All Registered Persons are required to demonstrate sufficient knowledge of their clients by way of collecting and maintaining appropriate CDD. […]

CORPORATE GOVERNANCE FINDINGS 3.1  Oversight of Investment Advice Cycle and Product Approval Process The Commission would expect a Registered Person to evidence appropriate oversight of the investment services it provides, by demonstrating that all relevant investment discussions and decisions are formally recorded and escalated to the Board of Directors (the “Board”). Specifically, a Registered Person […]

The JFSC investment business supervision have issued their annual findings from their 2013 on-site examinations The topics covered are: CONDUCT OF BUSINESS FINDINGS CORPORATE GOVERNANCE FINDINGS INTERNAL SYSTEMS AND CONTROLS FINDINGS These matters are shown below using the same numbering as the JFSC report CONDUCT OF BUSINESS FINDINGS 2.1  Suitability of Investments The risk of […]

The Basel Committee on Banking Supervision (BCBS) has published a consultation on revised guidelines for corporate governance at banks which build on the BCBS principles for enhancing corporate governance. The revised guidelines aim to provide a framework in which banks should operate to achieve robust and transparent risk management, and promote public confidence in the […]

The Australian Prudential Regulation Authority (APRA) has issued an aid for directors of authorised deposit-taking institutions (ADIs), general insurers and life companies with an accompanying cover letter. The aid and cover letter are designed to assist directors’ understanding of the additional responsibilities and duties that come with being part of the board of an APRA-regulated […]

Establishing Risk Appetite a) Undertaking a business risk assessment allows the business to formulate its “risk appetite”. b) The term “risk appetite” refers to a business’ overall willingness or acceptance threshold for new business and the associated financial crime risks that will need to be mitigated. c) A business should be able to formulate a […]

ON THE 17 September 2014The GFSC have issued a FAQ to answer the following question • What is a Business Risk Assessment? Introduction 1. Regulation 3 of the AML/CFT Regulations requires a business to carry out and document a suitable and sufficient business risk assessment (“BRA”). 2. A BRA is an important tool used to […]

The GFSC have issued a FAQ to answer the following question We have discovered that we have not undertaken CDD in compliance with the requirements of the Regulations and/or rules in the Handbook.  We are reluctant to approach the customer and  Would like an exemption from having to comply with these requirements. GFSC response The […]