In December 2019 the Senior Managers and Certification Regime (SM&CR) was extended to cover all FCA-authorised firms, replacing the previous Approved Persons Regime for these firms.
As part of the SM&CR, the FCA introduced a new set of Conduct Rules that apply to all employees within firms – not just approved individuals. These enforceable rules set basic standards of good personal conduct against which the regulator can hold people to account. The FCA views these Conduct Rules as a means to improve standards of individual behaviour in firms from the top down and the bottom up. The Conduct Rules are described as a meaningful change in the standards of conduct the regulator expects from those working in the industry.
- Introduction – application and logic of the SM&CR Conduct Rules
- FCA’s Code of Conduct (COCON)
- The two tiers of SM&CR Conduct Rules
- The five individual Conduct Rules
- The four Senior Manager Conduct Rules
- Exclusion of ancillary staff
- Activities to which the rules apply
- FCA guidance on the rules
- The notification and training requirement
- Breach reporting and the annual notification
- End of module assessment
Note – The FCA’s rules require firms to ensure employees understand the practical impact of the Conduct Rules in their own roles. As a result, we recommend that this module is supplemented by tailored training to ensure understanding of how the rules apply in the context of specific job roles.
Key features of our eLearning include: