Regulation outlook 2020: Liquidity, ESG and reporting in the spotlight

Operational resilience and liquidity under scrutiny

After a decade of enduring waves of post-Global Financial Crisis regulation, the asset and wealth management sector will face a sharper regulatory focus on issues like liquidity management, MiFID II reporting standards and ESG standards.

One of the most immediate challenges for firms will be ensuring compliance with the Senior Managers & Certification Regime (SMCR), which came into force at the beginning of December. However, while certain questions remain as to how the Financial Conduct Authority (FCA) will regulate issues such as senior management accountability, we are unlikely to see major enforcement action immediately. 'Honeymoon period' as firms escape fines for MiFID II reporting failures Existing expectations Partner at law firm DLA Piper Michael McKee explained that the key challenges with SMCR come fr...