The Financial Conduct Authority (FCA) has highlighted five trends within the investment management sector it warns could "threaten stability and resilience" of financial markets.
In its annual review of the sector, published on Thursday (10 January), the FCA identified outsourcing, the growing use of sophisticated technology and liquidity levels as issues it is actively monitoring. FCA warns asset management industry facing cyber risks Firstly, the regulator said the growing use of outsourcing to third-party technology providers means that should there be a failure of one of more of the "small number" of firms relied upon for these services, the proportion of assets which could potentially be affected by an IT failure is mounting and thereby increasing the lik...
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