FCA published a report that explores the lessons learned from hosting of seven TechSprints across a range of subjects. The report also provides an evaluation of the TechSprint model and notes the areas in which FCA is working to further develop and improve the approach in the context of wider efforts to foster sustainable and desirable innovation in financial markets. Through case studies, the report illustrates key lessons learned and offers additional information and insights to help others that are thinking of adopting a similar approach.
In the spirit of collaboration, FCA is sharing its TechSprint insights, lessons learned, and best practices to support regulatory peers to undertake effective collaborative ideation and innovation efforts in their markets. The report covers all aspects of the FCA approach, including the types of problems a TechSprint can help to solve; key elements of hosting a TechSprint from participants, team structure, and event planning to technology, data, and communications; and ongoing challenges and efforts to progress the solutions that emerge from a TechSprint from Proof of Concept to Proof of Value. FCA believes that TechSprints are a successful tool, if used correctly, and can bring about rapid change by galvanizing cross-industry efforts. The report highlights that no fixed formula or blueprint can be applied and certain key components, when executed well, do deliver great results. The report highlights the following key TechSprint outcomes:
- Profound and rapid learning happens for regulators, firms, and others, on the application and impact of emerging technology.
- Signals regulatory interest on an issue requiring industry-wide collaboration to progress.
- The scale of the event impacts beyond the TechSprint, resulting in increased regulatory, academic, and market focus on a technology or issue.
- New partnerships and relationships are forged and powerful networks built across jurisdictions.
- The power of time-bound experimentation results in rapid development of prototype solutions. In time, these can be scaled and impact the market.
The report notes that FCA will continue to work toward providing ongoing support and tools to allow TechSprint solutions to move from ideation to production. FCA will continue to evangelize innovation as a potential solution to some of the most difficult and complex challenges facing the global financial industry and wider society. TechSprints are typically two-day events that bring together participants from across and outside of financial services to develop technology based ideas or proof of concepts to address specific industry challenges.
Keywords: Europe, UK, Banking, Securities, Pensions, Fintech, Regtech, TechSprint, Financial Innovation, Reporting, FCA
EBA published a report analyzing the impact of the unwind mechanism of the liquidity coverage ratio (LCR) for a sample of European banks over a three-year period, from the end of 2016 to the first quarter of 2020.
In response to questions from a member of the European Parliament, the ECB President Christine Lagarde issued a letter clarifying the possibility of amending the AnaCredit Regulation and making targeted longer-term refinancing operations (TLTROs) dependent on the climate-related impact of bank loans.
IASB started the post-implementation review of the classification and measurement requirements in IFRS 9 on financial instruments and added the review as a project to its work plan.
FSB published a report that examines progress in implementing policy measures to enhance the resolvability of systemically important financial institutions.
EBA published a report on the benchmarking of national loan enforcement frameworks across 27 EU member states, in response to the call for advice from EC.
FSB published a letter from its Chair Randal K. Quarles, along with two reports exploring various aspects of the market turmoil resulting from the COVID-19 event.
RBNZ launched a consultation on the details for implementing the final Capital Review decisions announced in December 2019.
The Trustees of the IFRS Foundation, which are responsible for the governance and oversight of IASB, have announced the appointment of Dr. Andreas Barckow as the IASB Chair, effective July 2021.
HKMA issued a letter to consult the banking industry on a full set of proposed draft amendments to the Banking (Capital) Rules for implementing the Basel standard on capital requirements for banks’ equity investments in funds in Hong Kong.
ESRB published an opinion assessing the decision of Swedish Financial Supervisory Authority (FSA) to extend the application period of a stricter measure for residential mortgage lending, in accordance with Article 458 of the Capital Requirements Regulation (CRR).