Featured Product

    FCA Announces List of Firms for Cohort Six of Regulatory Sandbox

    July 27, 2020

    FCA announced the list of 22 firms that have been accepted into cohort six of the regulatory sandbox to test innovative products and services. FCA received 68 applications to cohort six of the regulatory sandbox. Names of participating firms and their project descriptions have been made available. Some of the selected firms are DLA Piper, Climate chain, CrediCar, FundAdminChain, and Hitachi Europe Limited. FCA is also collaborating with key strategic partners and the industry to pilot a digital sandbox, which looks to provide enhanced regulatory support for innovative firms tackling the challenges caused by COVID-19 outbreak.

    Applications were received from firms operating in the UK and overseas. The majority of applications came from firms looking to operate in the retail banking, payments, and retail lending sectors. Examples of propositions that have been accepted into cohort six include financial education platforms, a digitized motor finance proposition, safekeeping and transacting of digital assets using distributed ledger technology, and a sustainable finance investment platform, which enables the mobilization of capital toward green projects. This notable proposition from Hitachi Europe Limited involves a "Sustainable Finance Platform" that aims to facilitate the mobilization of capital toward green projects through a "matching function" between investors or lenders and project owners. The prototype uses the "Internet of Things" to communicate operational information about green assets and blockchain for enhanced transparency and security.

    Tests will be conducted on a short-term and small-scale basis. FCA work closely with each firm to agree on testing parameters and build in appropriate consumer safeguards. For cohort six, FCA called out, for the first time, areas where it would like to see more innovation. This included propositions that "make finance work for everyone" and "support the UK in the move to a greener economy." More than half of the applications received were propositions that sought to address issues around access and exclusion to financial services and vulnerable consumers, with two successful applicants developing sustainable finance models. The propositions in cohort 6 support the increased demand for digital offerings created by the impact of COVID-19 pandemic.

     

    Related Links

    Keywords: Europe, UK, Banking, Insurance, Securities, COVID-19, Fintech, Regtech, Cohort 6, Regulatory Sandbox, Sustainable Finance, ESG, Climate Change Risk, FCA

    Featured Experts
    Related Articles
    News

    EBA Updates List of Validation Rules for Reporting by Banks

    EBA issued a revised list of validation rules with respect to the implementing technical standards on supervisory reporting.

    September 10, 2020 WebPage Regulatory News
    News

    EBA Responds to EC Call for Advice to Strengthen AML/CFT Framework

    EBA published its response to the call for advice of EC on ways to strengthen the EU legal framework on anti-money laundering and countering the financing of terrorism (AML/CFT).

    September 10, 2020 WebPage Regulatory News
    News

    NGFS Advocates Environmental Risk Analysis for Financial Sector

    NGFS published a paper on the overview of environmental risk analysis by financial institutions and an occasional paper on the case studies on environmental risk analysis methodologies.

    September 10, 2020 WebPage Regulatory News
    News

    MAS Issues Guidelines to Promote Senior Management Accountability

    MAS published the guidelines on individual accountability and conduct at financial institutions.

    September 10, 2020 WebPage Regulatory News
    News

    APRA Formalizes Capital Treatment and Reporting of COVID-19 Loans

    APRA published final versions of the prudential standard APS 220 on credit quality and the reporting standard ARS 923.2 on repayment deferrals.

    September 09, 2020 WebPage Regulatory News
    News

    SRB Chair Discusses Path to Harmonized Liquidation Regime for Banks

    SRB published two articles, with one article discussing the framework in place to safeguard financial stability amid crisis and the other article outlining the path to a harmonized and predictable liquidation regime.

    September 09, 2020 WebPage Regulatory News
    News

    FSB Workshop Discusses Preliminary Findings of Too-Big-To-Fail Reforms

    FSB hosted a virtual workshop as part of the consultation process for its evaluation of the too-big-to-fail reforms.

    September 09, 2020 WebPage Regulatory News
    News

    ECB Updates List of Supervised Entities in EU in September 2020

    ECB updated the list of supervised entities in EU, with the number of significant supervised entities being 115.

    September 08, 2020 WebPage Regulatory News
    News

    OSFI Identifies Focus Areas to Strengthen Third-Party Risk Management

    OSFI published the key findings of a study on third-party risk management.

    September 08, 2020 WebPage Regulatory News
    News

    FSB Extends Implementation Timeline for Framework on SFTs

    FSB is extending the implementation timeline, by one year, for the minimum haircut standards for non-centrally cleared securities financing transactions or SFTs.

    September 07, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 5796