Pensions

Recent Articles

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    20/12/2024

    Avoiding bias in supervised machine learning tools

    On 11 December, the FCA published a research note on bias in artificial intelligence (AI). This publication is part of a series from the FCA exploring how AI intersects with financial services. The document does not constitute guidance for firms but aims to stimulate discussion on issues involved in building and implementing AI systems.The research note focusses on bias in supervised machine learning models. Supervised machine learning models predict outcomes (such as the future risk of someone making an insurance claim) based on past training data. The FCA focusses on how unjustified differences...
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    22/07/2024

    Key Takeaways from our AI in Financial Services Panel Event

    During our recent panel event on Artificial Intelligence (“AI”) in Financial Services, the panel explored how firms are implementing AI in practice, the application of legal, regulatory and ethical frameworks to AI, and potential challenges for firms and regulators. An audience of legal, compliance and business professionals from across the sector made interesting contributions to the debate. The session operated under the Chatham House rule, but here are some of the key takeaways from what was a fascinating discussion....
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  •  
    09/07/2024

    Analyse, Assess and Address – Regulatory focus on Private Equity

    The Second Quarter of 2024 saw a series of publications by the Bank of England (BoE), the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA) on potential risks the private equity (PE) sector poses to the regulated sector.  This article draws out the key themes in these recent developments before examining what it means for those impacted, including PE firms, PE owned financial services businesses, and lenders.Regulatory engagement with industry sectors tends to follow an analyse, assess and address model – regulators gather information about the sector, assess...
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    03/08/2022

    Cryptoassets held by individuals: Inheritance tax and pensions tax relief

    HM Revenue & Customs (“HMRC”) continues to update and expand its guidance on the taxation of cryptoassets held by individuals. In this series, we will explore various tax topics relevant to individuals buying, holding and disposing of cryptoassets. Inheritance Tax Inheritance tax typically arises on the deemed transfer of value that takes place on the death of an individual. It can also arise as a consequence of certain lifetime transactions. In its guidance, HMRC has confirmed that it considers cryptoassets to be property for the purposes of inheritance tax. Individuals who are...
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    13/07/2022

    Crypto and ESG - 11 things you need to know ...

    1. What is ESG?ESG stands for the broad term of “environmental, social and governance”. However, what this means in practice is different from one sector to another and from one jurisdiction to another. In the UK, climate change reporting obligations for a range of businesses have been the key focus area so far, using the Task Force on Climate-Related Financial Disclosures (TCFD) recommendations as the main reference point. For financial services entities, the UK regulator, the Financial Conduct Authority (FCA) has used TCFD as a basis for its ESG Sourcebook, containing onerous and...
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    09/12/2021

    Reforming the Appointed Rep­res­ent­at­ive regime

    On 3 December, HMT published a call for evidence and the FCA published a consultation paper on changes to the Appointed Representative (AR) regime. While HMT and the FCA both acknowledge that the AR regime serves an important function, there is concern that it is now being used for purposes well beyond those for which it was originally designed in 1986. The FCA has identified wide-ranging cross-sectoral evidence of detriment arising from the regime and is concerned about: inadequate due diligence before AR appointments; lack of control and oversight over ARs; regulatory hosting arrangements and...
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