Update for Industry on follow-up consultation on investment business regime

In November we issued a follow-up consultation on the investment business regime. In the consultation we asked for feedback on proposed legislation changes.

Since the consultation closed in February, we have been working with Industry on the proposals. The principles are well agreed, and the work has been concentrated on getting the technicalities right to minimise the risk of any unintended consequences.

The Investment Business Client Assets Order and the “Arranging” proposals are currently with the law drafting office. They are working on incorporating the appropriate recommendations from both the feedback received to our consultation, and further engagement. We anticipate working with the law drafting office and then engaging again with industry to find the optimal, effective and practical end solutions.

The “Derivative” proposals outlined in the consultation will be implemented in-line with the Consultation Paper. These will be rolled out once the other legislative changes are ready, to facilitate the easiest transition for Industry.

Regarding the Investment Business Client Assets Order changes, we would like to invite any local businesses that engage in securities lending of their Clients’ Assets to contact us if they are able to assist us in the review of the latest proposal.