The FCA has set out its supervisory strategy for operators in the alternative assets space in an open letter to the CEOs of alternative investment firms, according to a report by Investments & Pensions Europe.
The letter, written by the FCA’s head of asset management and pensions policy warns that the regulator’s priorities are in line with the its business plan commitment, with integrity of the markets and market abuse, ESG (Environmental, Social and Governance), and consumer needs, all mentioned.
Trote advises that firm’s “should ensure their actions and culture support and promote these initiatives”, and goes on to say that the FCA’s business plan also focuses on promoting competition and positive change, with a priority to strengthen the UK’s position in global wholesale markets and attract new capital.
Trote writes: ”Alternative firms have a vital role to play in achieving this. For the UK’s status to be retained its markets must remain clean, liquid, and orderly and there must also be a collective understanding that all participants act with integrity. Those who do not will be held to account.”
