Vedder Thinking | News Sam Tyfield Comments on Linking Market Abuse to Conduct in Complinet Article
22 February 2019
London Finance & Transactions Partner Sam Tyfield was recently quoted in Complinet on the UK Financial Conduct Authority (FCA) broadening its ability to take enforcement action on market abuse, making it harder for firms to escape FCA action.
Mr. Tyfield noted, "Market abuse has now been linked inextricably with conduct and the SMCR. As the concept of conduct is so much broader than merely: 'do I abuse the market?' On the Five Conduct Questions, there can be no answer acceptable to the FCA which says: 'We do enough to make sure we comply with the law and our systems are calibrated to stop as much abusive and manipulative activity as possible.”
Mr. Tyfield believes the FCA has “decided that a) a fundamental root-and-branch focus on conduct is the trick to preventing abuse/manipulation and b) is inescapably moving towards the position that ‘conduct which falls short’ equals ‘abuse/manipulation’.” Luckily, the concept of conduct includes a deeper and broader range of policies, systems and controls across back, middle and front offices and the message that insider dealing and market manipulation is unacceptable has been received by most firms’ staff.
To read Mr. Tyfield’s comments and the article in full, please click here.
+44 (0)20 3667 2940