ABOUT THE SENIOR MANAGERS AND CERTIFICATION REGIME 

The Senior Managers and Certification Regime (SMCR) replaces the Approved Persons Regime in the United Kingdom (UK). According to the UK's Financial Conduct Authority (FCA), the SMCR aims to reduce harm to consumers and strengthen market integrity by making individuals more accountable for their conduct and competence.

In order to achieve these objectives the SMCR seeks to encourage a culture of staff at all levels taking personal responsibility for their actions, and making sure that firms and staff clearly understand and can demonstrate where responsibility lies. The key features of the SMCR are:

(1) the Senior Managers Regime;

(2) the Certification Regime; and

(3) the Conduct Rules.  

In order to tailor the framework to reflect different risks, impact and complexity of firms, the FCA will categorise firms depending on size and function into:

(1) Core Firms;

(2) Enhanced Firms; and

(3) Limited Scope Firms.  

The SMCR was set to be extended to cover all other firms authorised under the Financial Services and Markets Act 2000 (FSMA) on 9th December 2019. Consequently, it is imperative that firms prepare for the new SMCR, as some firms may require highly extensive reviews, changes, and annual training, in order to become SMCR operationally compliant.

ABOUT THE TRAINING COURSE

The one-day (four sessions) SMCR Operational Compliance training course has been specifically designed to provide attendees with highly comprehensive training in all the most relevant aspects of the SMCR. With such extensive and potentially onerous requirements under the SMCR, the training course will provide attendees with all the knowledge and training they need to fully understand how the SMCR requirements will apply to themselves and their firms.

The first three sessions during the day provide extensive coverage of the Senior Managers Regime, the Certification Regime, and the Conduct Rules. The final session will then guide attendees through guidance provided by the FCA, how to undertake a firmwide SMCR Operational Gap Analysis and Impact Assessment and will also guide attendees through the intricacies of implementing SMCR operational compliance.

There is no doubt that the SMCR framework is complex, and firms need to ensure that they receive the most comprehensive training in this area in order to avoid regulatory fines, and to ensure that they are compliant in line with FCA requirements.