Caleb Hawkins, head of our compliance and legal desks, speaks to the Director of Compliance & Regulatory Change for EMEA & APAC for a Multinational Bank.
Throughout this ‘Compliance During Covid-19’ series, Caleb interviews a number of compliance professionals and experts around the market to get their insight around the compliance market during Covid-19.
In episode 2, we hear from the Director of Compliance & Regulatory Change for EMEA & APAC for a Multinational Bank.
The fixed income markets stabilised after the initial two weeks of unprecedented volatility.
Ongoing processes stopped until further notice, whilst offers extended generally didn't fall through. The unprecedented economical challenge, a general dislike for remote interviews and the inability of setting a date for the first day/onboarding in the office are the key reasons for the temporary freeze.
SFTR has been postponed from 11 April to 13 July, which might not be sufficient for many firms. The FCA has repeatedly indicated that the standards should not be relaxed even if firms and clients have to adapt to working from home. LIBOR transition to SONIA is one of the key items on the regulatory agenda, however at this stage firms have been told that only the interim milestones may change.
There might be delays, but no change of topics – the focus will be pretty much on the MiFID review and Brexit (UK on-shored regulation).
Roles should still be there if the lockdown does not last until the end of the third quarter. Firms have rules around when headcounts can be used, but if there is a critical business need it is likely that the headcount can be reopened as soon as available and provided the market overall has recovered.