Author: AxiomHQ – axiomhq.com

Whilst it is not the regulator’s objective to prevent firms from failing, where a firm does fail, the aim is to manage this in an orderly manner.  Hence the basic capital resources requirement for all regulated firms.

The regulator aims to avoid disorderly failure, thereby minimising harm to the public and the UK financial system.  The Client Assets (CASS) sourcebook contains rules to protect client assets and client monies.  In this way, CASS supports the regulator to meet its objectives.

Today, CASS continues to be high on the regulatory agenda.  During the COVID pandemic, whilst offices were empty, regulatory supervision didn’t come to a standstill. The FCA issued various reminders to CASS firms with the emphasis upon firms continuing to protect client assets.

Click here to read further about leveraging CASS audits to enhance oversight.