- City of London
“Rather than a ‘tick-box’ approach to compliance with rules and guidance, the FCA’s threshold conditions and high level principles for businesses such as ‘treating customers fairly’ seek to put the interests of customers at the heart of every firm’s business. Having good consumer outcomes at every stage of the client journey is key. This includes: in advertising and financial promotions” Linda Woodall, FCA Director 2014 and although this may seem a while ago things haven’t changed.
How would you feel if one of your firms’ adverts appeared on the FCA’s website as one that had been banned for not being “clear, fair and not misleading”? This is just one of the actions the regulator can take if you get your advertisements wrong, irrespective of where they appear, including social media platforms.
The FCA’s Occasional paper no. 26 released in April 2017 highlighted the ways behavioral science can help spot a misleading advert, in this highly practical workshop we use this and other guidance from the regulator to help you consider your approach to advertising and marketing strategies. We’ll look at examples of what constitutes good and poor practice and leave delegates with an action plan of next steps.
Why getting your financial promotions right is essential?
Avoid costly mistakes
Ensuring that your firms adverts and promotions meet the regulatory requirements will result in avoiding wasted time and resources on campaigns that end up being removed by the regulator.
Form a better relationship with your clients
No one likes to feel they are being misled. Your clients are no different and the reputational damage after a misleading financial promotion can be huge.
Impress the regulators
Being able to produce effective promotions that are not deemed misleading by the regulator means that you are supporting the regulators aim of putting customers first.
Enjoy peace of mind
Get the extra comfort that comes with knowing all staff understand their responsibilities and what is acceptable during the creation of all future promotions.
The Course Agenda
Identify the different financial promotions within your business and who does what? i.e. how do the Three Lines of Defence work in your firm during the production of financial promotions?
The legal framework, and the regulator’s objectives and powers.
- What is a financial promotion and what other communications are in scope?
- The main statutory requirements and exemptions
- Powers of the regulator including new Financial Services and Markets Act requirements
Categorising financial promotions and other in-scope communications
- Categorising financial promotions and other communications i.e. image advertising and other marketing activities
- Relevance to business model, clients types, distribution channels and communication channels
- Syndicate exercise to recognise financial promotion types and their relevance
Essential sourcebook requirements applied to categories of financial promotion and communication
- Matching firms’ marketing items to sourcebook categories of financial promotion and communication
- Applying the key regulatory requirements to the different categories for mortgages, loans, credit cards and insurance
- Syndicate exercise – judging fair, clear and not misleading using real examples
Latest developments in regulatory approach
- How different media and advertising channels differ, i.e. website, social media
- Exercise to spot fin proms in different media
- Examples of enforcement cases
- Fair, clear and not misleading
- Prominence and stand-alone compliance
- Other hot topics and guidance from regulator
The key risks and how to manage them
- Internal controls the regulator expects to see
- Developing controls using links between compliance and other functions, including marketing and product development
- Effective internal approval processes
- Record keeping
Summary & Close
- Review of session objectives
- Review of key learning points
Meet The Tutor
Stephen is a former Head of Education for HSBC covering the UK and Europe, responsible for regulatory and financial crime related compliance learning. His time at HSBC was during intense scrutiny from regulators and government functions during the bank’s Deferred Prosecution Agreement.
With other roles ranging from advising customers within a high-street retail branch, to Senior Vice President responsible for Global Risk & Compliance training at a US-based bank, Stephen’s range of experience is adaptable to your business. He also worked in the Insurance Firms division at the Financial Conduct Authority (in the FSA days) where he was the divisional expert for the rules and outcomes required under the Training & Competence handbook. Stephen won the Thomson Reuters award for “Most Effective Compliance Training at a Regulated Firm” in 2010.
Stephen has worked with retail, commercial, wholesale and private banking channels. While enjoying the design and delivery of training to an audience either live or virtually.
Who is this course for?
This is an essential session for those in Compliance roles who are responsible for signing off the financial promotions for their firm. Those working in marketing and sales roles are often involved in the design and production of new campaigns, therefore it is crucial that they have a working understanding of what is acceptable and expected from the beginning. Finally, staff such as investment managers and financial planners will also provide financial promotions without necessarily noticing, through the occasional marketing of products and services to client banks.
Training that makes a difference
Experienced engaging trainers
With first hand industry knowledge and an intimate understanding of the regulatory environment, we always guide you with an expert (and friendly) hand.
Packed with relevant information
We know you’re busy, so we’re careful not to waste a minute of your time. Our training courses are fast paced, insightful and filled with valuable information.
Get personalised attention
Sessions are practical workshops not PowerPoint lectures. All courses are limited to no more than 14 attendees, so we’re able to explain concepts in the context of your business.