FG18/5: Guidance on financial crime systems and controls: insider dealing and market manipulation

Show FG18/5 (PDF)[2]

Summary of feedback received (PDF) [3]

In March 2018, we consulted on an update to the Financial Crime Guide[1] for firms in GC18/1[4] (PDF) and in response we have added a chapter on insider dealing and market manipulation. The chapter outlines observations of good and bad market practice around the requirement to detect, report and counter the risk of financial crime, as it relates to insider dealing and market manipulation.

We also consulted on a number of minor amendments to other parts of the Financial Crime Guide to reflect recent regulatory changes and make sure it remains up to date.

The Financial Crime Guide consolidates our guidance on financial crime and aims to enhance firms’ understanding of our expectations of systems and controls in this area. It gives practical help and information to firms of all sizes on actions they can take to counter the risk that they might be used to further financial crime.

We keep the Financial Crime Guide under periodic review to make sure that it accurately reflects our findings and covers emerging risks and concerns. It is designed to help firms adopt a more effective, risk-based and outcomes-focused approach to mitigating financial crime risk.

Who this applies to

This guidance will be of interest to firms who are subject to the financial crime rules in SYSC 6.1.1R and who also arrange or execute transactions in financial markets.