Compliance monitoring helps you understand the risks in your business. Done well, it can help you pinpoint weaknesses in controls and provide comfort that you’re meeting your regulatory obligations. But all too often it fails to deliver.
Is your compliance monitoring up to scratch?
The answer is probably ‘no’ if you’re not sure of the answer to these questions:
- Is compliance–monitoring considered important in your firm?
- Is it an integral part of your planning and resourcing?
- Is it aligned to your risks?
- Are the right people conducting your compliance monitoring?
- Do you know who your compliance monitoring stakeholders are and understand their needs?
- How do you currently evidence the “Reasonable Steps” needed for Senior Managers & Certification Regime (SMCR)?
- Conduct Risk Assessment
We can help
Our clients ask us to help with every area of compliance. We can review your existing framework, work with you to build an effective monitoring plan from scratch, or undertake provide independent challenge and assurance. At LS Consultancy, we offer a complete solution with a range of cost effective, regulatory compliance and can assist your company improve its ability to meet current regulations.
Putting together a bespoke compliance monitoring framework
When we look at a compliance monitoring framework we get into the detail. We look at each sourcebook of the Financial Conduct Authority (FCA) Handbook, chapter by chapter, against your regulatory permission to identify all applicable rules. For each rule we have a high-level test and, where appropriate, a compliance ‘deep dive’ test. We can then work with you to develop a bespoke compliance monitoring programme (CMP) which is relevant and proportionate to your business.
Creating a compliance monitoring plan
If you’re newly authorised, you will have submitted a template CMP but that is only the start. We can help you create and digitise your first CMP – tailored specifically to your activities.
If your plan is no longer fit for purpose we can put together a new one
Reviewing your compliance monitoring programme
We can assess whether your current programme is up to scratch. We can look at the whole framework and suggest improvements, for example how you test compliance against particular rules. Or we can review your control framework against particular areas, for example senior management arrangements, or best execution. With the SMCR, it is more important than ever to make sure you understand, identify and mitigate your risks.
Our ongoing service
The responsibility for compliance monitoring is yours – but we can make it easier. Once we’ve designed a compliance monitoring programme for you we can carry out regular checks and flag any issues, giving you comfort you’ve got it covered. We follow these five steps.
- Assessment– Getting to understand the scope of what you do and your key risk areas.
- Planning– Designing a tailored annual compliance monitoring schedule, taking a risk-based approach.
- Testing– Carrying out periodic compliance monitoring visits prioritising high risk areas – however often you need.
- Reporting– Rating your compliance with each area of your framework and setting out gaps which need attention
- Remediating– Advising you on how to reduce your risk and working with you fix problems.
How can we help firms?
The Compliance workload shows no signs of decreasing. An ever-growing list of requirements and regulatory changes makes the compliance role harder than ever.
When you face business or regulatory challenges, we provide solutions that are tailor-made to your needs with a view to releasing your energies to focus on your clients.