The prudential framework is a complex combination of European Directives and Regulations, rules and guidance from the Financial Conduct Authority (FCA) and technical standards issued by the European authorities.
Navigating and understanding the myriad sources of information can be an onerous and complicated task for many firms and distract from the running of their core business. Wheelhouse Advisors has a dedicated team which brings a strong prudential knowledge base and can provide guidance.
Our team has extensive experience in the prudential space and an excellent track record of providing pragmatic and efficient solutions. We pride ourselves on being both knowledge leaders and experts in the field allowing us to cut through the regulations and deliver commercial solutions.
The IFPR will affect all MiFID investment firms, replacing old frameworks like ‘Exempt-CAD’, ‘BIPRU’ and ‘IFPRU’ in favour of better-suited purpose-built framework.
As well as categorisation, the changes are broad-ranging, covering capital resources and requirements, liquidity resources and requirements, group consolidation, governance, risk, remuneration, ICARA and disclosure. We work with you to deliver expert analysis of the impact and solutions to new and evolving requirements.
We can undertake a full impact assessment of the new prudential regime set to be implemented on 1st January 2022, giving you a clear picture of what needs to be done, and when, to be ready. More information
Under IFPR, all in-scope investment firms will be required to create an ICARA. This replaces the ICAAP for some and is a new undertaking for many. We offer support with the ICARA process.
We will provide you with access to prudential expertise that will help you identify, assess and document major sources of risks and quantify risk appetite. Our ICAAP and ICARA reporting services provide relief from time and effort spent on your report in house. More information
Fully-outsourced preparation/submission of reporting across all European jurisdictions.
Whether an EEA fund manager reporting to your national regulator or a non-EEA fund manager reporting to the regulator of each EEA country to which you are marketing your fund(s), the AIFMD transparency reporting (Annex IV) is a large burden.
Our regulatory reporting team works with you and your fund administrators to gather and expertly interrogate the fund data and produce the completed reports in user-friendly formats. We do not mandate the completion of a template and we provide commentary on our output to aid review, thereby minimising the incremental burden Annex IV places on you. More information
Understanding the evolving financial impact of the new regime on a forward-looking basis is as important as understanding the direct impact today.
As the FCA increases its focus on prudential regulation the onus is on firms to demonstrate the financial viability and prudential compliance over a forward-looking horizon.
Our experienced team works with you to produce financial projections helping you to foresee future capital and liquidity needs and ensuring a smooth application process with the regulator.
RegData/Gabriel reporting to FCA
Preparation/Submission of periodic reporting for any firm type.
For many FCA-regulated firms, reporting via RegData/GABRIEL is their principal touchpoint with the FCA, so it is imperative it is done correctly to avoid any unwanted regulatory scrutiny.
Our regulatory reporting team ensure that you are completing the right returns, provide expert advice on the more complex areas and underlying calculations, and assist in delivering timely and accurate reporting to the FCA.
Ongoing review of liquidity and capital adequacy and ad-hoc expert consulting to ensure embedded compliance with FCA rules.
Firms are required to maintain adequate financial resources at all times as a threshold condition of being regulated by the FCA. This means keeping on top of capital adequacy and liquidity at least monthly in a timely manner. It also means keeping an eye on the future for the impact of any known or reasonably foreseeable events and preventing any shortfalls ahead of time.
We work with you to conduct this analysis of year-to-date and forecasted information to ensure you keep on top of capital adequacy and liquidity, providing early warnings and practical advice when we believe action is necessary. This is particularly useful to firms whose internal or outsourced accounting function does not operate this on an embedded basis.
Detailed review of your compliance with prudential rules, guidance and best-practice.
With the FCA’s growing attention to prudential compliance in mind, we review firms’ regulatory reporting, capital adequacy, liquidity and ICAAP arrangements, comparing against the rules, relevant industry guidance and peer best-practice.
Our goal is to provide practical, pragmatic and proportionate advice on any enhancements to your processes, policies and other governance arrangements to help ensure their prudential compliance is the best it can be.
Fully-outsourced preparation/submission of quarterly Common Reporting.
COREP submissions are among the most complex of regulatory reports and many firms are required to report on capital adequacy and asset encumbrance under this framework, not least driven by the complex underlying rules but exacerbated by the need for specialist software.
Our regulatory reporting team provides expert advice on the complex underlying calculations and assists in delivering timely and accurate reporting to you. We use software on your behalf and submit COREP in the correct format via the FCA’s GABRIEL system.
FRR Reporting to Hong Kong SFC
Preparation/Submission of periodic reporting for any firm type.
For many SFC-regulated firms, FRR reporting is their principal touchpoint with the SFC, so it is imperative it is done correctly to avoid any unwanted regulatory scrutiny.
Our regulatory reporting team ensure that you are completing the right returns, provide expert advice on the more complex areas and underlying calculations, and assist in delivering timely and accurate reporting to the SFC.
Prudential advice & support
Ad-hoc assignments including reviews, consulting and forecasting.
With a multitude of sources of broad-ranging prudential rules, firms can experience difficulty with interpreting how they affect their business, both in general terms and on specific issues.
Our expert prudential consultants work with you to provide assistance with interpreting the rules in the FCA’s Handbook and specific advice on nuanced issues they face. We also conduct health-check reviews of firms’ prudential governance, infrastructure and compliance, providing targeted feedback and advice on where enhancements can be made.
Pillar III disclosure
Expert drafting of regulatory disclosures & hosting at www.pillar3.eu
Many firms are increasingly required to make public disclosures.
We provide a dependable, responsive and cost-effective solution with www.pillar3.eu – allowing you to host your disclosures on risk and capital adequacy, remuneration code, stewardship code and sustainable finance, meaning you need not maintain such disclosures in other locations such as your own website or statutory accounts.