Jean worked at a financial intermediary. He intervenes on oil markets. In this context, it often has access to confidential information about the Outlook or position of listed companies. One day there wind rumours according to which one of them would increase the value of its action. Later in the day, a friend calls him telling him that rumors are circulating about this company and think buying a large amount of titles. He asks his opinion. What should be his attitude ""Say nothing", in assumption is the consultant who presented this case at training on compliance and integrity. Several reasons for this. Jean belongs to a financial institution forced to have a code of ethics and rules of procedure which incorporates the requirements of the authority of des marchés financiers (AMF). But these texts impose him a duty of reserve. Moreover, as bargaining on markets, he holds a business issued by the employer card and subject to a particular audit. Not matter for him to get out of nails, especially since Eve the head of compliance of the investment services (RCSI). This champion of morality is the control of financial institutions. He earned his stripes with the crisis, and, since then, its power has continued to grow. Back on the rise.
Far is the time of the award to papa where stakeholders exchanged pipes behind the scenes of the Palais Brongniart. Everything was then based on trust. Today, relations are standardized, framed. An analyst can speak with the teams in charge of the introductions on the stock exchange without the agreement of his leadership. Each transaction is checked before and after on the market. A mutual funds must comply with ratios of risk, dispersion or right-of-way. Everything is "checké."
Such safe outbidding started after the crash of 1987, with the increasing electronic transactions and the collapse of stockbroking companies trapped in accounting for the titles of their clients. The sophistication of financial instruments has amplified it. The actions and obligations came to add contracts to term, "swaps", derivatives of derivatives... Innovations disperse the risk that they will remove it. Finally, this safe obsession became evil necessary to restore confidence in markets very abused at the beginning of the Millennium. The collapse of the dot-com bubble and the stock market that this phenomenon has caused, scandals that hit listed firms, investment banks and management companies, finally the murderous attacks of the World Trade Center highlighted the faults of a more complex and global financial system. The regulatory flood that followed was the logical answer to the neglect. The risk has become the enemy, his control a bulwark.
Develop procedures
In 2002, the Sarbanes-Oxley in the United States act increases repression of accounting fraud. Europe is not at rest. It aims to create a single financial market. It modernized and harmonized national regulations. Multiply instructions: market abuse, transparency, money laundering, financial and market of financial instruments (MIF) communication. Backdrop, the safety of depositors and markets is the main concern. As if this were not enough, the France promotes, in 2003, the financial security Act. This catch-all text covers both analysis financial canvassing, rating agencies as insurance, the Auditors management companies. Most importantly, it gives rise to the AMF, merger of the Commission of the operations of scholarship (COB) and of the Council of financial markets (CMF). Add a more binding international banking regulation, which has focused on operational risk through the work of Basel II.
In this context, the function of head of compliance, in the sense of "consistent with the texts", from the concept anglo-saxon "compliance officer", is established. Last year, the Banking Commission has integrated it into its regulations dating back to 1997. Then, it has sought to harmonize it with the texts of the MFA, which oversaw already, since 1999, the profession of RCSI. Now, the "C" wants more say "control", but "compliance". And the two authorities have guardianship. Recently, the Constable of the stock market has transposed this model to the world of financial management. The texts are out; the function of head of compliance and internal control (RCCI) will come to the re-entry.
Jean-Philippe Ory, RCSI in Oddo & Cie, "the head of compliance is a supervitaminé compliance". In small structures, it control compliance with the procedure, provides regulatory watch, the fight against money laundering, manages business cards, prevents the risk of business markets and conflicts of interest and improves the organization. A non-exhaustive list of tasks. In large houses, the load is distributed between internal audit, compliance, risk management and operational risk management. "By nature, the function is not fully automated or automatable", regrets Didier Banéat, internal controller of DWS Investments in France, the Deutsche Bank Corporation. If we stick only to compliance, the head must pass regulations in the practices of his house. To do this, he developed a procedure with the service concerned by the new provisions. And this in full transparency. "We're going out to employees to develop procedures with them and convince them of the correctness of our approach," he describes.
Jean worked at a financial intermediary. He intervenes on oil markets. In this context, it often has access to confidential information about the Outlook or position of listed companies. One day there wind rumours according to which one of them would increase the value of its action. Later in the day, a friend calls him telling him that rumors are circulating about this company and think buying a large amount of titles. He asks his opinion. What should be his attitude ""Say nothing", in assumption is the consultant who presented this case at training on compliance and integrity. Several reasons for this. Jean belongs to a financial institution forced to have a code of ethics and rules of procedure which incorporates the requirements of the authority of des marchés financiers (AMF). But these texts impose him a duty of reserve. Moreover, as bargaining on markets, he holds a business issued by the employer card and subject to a particular audit. Not matter for him to get out of nails, especially since Eve the head of compliance of the investment services (RCSI). This champion of morality is the control of financial institutions. He earned his stripes with the crisis, and, since then, its power has continued to grow. Back on the rise.
Far is the time of the award to papa where stakeholders exchanged pipes behind the scenes of the Palais Brongniart. Everything was then based on trust. Today, relations are standardized, framed. An analyst can speak with the teams in charge of the introductions on the stock exchange without the agreement of his leadership. Each transaction is checked before and after on the market. A mutual funds must comply with ratios of risk, dispersion or right-of-way. Everything is "checké."
Such safe outbidding started after the crash of 1987, with the increasing electronic transactions and the collapse of stockbroking companies trapped in accounting for the titles of their clients. The sophistication of financial instruments has amplified it. The actions and obligations came to add contracts to term, "swaps", derivatives of derivatives... Innovations disperse the risk that they will remove it. Finally, this safe obsession became evil necessary to restore confidence in markets very abused at the beginning of the Millennium. The collapse of the dot-com bubble and the stock market that this phenomenon has caused, scandals that hit listed firms, investment banks and management companies, finally the murderous attacks of the World Trade Center highlighted the faults of a more complex and global financial system. The regulatory flood that followed was the logical answer to the neglect. The risk has become the enemy, his control a bulwark.
Develop procedures
In 2002, the Sarbanes-Oxley in the United States act increases repression of accounting fraud. Europe is not at rest. It aims to create a single financial market. It modernized and harmonized national regulations. Multiply instructions: market abuse, transparency, money laundering, financial and market of financial instruments (MIF) communication. Backdrop, the safety of depositors and markets is the main concern. As if this were not enough, the France promotes, in 2003, the financial security Act. This catch-all text covers both analysis financial canvassing, rating agencies as insurance, the Auditors management companies. Most importantly, it gives rise to the AMF, merger of the Commission of the operations of scholarship (COB) and of the Council of financial markets (CMF). Add a more binding international banking regulation, which has focused on operational risk through the work of Basel II.
In this context, the function of head of compliance, in the sense of "consistent with the texts", from the concept anglo-saxon "compliance officer", is established. Last year, the Banking Commission has integrated it into its regulations dating back to 1997. Then, it has sought to harmonize it with the texts of the MFA, which oversaw already, since 1999, the profession of RCSI. Now, the "C" wants more say "control", but "compliance". And the two authorities have guardianship. Recently, the Constable of the stock market has transposed this model to the world of financial management. The texts are out; the function of head of compliance and internal control (RCCI) will come to the re-entry.
Jean-Philippe Ory, RCSI in Oddo & Cie, "the head of compliance is a supervitaminé compliance". In small structures, it control compliance with the procedure, provides regulatory watch, the fight against money laundering, manages business cards, prevents the risk of business markets and conflicts of interest and improves the organization. A non-exhaustive list of tasks. In large houses, the load is distributed between internal audit, compliance, risk management and operational risk management. "By nature, the function is not fully automated or automatable", regrets Didier Banéat, internal controller of DWS Investments in France, the Deutsche Bank Corporation. If we stick only to compliance, the head must pass regulations in the practices of his house. To do this, he developed a procedure with the service concerned by the new provisions. And this in full transparency. "We're going out to employees to develop procedures with them and convince them of the correctness of our approach," he describes.
Nevertheless these developments are so far slow very slow400 departures less than expected in 20092010The relatives of Martine Aubry fulminentThe Japan represents 3 of global CO2 emissionsThe head of State is still most of the ads7 an increase which includes a catchup from 1From all sides triumph of the ambiguitiesBut these policies do not constitute a policyThe record which drags since almost a year is on the right track1 of the capital that he will have to convince
