This is the tenth edition of EAMR and the beginning of a new decade. In January 2020, we predicted that it would be a busy year on the regulatory front and would herald a challenging decade, with new legislation to implement or under development, and heightened supervisory expectations and scrutiny. That prediction is now set against the most challenging economic and operational backdrop in living memory.
The asset management industry is being called upon to support the recovery. Regulators are seeking to encourage growth and are demanding that firms take greater care of their customers. Broadly, regulatory agendas have not changed, only relative priorities and perspectives. All parties need to embrace the evolving new reality, including an increasingly digital society, changes to working practices, demands for sustainable finance and greater awareness of global interconnectedness.
Key questions for CEOs
- Are we reviewing all aspects of our liquidity management framework and enhancing our stress testing scenarios?
- Are we reviewing our organization's financial, operational and commercial resilience? Are we identifying what lessons need to be learnt and how we will evidence to regulators that we have learnt them?
- Does our duty of care take first place across our organization: at all levels, in all our activities and in all our business decisions?
- Are we challenging ourselves on the value we provide for our investors and whether our disclosures are transparent and meaningful?
- Are we preparing for the move to risk-free rates?
- Have we developed a robust ESG strategy? How are we implementing it in practice?
- Are we identifying and taking advantage of new product and market opportunities?
- Are we well-placed to navigate rising and falling borders, and the opportunities and challenges they will bring?
