The FCA focuses on good customer outcomes and how a firm achieves this through staff conduct at all levels of the business. Conduct Risk and Treating Customers Fairly (TCF) are keystones of regulation.
Conduct Risk refers to the risks associated with the way in which a firm, and its staff, conduct themselves. While TCF is defined as paying due regard to customer interests.
Our Conduct Risk and TCF Course explains how to identify and manage Conduct Risk as well as the FCA's requirements for treating customers fairly.
Available as part of our FCA Compliance Library.
This course will prepare you to:
- The Financial Conduct Authority (FCA)
- The FCA's approach
- The FCA's objectives
- Exercise: What do you think?
- What is Conduct Risk?
- Conduct Risk issues
- Principle versus risk-based regulation
- The FCA's 11 Principles for Business
- How we manage 'Conduct Risk'
- Exercise: Risk effects
- Group 1 - Inherent Risks
- How do we deal with Inherent Risks?
- Group 2 - Structure & Behaviours
- How do we deal with Structural & Behavioural Risks?
- Group 3 - Environmental
- How do we deal with Environmental Risks?
- Exercise: Categorise the risks
- What does this mean in practice?
- The focus of Conduct Risk
- What does this mean for us in practice?
- You make the call: Is it expected of us by the FCA?
- Mitigating risks
- Exercise: Mitigating risks
- Measures against Conduct Risk
- The top-down approach
- Senior team responsibilities
- How do we achieve this?
- Scenario: Is this a good Conduct Risk culture?
- Executive & non-executive involvement
- Conduct Risk implications
- How do we demonstrate effective Corporate Governance?
- Systems & Controls
- Examples of Systems & Controls
- Demonstrating effective Systems & Controls
- Scenario: Conduct Risk mitigation
- Our own Systems & Controls
- Effective risk management
- Benefits of good business practice
- Conduct Risk versus Treating Customers Fairly
- The six customer outcomes
- What TCF does not mean
- Buyer beware or seller beware?
- Exercise: What is TCF?
- Strategic change
- Senior management commitment
- Product approval - firm responsibilities
- Questions at the Product Design stage
- Product Design evaluation
- Our Product Design & Governance
- Marketing & promotion
- Actions to mitigate Conduct Risk
- Our Disclosures, Terms & Conditions
- Exercise: Disclosures, Terms & Conditions
- We are all responsible
- Avoiding mis-selling
- How we sell
- Scenario: Effective Conduct Risk mitigation
- Dealing with mistakes
- After-sales service & transaction handling
- Complaints handling
- Scenario: After-sales Conduct Risk mitigation
- Remuneration & rewards
- Product providers, intermediaries & third-parties
- TCF enforcement
Approximately 75 minutes followed by a 10-question assessment.
Suitable for all staff - examples and interactivities designed for staff at all levels. No previous knowledge or experience is required.
SHARD-compliant, responsive display on all devices, accessibility on screen readers, visual design controlled via client style sheet.
Ability to offer optional test-out, whereby users can choose to skip the course content and complete the learning assignment by simply passing the assessment
All Windows, Mac OSX, iOS, Android (Flash-free for mobile compatibility). AICC and SCORM 1.2-compliant, suitable for both hosted and deployed SCORM or AICC.
Fully customisable on Skillcast Portal CMS.
Pre-translated versions not available, but all text content can be exported for translation into all languages.
Based on UK legislation, but suitable for global audiences upon the removal of UK-specific references and translation as necessary.