Outsourcing: MiFID Firms

Description

This module covers the regulatory framework that MIFID firms need to consider when outsourcing activities intra-group or to third party service providers.The Central Bank is strongly focused on outsourcing due to its increasing prevalence across the financial services sector and its potential, if not effectively managed, to threaten the operational resilience of financial service providers.  This 4 part course covers the following:

Part 1: Where We Are

  • Identification and Classification

  • Central Bank Approach To Date

Part 2: Where We’re Going Section A: Proposed Central Bank Cross-Industry Guidance on Outsourcing

  • Governance

  • Outsourcing Risk Assessment & Management

  • Due Diligence

  • Contractual Arrangements and Service Level Agreements

Part 3 Where We’re Going Section B: Proposed Central Bank Cross-Industry Guidance on Outsourcing

  • Ongoing Monitoring and Challenge

  • Disaster Recovery and Business Continuity Management

  • Provision of Outsourcing Information to the Central Bank

Part 4 Consultation Paper 140: Cross Industry Guidance on Operational Resilience

Learning Objectives

Learners will attain an understanding of:

  • what constitutes and what does not constitute "Outsourcing";

  • classification of outsourcing arrangements as "critical or important";

  • Central Bank approach to date;

  • A summary of key aspects of Consultation Paper CP 138 and the Draft Cross-Industry Guidance on Outsourcing; and 

  • Examples of Central Bank and FCA sanction activity in the outsourcing sphere. 

Timing

The duration of this 4 part module is approximately 45 minutes. 

Time: 45 minutes

Randomised Assessment

Bespoke Optional