Financial Services Regulation Essay Example | Topics and Well Written Essays - 1250 words

fiscal Services Regulation - Essay ExampleIn the context of the United Kingdom, the spherical financial crisis that occurred between 2007 and 2009 exposed significant failings in the corporate brass instrument of banks. Narain et al. (2012) stated that as a result, the United Kingdom government introduced various reforms of which the in style(p) was the enactment of the financial Services Act on 19th December, 2012. This new act created new regulatory frameworks for the financial service industry and it subsequently abolished the Financial Services Authority. The two key regulatory frameworks that were created by this new act include the Prudential Regulation Authority and the Financial Conduct Authority (Cunningham et al. 2012). This guinea pig seeks to discuss the features of the Prudential Regulatory Authority and the Financial Conduct Authority, Approved soulfulness Regime. The discussion will further cover the extent to which the reforms associated with the Approved Perso n Regime will possibly solve some of the significant failings that were noted in corporate governance of UKs banks in the past global financial crisis. ... In the past financial crisis, Bakker et al. (2012) stated that the significant failings that were noted on the banks corporate governance were mainly attributed to poor risk management strategies as salubrious as inappropriate ethics and culture of the banks board of governance. Cunningham et al. (2012) on their part added that the failure of corporate governance was attributed to the failure in the attitude, behavior, and in certain fate the competence of the members of the board of governance. Therefore, this means that in order to prevent future failure of banks that can equally result to the collapse of the financial sector, it is important for organisations to trim an appropriate culture that is focused on delivering long-term obligations that are of benefit to the society. In this regard, Abiad et al. (2008) noted that t he right organisational cultures are mainly rooted underneath honest frameworks that are strong and use principles in individual decision making rather than a rational criteria. Stringent re-enforcement is required to ensure that the members of the corporate governance act along the set principles, which will deter them from violating any ethical standard. The re-enforcements come in the form of regulatory authorities such as the Financial Conduct Authority and the Prudential Regulatory Authority. Features of the Financial Conduct Authority Approved Person Regime According to Cunningham et al. (2012), the Financial Conduct Authority was complete with the main mandate of regulating financial firms that are in the business of providing financial services to people residing within the UK. Consequently, this means that the regulatory body is tasked