FSA Provides Feedback on Regulated Covered Bond Programmes
November 1, 2011
Following feedback from registered issuers on the interaction of their compliance function and the Regulated Covered Bond programmes, the FSA has provided further guidance on its expectations in this regard.
In particular, the FSA expects that second line oversight of regulated issuers should include practices such as ongoing monitoring, clearly defined escalation processes, and regular formalised interaction.
The FSA has also noted examples of good practice it has observed, for instance, where compliance is represented as a voting member on covered bond management committee.