London
10 March 2017
Reporter: Stephanie Palmer

FCA and JFSA in innovative partnership


Financial regulators in Japan and the UK have agreed on a cooperation framework to support financial technology companies in entering each market.

The UK Financial Conduct Authority (FCA) and the Financial Services Agency of Japan (JFSA) exchanged letters outlining a regulatory referral system for innovator businesses.

Japanese businesses will be referred by the JFSA to the FCA, and the latter will provide support in launching operations in the UK—and vice versa.

The scheme is intended to reduce regulatory uncertainty, and help cut time-to-market for fintech businesses.

The two regulators will also share information on financial services innovation in their respective markets, in order to reduce barriers to entry and further encourage innovation in both countries.

Shunsuke Shirakawa, vice commissioner for international affairs at the JFSA, said: “This is our first case in creating a pro-fintech cooperation framework with any other countries.”

“The UK is one of the world-leading fintech countries, generating £6.6 billion in revenue. We believe that this exchange of letters strengthens the relationship between the JFSA and the FCA and promotes innovation in our respective markets.”

The agreement follows a similar partnership between the FCA and the Ontario Securities Commission, announced in February, which saw the two regulators agree to support fintech start-ups entering each market.

Christopher Woolard, executive director of strategy and competition at the FCA, said: “We are committed to encouraging innovation that has the potential to be of benefit to consumers using financial services here in the UK.”

“Today’s exchange of letters with the JFSA will help break down barriers to entry both in Japan and in the UK for firms with interesting new business services and products."

More technology news
The latest news from Asset Servicing Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
InvestCloud builds on digital platform
17 November 2017 | Los Angeles | Reporter: Stephanie Palmer
Financial technology provider InvestCloud has added a new portfolio management tool to its digital platform
Citi pilots new platform for proxy voting
14 November 2017 | London | Reporter: Jenna Lomax
The platform, which is supported by Computershare, will be initially rolled out in the UK for the 2018 proxy season
WTW’s AMX chooses InvestCloud to boost asset management platform
07 November 2017 | London | Reporter: Stephanie Palmer
InvestCloud has been selected by Willis Towers Watson’s Asset Management Exchange to provide a digital interface to connect asset owners and management
R3 and SIA push for blockchain ecosystem
07 November 2017 | London | Reporter: Theo Andrew
The partnership will aim to speed up the global development of blockchain through SIAnet’s network of 600 nodes, provided to financial institutions, corporates and public administrations
BNP Paribas goes live on ASX corporate actions service
03 November 2017 | Sydney | Reporter: Stephanie Palmer
The new service offers straight-through delivery of corporate actions announcements, getting information to clients within seconds of the announcements being made
Lombard Risk provides regtech solution to OneSavings
01 November 2017 | London | Reporter: Jenna Lomax
The introduction of the programme at OneSavings Bank will help to streamline regulatory reporting, data management and analytics, according to Lombard Risk
DTCC enhances its European GTR for SFTR
25 October 2017 | New York | Reporter: Jenna Lomax
The new bolstered SFTR offering will be a significant addition to the existing reporting capabilities, affecting 45 regulators around the world who have access to GTR data
More technology news