FSA to reward good 'principles' practise

According to a Focusing on the outcomes that matter report published today by the Financial Services Authority, which looks at the implications of shifting from rules-based to principles-based regulation, firms which take on greater responsibility for how they meet regulatory obligations and engage positively with the FSA can expect to see “a difference in how [officials] behave towards them”. More specifically, the FSA says it will “give greater recognition to firms’ own management and controls and this will be reflected in areas such as capital requirements and supervisory intensity” if...