WELCOME
…to the 13th edition of House, and its been a really interesting couple of months that have seen some notable regional as well as global moves across the regulatory spectrum. The scandals in the motor industry continue as Mitsubishi announced they are dealing with similar problems to Volkswagen, who are currently facing a lawsuit of $48 Billion USD from the US government. Multi-nationals globally are examining their compliance functions and hiring ethics and compliance professionals as a result.
Globalisation of regulatory talent
With regulatory pressures coming from different angles and multiple jurisdictions, a number of recent moves have reflected the importance of a diverse and global team. Deutsche Bank has completed an overhaul of its global compliance and AML department, hiring Pamela Root from Citigroup in New York and Peter Hazlewood from HSBC in London, to be based in London and Frankfurt respectively. Hazlewood also spent time in Asia with HSBC and DBS and New York with JP Morgan.
Private equity is on the regulator’s radar…
In just a few years, private equity funds have transformed from a business model driven solely by performance considerations into organisations dealing with regulatory, investor and management reporting requirements.
Have they delivered? On the whole yes, however there are still challenges to be met. As institutional investors and the SEC make a stronger push for increased transparency on fee structures, as well as the launch of the Common Reporting Standard by the Organisation of Economic Co-Operation and Development, a greater strain will be placed on PE firms and their compliance functions.
Panama Papers!
We couldn't finish this month’s House without a mention of the Panama Papers, perhaps the most significant leak of information this century. Law firms and investigation specialists have been contacting us recently reporting an upsurge in business and a desire for more investigations staff.