Investment Banking Licensing Support Solutions | Pre-licensing Assessment | Investment Banking Licence Application Management | Post-licensing Risk and Compliance Management

We offer a comprehensive set of solutions to help you obtain and maintain an investment banking licence, tailored to:

• Your business goals and objectives
• Your client demographics
• Your countries of operation
• The size of your business
• The available human and technology resources
• Your risk appetite
• Your governance structure
• The products that you offer
• Regulated investment bankers' obligations covering risk and compliance management under financial laws and regulations, the applicable financial licensing requirements, AML/CFT laws, privacy laws, consumer protection laws, and more

We have designed our regulatory licensing solutions to help you navigate the complexities of the investment banking licensing regime in a commercially oriented and goal-focused manner, providing effective support for all stages of the investment bankers’ licensing process, including but not limited to the following aspects:

• Investment Banking Licence Guidance: Advising on a wide range of aspects associated with the investment banking licence as it relates to your specific situation
• Pre-licensing assessment: Covering compliance gap analysis as well as risk and compliance assessment
• Pre-licensing support:
• Drafting the necessary policies and procedures to help you comply with the investment banking licence conditions and financial markets' regulations
• Developing internal controls to help you meet your obligations under the investment banking licensing regime
• Investment Banking Licence Application Support: Covering the entire licensing process
• Post-licensing Support: Covering
• Ongoing compliance advice
• Comprehensive second-line risk and compliance support, including leading the implementation of your risk management framework (RMF), compliance management framework (CMF), compliance monitoring program (CMP), compliance calendar and checklist, ongoing risk assessments, internal and external reporting, outsourced providers' management, and more
• AML/CFT advice
• AML/CFT compliance management
• Compliance assurance solutions, including compliance assurance program (CAP) development, implementation, and internal control testing

 

Jurisdictional Coverage of our Investment Banking Licence Solutions

We can help you apply for the investment banking licence or its equivalents in the following jurisdictions:

• IB Compliance in the United States: Where investment bankers are regulated by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) through broker-dealer registration under the Securities Exchange Act of 1934, with certain advisory activities also subject to the Investment Advisers Act of 1940.
• IB Compliance in the United Kingdom: Where the Financial Conduct Authority (FCA) regulates investment bankers under the Financial Services and Markets Act 2000 (FSMA) and the Markets in Financial Instruments Directive II (MiFID II) framework, with prudential oversight by the Prudential Regulation Authority (PRA) where applicable.
• IB Compliance in Australia: Where the Australian Securities and Investments Commission (ASIC) oversees investment bankers under the  Corporations Act 2001. through the Australian Financial Services Licence (AFSL) regime.
• IB Compliance in the European Union: Where investment bankers operate under the Markets in Financial Instruments Directive II (MiFID II) framework. Compliance with MiFID II involves meeting strict requirements on transparency, client protection, and conduct of business rules across EU member states.
• IB Compliance in Singapore: Where the Monetary Authority of Singapore (MAS) regulates investment bankers under the Securities and Futures Act (SFA) through the Capital Markets Services (CMS) Licence.
• IB Compliance in Hong Kong: Where the Securities and Futures Commission (SFC) regulates investment bankers under the Securities and Futures Ordinance (SFO) through the appropriate Type 1 (dealing), Type 4 (advising), and Type 6 (corporate finance) licences.
• IB Compliance in the Cayman Islands: Where investment bankers are regulated by the Cayman Islands Monetary Authority (CIMA) under the Securities Investment Business Law, supporting securities investment business and related structures.
• IB Compliance in the British Virgin Islands (BVI): Where investment bankers are regulated by the Financial Services Commission (FSC) under the Securities and Investment Business Act (SIBA), supporting securities business and offshore fund structures.
• IB Compliance in New Zealand: Where investment bankers are required to register on the Financial Service Providers (FSPs)  under the Financial Service Providers (Registration and Dispute Resolution) Act 2008, with wholesale investment banking activities subject to fair dealing provisions and supervision for market conduct.
• IB Compliance in Seychelles: Where investment bankers are regulated by the Financial Services Authority (FCA) under the Securities Act 2007 through the Securities Dealer Licence.
• IB Compliance in the Isle of Man: Where investment bankers are regulated by the Isle of Man Financial Services Authority (IOMFSA) under the Financial Services Act 2008.
• IB Compliance in Bermuda: Where investment bankers are regulated by the Bermuda Monetary Authority (BMA) under the Investment Business Act 2003, offering a well-established legal and regulatory framework.

 

Service Coverage

We offer comprehensive support for a wide range of investment banking licence applications tailored to meet the specific needs of the following businesses:

• Corporate Finance Advisory Firms
• Underwriting Firms
• Sales and Trading Institutions
• Asset Management Firms
• Private Equity and Venture Capital Firms
• Research and Analysis Firms
• Wealth Management Firms

You can find more information about our investment banking licence solutions below:

 

Investment Banking Licensing Preparation

Pre-licensing Compliance Assurance

Our investment banking licence solutions cover the following focus areas:

• Compliance Goals Analysis: We review your business-specific goals and resources against the suitability criteria for an investment banking licence
• Initial Consultation: We provide guidance on potential risk and compliance issues that may arise during the investment bankers’ licensing process
• Choosing the Right Jurisdiction: We assist in evaluating regulatory, risk, and compliance environments to determine the most suitable jurisdictions for your investment banking licence, tailored to suit your:

• business objectives,
• operational capacity,
• client base,
• markets of operations,
• and other relevant factors

• Gap Analysis: We identify gaps between your existing operations and regulatory requirements and help you align them in a commercially oriented manner
• Investment Banking Licence Application Plan: We help you establish a roadmap to effectively meet the investment banking licence requirements

 

 

Investment Banking Licence Guidance

Selecting the right compliance model is crucial not only for navigating the licensing process but also for maintaining ongoing compliance and avoiding potential breaches. Our investment bankers’ licensing solution covers:

• Compliance Model Selection: To help you best comply with the investment banking licensing regime and related risk and compliance obligations.
• Corporate Governance Model Selection: We offer practical guidance on establishing effective corporate governance practices that support your risk and compliance oversight.
• Operations Model Advisory: We advise you on optimising your operational and governance models to help you efficiently comply with the licensing requirements for investment banking providers and other applicable regulated investment bankers’ obligations, keeping in mind your specific circumstances, available resources and business goals.

 

Entering Investment Bankers’ Licensing Environment

We help businesses transition from an unregulated environment to operating under the investment banking licensing regime, helping them meet their obligations as an investment banking licence holder.

We also assist already regulated businesses in aligning their existing risk and compliance management structures with the investment banking licensing regime requirements.

Our focus areas for this service include:

• New businesses
• Existing investment banking businesses operating in unregulated markets
• Regulated investment bankers expanding into foreign jurisdictions
• Financial institutions and/or service providers with established risk and compliance frameworks seeking to offer regulated investment banking services as a new product.

 

Multi-Jurisdictional Compliance

With years of experience managing risk and compliance obligations for businesses operating under multiple financial licences across various jurisdictions, we help businesses remain compliant with regulated investment bankers’ obligations globally.

 

Investment Banking Licence and Wholesale Markets

Getting an investment banking licence may not always be the best fit for all. For example, a retail market expansion may not always align with your goals or the products you offer.

Operating in the wholesale environment can sometimes be a more suitable option. We offer a wider range of risk and compliance management solutions to assist investment bankers that:

• Operate in the wholesale markets
• Operate under exemptions from the investment banking licensing regime
• Operate under an investment banking licence limited to sophisticated, eligible, and wholesale investors

 

We help these businesses comply with the regulatory compliance obligations that still apply despite the absence of the investment banking licensing regime or apply under the wholesale-only licensing framework, including:

• Advertisement Rules
• Fair Dealing Regulations
• Risk Management
• Outsourced Providers' Oversight
• Restrictions on offering services to retail investors (an integral part of the investment banking licensing regime)
• Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) laws and regulations
• Data Management Laws and Regulations

 

 

 Investment Banking Licence Application

We assist with your licence application through ongoing engagement in the investment bankers’ licensing process:

• Document Compilation and Review: We compile and review all required supporting documents to support your investment banking licence application.
• Application Form Completion: We help you complete the forms so that all material information is accurate and complete.
• Pre-Submission Review: We can arrange a pre-submission review session with key stakeholders to ensure all parts of your application are understood and agreed upon. This session aligns application details with the actual situation, removing ambiguity.
• Investment Bankers' Licensing Process and Regulatory Liaison: We manage the end-to-end submission process, maintaining clear and effective communication channels throughout the licensing process.
• Timeline Management: We closely monitor and adhere to all necessary deadlines, providing timely updates and adjustments to keep the application process on track.

 

Resolving Investment Banking Licence Issues

Having competent compliance advisors is crucial when licensing issues arise. Therefore, our investment banking licence solutions include a range of services to address and resolve these issues effectively:

• Remediation Solutions for Investment Banking Licence Applicants: We address and remediate risk and compliance issues identified by regulators, helping your operations align with investment banking licensing regime requirements.
• Specific Licence Conditions Compliance: We can help you manage additional conditions imposed on your investment banking licence, developing a tailored action plan to maintain compliance and facilitate the eventual removal of these conditions with minimal disruption to your business operations.

• Licensing Issues Handling: We address common licensing issues encountered during the investment bankers’ licensing process, providing you with solutions to navigate and resolve these challenges efficiently.
• Further Information: You can visit our Compliance Remediation Solutions page for more information.

 

Post-Licensing Support

We offer a full range of ongoing risk and compliance solutions for licensed investment bankers. Our services include but are not limited to:

Ongoing Risk and Regulatory Compliance

• Regulated Investment Bankers’ Obligations Guidance: We can advise your risk, compliance, management and other teams on meeting the requirements of the investment banking licensing regime and other regulatory compliance obligations. You can visit our Compliance Advisory page for more information.
• Regulatory Risk and Compliance Management: We provide dedicated compliance managers to manage your overall compliance. For more information, visit our Specialised Compliance Management Solutions page for Investment Bankers.
• Compliance Assurance Solutions: As part of our compliance assurance solutions, we offer:
• Compliance Assurance Program (CAP) development and testing options
• Internal Controls Design option
• Internal Controls Testing option
• Internal AML/CFT Review option
• Statutory AML/CFT Audit option
• Compliance Training Solutions: We offer training programs to different teams on complying with:
• Regulated investment bankers’ obligations for risk and regulatory compliance management. You can visit our Compliance Training page for more information.
• Investment Bankers’ AML/CFT obligations and operational best practices for fraud prevention. You can visit our AML/CFT Training page for more information.
• Crisis Management Planning: We can develop proactive strategies to manage potential compliance crises effectively.
• Anti-Money Laundering (AML) and Counter Terrorist Financing Solutions: We provide a full range of AML/CFT solutions for investment bankers. For more information, visit our Specialised AML/CFT Solutions page for Investment Bankers.
• Advanced Compliance Technologies: We can assist you with selecting and integrating advanced technology solutions, such as compliance automation tools and regulatory technology (RegTech), to streamline compliance processes without disrupting operations.
• Risk and Compliance Framework Adjustments: Including adjustments to risk management frameworks (RMFs), compliance monitoring programs (CMPs), compliance management frameworks (CMFs), and other core procedures and policies to align them with:
• new business goals
• regulatory changes
• changes in your operations
• evolving market conditions
• changes in stakeholders’ risk appetites (your banking partners, insurance companies, liquidity providers, etc.).

 

 

Risk and Compliance Obligations for Investment Banking Licence Holders

Investment Banking licence holders are subject to various obligations set out in applicable laws and regulations. They are also expected to uphold standards for their conduct and internal operations, as outlined in regulatory guidance or accepted industry practices.

We can help you address these obligations and expectations through comprehensive support across various areas. The list below is not exhaustive:

Investment Banking Licence and Regulatory Compliance Obligations

• Compliance Management Systems: We can help you establish effective compliance programs, compliance monitoring plans, controls testing methodologies, compliance calendars and more.
• Risk Management Frameworks: We can help you develop comprehensive risk management frameworks to fulfil regulated investment bankers’ obligations for identifying, assessing, and mitigating operational, regulatory, strategic, financial and other types of risks.
• Policy and Procedure Development: We can help you draft and implement policies and procedures aligned with the investment bankers’ licensing requirements.
• Compliance Monitoring Plans: We can oversee the execution of your CMPs, covering ongoing monitoring of your compliance obligations under the investment banking licensing regime.
• Internal Control Testing and Compliance Assurance: We can conduct internal reviews and audits of your controls to test their effectiveness and compliance with the applicable regulatory standards.
• Financial Auditing Standards: We can assist in establishing procedures to help you comply with the audit and assurance requirements under the investment banking licensing regime.
• Digital Payment Token Services: Where applicable, we can assist in developing controls to comply with regulations for digital payment tokens, cryptocurrencies, and digital assets, including obligations under the investment banking licensing regime and AML/CFT requirements for transaction monitoring and reporting.
• Conflicts of Interest Management: We can help you establish and maintain robust conflict management controls to address risks arising from underwriting, advisory, research, and trading activities.
• Insider Trading and MNPI Controls: We can help you design controls to manage material non-public information, including insider lists, deal team restrictions, and information handling protocols.

 

Investment Banking Licence and Operational Oversight Obligations

• Oversight of Outsourcing: We can establish a set of effective controls to comply with investment bankers’ licensing obligations for overseeing outsourced services, covering related obligations under AML/CFT compliance, ISO requirements, and more.
• Structures for Governance: We can help you establish effective governance structures to comply with regulated investment bankers’ obligations and develop an effective approach to overseeing your risk exposure and compliance status across different functions of your business.
• Senior Management Accountability: We can help you comply with regulated investment bankers’ obligations for senior management and key staff conduct and competence.
• Maintaining Operational Resilience: We assist in developing continuity plans to meet regulated investment bankers’ obligations for operational resilience, helping critical business services withstand disruptions.
• Managing Technology Risks: We provide guidance on technology risk management obligations under the investment banking licensing regime.
• Information Barriers: We can help you implement effective information barriers to separate advisory, research, and trading functions and reduce the risk of misuse of confidential information.
• Trade Surveillance: We can assist you in developing surveillance frameworks to detect potential market abuse, insider trading, and other trading irregularities.

 

Investment Banking Licence and Market Integrity/Transparency Requirements

• Standards for Conduct and Disclosure: We can help you comply with investment bankers’ licensing standards for conduct and disclosure.
• Resolution of Disputes: We can help you establish effective mechanisms for dispute resolution and complaints management.
• Underwriting and Disclosure Standards: We can help you comply with obligations around prospectus preparation, offering documents, and disclosure requirements for equity and debt securities.
• Research Independence: We can help you implement frameworks to manage research conflicts, safeguard analyst independence, and comply with disclosure obligations for investment research.
• Market Abuse Prevention: We can help you establish monitoring and compliance measures to prevent market manipulation and comply with market abuse regulations across jurisdictions.

 

Investment Banking Licence and Resource Management Obligations

We can help you comply with the following requirements of the investment banking licensing regime:

• Adequacy of Resources: Covering financial, technological, human and other resources.
• Competence of Professionals: Covering key personnel, their necessary skills, knowledge, and professional competence.
• Our focus areas include:

• Assessment and Gap Analysis: We can help you evaluate the adequacy of your financial, technological, and human resources against the requirements of the licensing regime.
• Resource Allocation Plans: We can help you develop strategies to optimise resource allocation, covering sufficient capacity for compliance, trading, operations, banking, customer support and other functions and departments.
• Technological Solutions: We can recommend and implement RegTech tools to streamline compliance processes, such as transaction monitoring, reporting, and audit trails.
• Key Personnel Assessment: We can help you assess the skills, qualifications, and experience of key personnel to identify areas for improvement.
• Training and Development Programs: We can design and deliver targeted compliance training programs to upskill personnel in compliance, risk management, and investment banking regulations.
• Compliance Monitoring: We can help develop controls to monitor representatives' adherence to conduct and disclosure obligations.
• Ongoing Training: We can help you create a framework to support continuous education for advisors and representatives on licensing obligations, market integrity, and client interaction standards.
• Regulator Liaison: We can act as an intermediary with regulators to address queries and help you demonstrate compliance with resourcing obligations.

 

 

Investment Banking Licence and Reporting

• Regulatory Reporting: We can help you prepare and submit periodic and ad-hoc reports covering:
  • Investment Bankers’ licensing obligations
  • Investment Bankers’ AML/CFT obligations (SMRs, STRs, SARs, cross-border transaction reports, cash transaction reports, and other reporting obligations)
  • Regulated Investment Bankers’ obligations under financial market conduct laws and regulations
• Compliance Documentation: We can help you develop and maintain the necessary documentation to meet record-keeping obligations under various laws and regulations.
• Audit Readiness: We can prepare you for audits and reviews to demonstrate compliance with regulatory requirements, provisions of the investment banking licensing regime, applicable operational standards, and more.