Which regulators are leading on consumer protection and conduct enforcement?

The FCA leads globally on consumer conduct enforcement through the Consumer Duty framework introduced in 2023. ASIC has intensified consumer protection enforcement since Australia's 2019 Royal Commission. The SEC pursues investor protection through fraud and disclosure cases. SEBI and MAS have expanded retail investor protection programmes, while EU regulators enforce MiFID II suitability and product governance requirements.

Which regulators issue the most fines by volume versus by total value?

By volume, the OCC leads globally with over 5,500 enforcement actions, followed by the SEC (1,700+), CVM (557+), and SEBI (408+). By total penalty value, the SEC and CFTC dominate with individual fines exceeding $1 billion, followed by the FCA (£4.9 billion since 2013). High-volume regulators like the OCC issue many non-monetary actions, while high-value regulators concentrate on fewer, larger penalties.

Board Guide: Senior Manager Accountability Across 10 Regulators

Individual accountability for senior managers is the fastest-growing area of global financial enforcement. The UK's SM&CR model is being adopted or adapted by regulators worldwide, creating personal enforcement risk for executives of international financial groups.

The Global Accountability Landscape

UK: SM&CR (FCA/PRA)

The Senior Managers and Certification Regime establishes the most comprehensive individual accountability framework globally. Senior managers must take reasonable steps to prevent regulatory breaches in their areas, with the burden of proof sitting with the regulator.

Australia: BEAR/FAR (ASIC/APRA)

The Financial Accountability Regime, building on BEAR, creates enforceable accountability obligations for directors and senior executives of banking, insurance, and superannuation entities.

Hong Kong: Manager-in-Charge (HKMA/SFC)

Hong Kong's Manager-in-Charge regime identifies individuals responsible for core functions, creating clear accountability lines for enforcement purposes.

Singapore: Individual Accountability (MAS)

MAS Guidelines on Individual Accountability and Conduct establish expectations without formal legislation, relying on supervisory guidance and enforcement precedent.

Ireland: SEAR (CBI)

The Senior Executive Accountability Regime is Ireland's adaptation of SM&CR principles, creating individual accountability obligations for CBI-regulated firms.

Board Questions

Which jurisdictions' accountability regimes apply to our senior managers?
Do our Statements of Responsibilities accurately reflect how the business actually operates?
Can each senior manager demonstrate reasonable steps to prevent regulatory breaches?
How do we ensure consistent accountability standards across jurisdictions?

Practical Implications

For boards of international groups, managing multiple accountability regimes requires careful mapping of responsibilities, consistent documentation standards, and regular assessment of compliance with each jurisdiction's requirements.