Preparation of Senior Staff for Regulatory Approval
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Preparation of Senior Staff for Regulatory Approval

Representative Engagements

Regulators expect firms to perform due diligence in assessing candidates for significant influence functions and equivalent senior management roles in the financial services sector.

 

Regulators will subject candidates to rigorous interviews, and not all will pass. The U.K.’s Prudential Regulation Authority and Financial Conduct Authority have publicly stated that a meaningful percentage of candidates will be found not to be competent, while the regulators will approve another significant proportion of candidates, but with restrictions. Preparation ahead of regulatory-approval interviews is critical to ensure candidates are able to demonstrate competence along with an awareness of their development needs. 

Promontory has extensive experience and success in preparing board-level (up to and including chairpersons) and senior management candidates for approved-persons interviews. Drawing on our experience as former senior regulators — including the administration of similar interviews in multiple jurisdictions — we use our extensive knowledge of regulatory practice to provide constructive feedback to individuals, including guidance on identifying and addressing shortcomings. 

Promontory can assist firms and individuals in a range of ways in advance of approval interviews. In addition to conducting practice interviews and associated feedback, we prepare and/or comment on gap analyses and development plans and source and deliver specific briefings for candidates.

 

Representative Engagements

  • Several major UK financial institutions have retained Promontory to provide assistance for all members of their boards and executives who may be called for an FSA new hire or role change approval interview. The support includes: a review of FSA expectations of Approved Persons, a practice interview, feedback from the interview as to style and areas for further development, and the assessment or design of induction programs.  These clients derived significant value to their companies and individuals regardless of whether the individual was called for interview by the FSA. 
  • An established corporation, entering the financial services industry for the first time, asked for Promontory’s assistance in preparing its Board and executive team members for potential FSA interviews.  We were retained to interview each new appointment, providing feedback, and most importantly to the client, input on induction programs and group skills.  
  • One of our existing clients was reassigning an existing executive to a new role. When initially interviewed by the FSA, approval was given subject to an intensive education program and re-interview. Promontory worked with the client to develop the education program, deliver components, identify providers for other components, and hold a practice interview complete with feedback.