INDUSTRY OUTLOOK detect , evaluate and , when it affects the management company , analyse them . In my opinion , it ’ s not enough to know the rules . In a highly specialised industry that encompasses asset procurement , transaction settlement , custody , valuation and accounting , you need to be familiar with procedures , accounting entries and IRR calculations .
In your years of experience , what has changed the most ?
My first experience with the regulation of collective investment schemes was in 1993 . Last century ! In my Masters thesis for a specialisation in Community Law , I analysed the transposition of the 1985 Directive into Spanish law ( through a Royal Decree in 1990 ). Back then , all you needed to do was read the Spanish Official Gazette ( BOE ). Very few regulations were issued by the Spanish National Securities and Exchange Commission ( CNMV ). Now , we have to deal with the EU Official Journal , ESMA criteria and taxonomies , and the proposals of the asset management industry employers ’ associations .
Increased regulation is always one of the most frequently mentioned risks for asset management . How has this heightened regulation affected your day-to-day operations ? In which areas is it growing the most ?
It ’ s obvious that regulation is necessary . I would be shooting myself in the foot if I said otherwise . But we have to find a balance , and , in my view , we have long since exceeded that limit . I can understand why each lobby group looks after its own interests . But lately I ’ ve seen an acceleration in this process of hyper-regulation , which seems more like a headlong rush . A very clear example – again , in my view – is the European Retail Investment Strategy ( RIS ) that the
European Commission launched last year . We ’ ve been joking about MiFID III for years , but RIS is a departure from its core principles . It throws out the window the work done by the sector in recent years . Fortunately , it ’ s only a proposal .
Protecting consumers is key . How does compliance work to ensure that ?
The SGIIC ’ s Internal Control Circular states that handling customer complaints falls under the responsibility of Regulatory Compliance . At MAPFRE , this is centralised . The regulation on rules of conduct with customers is detailed and consistent , precisely due to the application of MiFID II . Compliance is responsible for overseeing the procedures used to ensure these standards are effective . Just as we at MAPFRE AM specialise in asset management , our colleagues in MAPFRE Inversión Compliance ensure good practices when customers invest in a fund . www . intelligentfin . tech
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