Standards and qualities expected of compliance staff
| DOI | https://doi.org/10.1108/eb024905 |
| Published date | 01 January 1997 |
| Pages | 59-61 |
| Date | 01 January 1997 |
| Author | Gordon McMurray |
| Subject Matter | Accounting & finance |
Journal of Financial Regulation and Compliance Volume 5 Number 1
Standards and qualities expected off compliance
staff
Gordon McMurray
Received: 23rd October, 1996
Murray Johnstone Ltd, 7 West Nile Street, Glasgow, G1 2PX; tel: 0141 226
3131,
fax: 0141 248 5420.
Gordon McMurray is currently Group Compli-
ance Officer at Murray Johnstone In Glasgow,
with some 19 years in financial services work
with specific experience in settlements,
back-
office systems implementation, project manage-
ment, banking and compliance. He is a Director
of the Securities Institute and President of its
Scottish Regional Committee; a Director of
NRS
Regulatory Services Limited; a tutor in invest-
ment subjects for the Chartered Institute of
Bankers in Scotland; having previously served
as a Director of Murray Johnstone Personal
Asset Management Limited. He is a frequent
contributor to publications and is the author of
'Compliance & Derivatives' a CBT training
package. Professionally qualified as a Member
of the Securities Institute and a Member of the
Chartered Institute of Bankers in Scotland, he
has an active interest in developing training
solutions of a practical nature for the financial
services arena.
ABSTRACT
This paper sets out to examine, on an elemen-
tal basis, the key standards and qualities
expected of compliance staff and the difficulties
that breakdown in the compliance systems can
cause. It is aimed at both seasoned campaigners
and new starts alike. If it prompts thought it
has achieved its goal.
WHAT IS MOST IMPORTANT?
In essence there are four key components
affecting any compliance officer or compliance
system, irrespective of the level of ability of
the staff or quality of the organisation. The
key elements are four of the SIB's ten Princi-
ples governing:
— integrity
— skill, care and diligence
— internal organisation; and
— relations with regulators.
Failure to observe any of these will, without
doubt, ensure that a regulator takes a serious
look at the health, and very probably at the
wealth of the company, to establish the impact
of shortcomings in achieving compliance with
regulatory standards. It is therefore crucial, in
all dealings with regulatory matters that, as an
absolute minimum, the compliance officer
starts by satisfying the four key components
mentioned above.
WHAT NEXT?
Having determined that you are well able to
meet the expectations of the regulators, what
key areas of the business should be targeted to
establish minimum levels of competence?
More than likely these would be:
— sourcing of clients
— mechanisms for providing clients with
advice or dealing on their behalf in a
discretionary capacity
— systems for. ensuring that salespeople are
not operating in an uncontrolled or
maverick fashion
— recruitment systems to ensure that, at the
very least, the staff coming to work for the
Journal of Financial Regulation
and Compliance, Vol. 5, No. 1,
1997,
pp.
59-61
© Henry Stewart Publications,
1358-1988
Page 59
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