ISDA has responded to a consultation by the UK Financial Conduct Authority (FCA) to introduce a new mechanism to officially recognize industry written codes of conduct in unregulated markets and on the extension of FCA Principle 5 for Businesses (a firm must observe proper standards of market conduct) to cover unregulated activities.

ISDA welcomes  the FCA’s intent to encourage codes of conduct, but highlights several concerns with the recognition framework as proposed – for example, on the need to clarify the FCA approach to supervision and enforcement, as well as on the voluntary nature of codes of conduct.

Click on the PDF to read the full response.