Andrew Bailey warns of 'hubris risk' in firms' culture

Culture is 'of the utmost importance to financial regulators'

Carmen Reichman
clock • 3 min read

Incoming Financial Conduct Authority (FCA) chief executive Andrew Bailey has warned firms to be mindful of the "risk of blinding overconfidence".

In a speech given at the City Week 2016 Conference in London, Bailey (pictured) said management who were too self-confident and ran their businesses without ever challenging the direction of travel, risked creating bad outcomes. He said culture at firms was, and would remain, of the "utmost importance" to financial regulators as it had a major influence on the outcomes that mattered to them. "My assessment of recent history is that there has not been a case of a major prudential or conduct failing in a firm which did not have among its root causes a failure of culture as manifested in...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

Law, not likes: Cracking down on social media financial promotions

Law, not likes: Cracking down on social media financial promotions

‘Every individual social post or communication must comply with the rules’

Sarah Wylie and Owen McLennan
clock 28 October 2024 • 4 min read
How Labour can support investment management vibrancy

How Labour can support investment management vibrancy

The formation of a new government – now just over 100 days’ old – has brightened the spotlight on UK financial services regulation, writes IIMI CEO Dani Hristova

Dani Hristova
clock 28 October 2024 • 4 min read
Number of non-financial misconduct reports in the City spikes in three years

Number of non-financial misconduct reports in the City spikes in three years

FCA reveals survey results

Cristian Angeloni
clock 25 October 2024 • 4 min read