This eLearning course provides comprehensive training on the identification and management of conflicts of interest within financial services firms. Conflicts of interest are an inherent risk in financial services, where firms and individuals may find themselves in situations where their own interests, or the interests of one client, conflict with the interests of another client. The FCA requires firms to identify, manage, and where necessary disclose such conflicts.
The course begins by defining what constitutes a conflict of interest and explores the various types that can arise in financial services, including conflicts between the firm and its clients, between different clients, and between employees' personal interests and their professional duties. The training covers the FCA's specific requirements around conflicts, including the obligation to maintain a conflicts policy, the requirement to manage conflicts fairly, and when disclosure alone is not sufficient.
Practical guidance is provided on how to identify potential conflicts at both the firm and individual level, the importance of maintaining a conflicts register, and the procedures for escalating and managing conflicts when they are identified. The course uses scenario-based examples to illustrate common conflict situations and the appropriate responses, covering areas such as personal account dealing, receipt of gifts and entertainment, and outside business interests.
By the end of the course, learners will be able to identify potential conflicts of interest, understand their firm's obligations under FCA rules, and apply the correct procedures for managing and disclosing conflicts. The training supports firms in maintaining robust conflicts management arrangements and protecting the interests of their clients.
