Vanessa Le Leslé

Head of Regulatory Affairs, Asia-Pacific , J P Morgan Autres cours :

Danielle Tondenier

Head of Division, Group Internal Audit , Credit Agricole Group

Séverine Vadon-David

Trainer and certified coach, ACF, Paris

Ethique, normes professionnelles et conformité

Les objectifs du cours

Introduction course 

Part 1. Ethics and Professional Standards

The course’s objective is to understand the importance of ethics and professional standards when conducting business in the financial sector. It offers a pragmatic approach of ethics in finance, pointing out some of the recent issues that emerged since the financial crisis.
To begin, we analyse some of the recent codes of conduct issued by the finance industry as well as CFA Institute® Code of Ethics and Standards of Professional Conduct; we then turn to concrete issues such as rate-rigging, toxic assets or liabilities, product structuring, investor protection, as well as some of the recent regulation. Topics are covered through presentations in class, student presentations, exercises and case studies. Student presentations will be presented in class under a pre-set format; they count towards the participation grade. 

Part 2. Global Compliance

The main objective for this course is to give a global overview on the main Compliance concepts applied in a Corporate & Investment Bank, and to emphasize the latest developments in the regulatory environment. Present version: Main objectives are giving students a global overview on the main Compliance concepts applied in a Corporate & Investment Bank and emphasizing the latest trends in regulatory environment.

Plan du cours

Introduction Course: Regulation today - for a better understanding of Ethics and Compliance  (3h)

Part 1. Ethics and Professional Standards

Session 1-Definitions of ethics & standards. Ethical decision making 

Session 2- What do Codes of Ethics and Codes of conducts tell us? 

Session 3- FX and Libor rate-rigging & other Benchmarks 

Session 4- Toxic Assets and Liabilities 

Session 5- Investor Protection, why does it matter? 

Session 6- Product Governance, why does it matter? 

Session 7- Market related issues 

Session 8- Dealing with Retail or Unsophisticated Investors 

Part 2. Global Compliance

I - Course Introduction : DEFINING INTERNAL CONTROL & COMPLIANCE

  • Why compliance and controls?
  • Compliance : trying to find a definition
  • Defining Internal control
  • Risk mapping methodology

II - Financial Security

  • The European 3rd and 4th Directives : a major impact for banks
  • Focus on international sanctions and OFAC

III - Conduct Risk

III.1 - Market abuse

  • Market manipulation
  • Insider trading
  • Privileged vs confidential information
  • Market abuse prevention rules
  • From MAD1 to MAD2
  • Personal account dealing

III.2 - Reinforcing transparency : focus on the MIFID2 regulation

  • Why and How : MIFID 1
  • From MIFID 1 to MIFID 2

III.3 - Fight against corruption and fraud

  • Fight against corruption (includes new Loi Sapin 2)
  • fraud prevention

Bibliographie

CFA Institute® Code of Ethics and Standards of Professional Conduct.
CFA Institute® Standards of Practice Handbook, 2014 edition.
Lewis, M.,The Big Short, 2011. 
Lewis, M., Flash Boys, 2014.
O’ Malley, C., The Story of the Eurobond Markets (ch. 10-11), 2015.
 

Third AML Directive 2005/60/EC replaced by Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing
Markets in Financial Instruments Directive 2004/39/EC (called MIFID 1) and Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments called MIFID 2
Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives (MAD /MAR 1) replaced by Directive 2014/57/EU (MAD2) on criminal sanctions for market abuse and Regulation No 596/2014 on market abuse (MAR 2)

Examen

Participation and final exam