United States

US banks may soon be able to “SAFEly” serve customers in the cannabis business

On September 25, 2019, the US House of Representatives passed the Secure and Fair Enforcement Banking Act of 2019 (or the SAFE Banking Act). The bill, H.R. 1595, which was first introduced by Congressman Ed Perlmutter on March 7, 2019, generally prohibits US banking regulators from penalizing banks for providing financial services to legitimate cannabis-related … Continue Reading

The European Commission and the UK Government agree the text of a new Brexit deal

By Simon Lovegrove (UK) and Matthew Gregory (UK) on October 17, 2019 Posted in Brexit, France, Germany, Italy, The Netherlands, United Kingdom, United States

On 17 October 2019, the European Commission reached an agreement at negotiator level with the UK on a revised Protocol on Ireland / Northern Ireland and a revised Political Declaration on the framework of the future EU-UK relationship. The revised Protocol is no longer an insurance policy that applies unless and until the EU and … Continue Reading

Three US Agencies issue joint statement on activities involving digital assets

By Kathleen Scott (US) on October 14, 2019 Posted in Brokers and Intermediaries, Commodities & Derivatives, Enforcement, General, Money laundering, Regulation and compliance, United States

On October 11, 2019, the Financial Crimes Enforcement Network (FinCEN), the US anti-money laundering (AML) agency, along with the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) (collectively, the “Agencies”) issued a joint statement on digital assets activities (“Statement”), reminding the businesses under their jurisdictions that digital assets activities may be … Continue Reading

Can cryptocurrency issuers get “backed” into a corner?

By Kathleen Scott (US) on October 14, 2019 Posted in Fintech, General, Regulation and compliance, United States

What do cryptocurrency issuers mean when they say their cryptocurrency is “backed” by some other asset, such as fiat currency? In a recent New York Law Journal column, Robert Schwinger, a partner in the New York office of Norton Rose Fulbright, discusses some of the legal issues arising from claims by cryptocurrency issuers that their … Continue Reading

First Data Access Agreement under the CLOUD Act signed by UK and US

By Susan Ross (US), David Kessler (US), Andrew Reeves (UK) and Lorenza Cocco (UK) on October 10, 2019 Posted in Enforcement, Investigations and enforcement, United Kingdom, United States

On 3 October 2019, the UK and US governments signed the first bilateral Data Access Agreement (the Agreement) under the US Clarifying Lawful Overseas Use of Data Act 2018 (CLOUD Act) and the UK Crime (Overseas Production Orders) Act 2019. The Agreement seeks to facilitate faster and more direct access by each country’s agencies in criminal … Continue Reading

SEC orders Block.one to pay $24 million penalty for unregistered ICO

By Andrew Lom (US) and Rachael Browndorf (US) on October 7, 2019 Posted in Enforcement, Fintech, General, Regulation and compliance, Securities, United States

On September 30, 2019, the Securities and Exchange Commission (“SEC”) announced a settlement with Block.one, a blockchain technology company with operations in Virginia and Hong Kong, for conducting an unregistered initial coin offering (“ICO”) that raised several billion dollars’ worth of Ether from June 2017 through June 2018. The SEC alleged that Block.one, a Cayman … Continue Reading

FINRA (and selected SEC) regulatory matters at a glance: What compliance officers need to know

By Glen Barrentine (US) on October 7, 2019 Posted in Regulation and compliance, United States

Glen Barrentine prepares a monthly update of FINRA and SEC regulatory matters of interest to broker-dealers.… Continue Reading

Updated briefing slides: Doing business in the EU

By Simon Lovegrove (UK) on October 3, 2019 Posted in Africa, Australia, Brexit, Canada, France, Germany, Italy, Regulation, Regulation and compliance, Regulation and compliance, Regulation and compliance, Regulation and compliance, Regulation and Compliance, Regulatory Compliance, The Netherlands, United Kingdom, United States

We have recently updated our briefing slides on the measures that Member States are implementing for a no-deal Brexit. In particular, the slides include a new section on Luxembourg and updates to the following jurisdictions: Germany, France, Italy, Poland, Finland and Spain. The briefing slides can be accessed here. Our Brexit Pathfinder hub is a … Continue Reading

New webinar recording – Brexit: the final countdown?

The recording from our latest 40 minute briefing webinar is now available. In this webinar our London team discuss what they are seeing in the market as firms make their preparations for a no deal Brexit. They also cover the PRA and FCA temporary transitional relief powers and ask the question of what legal and … Continue Reading

Recent Volcker Rule changes and non-US banks

By Kathleen Scott (US) on September 27, 2019 Posted in Asset management, Banking, Commodities & Derivatives, Dodd-Frank, General, Regulation and compliance, United States

The Volcker Rule prohibits “banking entities” (generally, insured banks and their affiliates, and non-US banks with US banking operations) from engaging in proprietary trading or sponsoring or investing in private equity funds. Regulations initially implementing the rule were adopted by the federal banking, commodities and securities regulators (Agencies) in 2014. In 2018, the Agencies proposed … Continue Reading

UK Supreme Court rules that the suspension of Parliament was unlawful

By Simon Lovegrove (UK) on September 24, 2019 Posted in Brexit, United Kingdom, United States

On 24 September 2019, the UK Supreme Court ruled that the Government’s suspension of Parliament was unlawful. The UK Supreme Court judgment can be found here. Key points in the judgment include: Paragraph 52: to the question of whether the Prime Minister’s advice to the Queen concerning the suspension of Parliament was lawful, the Supreme … Continue Reading

German regulator updates its guidance on the EU-US Covered Agreement

By Andreas Börner (DE) on September 20, 2019 Posted in Financial Services, Germany, Insurance, United States

The German regulator BaFin has updated its guidance on the conduct of reinsurance business by US insurers in Germany under the provisions of the 2017 EU-US Covered Agreement (“Bilateral Agreement between the European Union and the United States of America on prudential measures regarding insurance and reinsurance”). An English language version has also been published, … Continue Reading

FINRA (and selected SEC) regulatory matters at a glance: What compliance officers need to know

By Glen Barrentine (US) on September 5, 2019 Posted in Regulation and compliance, United States

Glen Barrentine is Of Counsel in the New York office of Norton Rose Fulbright. His practice focuses broadly on SEC regulated financial service clients, including broker-dealers, securities exchanges, municipal advisors and investment advisers. Glen frequency represents clients in connection with SEC and FINRA enforcement proceedings and other contentious regulatory inquiries, purchases and sales, and the … Continue Reading

Finalization of proposed changes to Volcker Rule begins

By Kathleen Scott (US) on August 30, 2019 Posted in Banking, Dodd-Frank, Enforcement, General, Regulation and compliance, United States

On August 20, 2019, the Federal Deposit Insurance Corporation (FDIC) and the Comptroller of the Currency (OCC) became the first two of the five agencies required to approve final amendments to the Volcker Rule that were proposed last year. Our blog post on the proposal may be accessed here. Highlights of the final rule include … Continue Reading

Cryptocurrency exchange intends to raise $130 Million through an IPO

By Andrew Lom (US) and Rachael Browndorf (US) on August 26, 2019 Posted in Fintech, General, Regulation and compliance, United States

On August 19, 2019, INX Limited (together with its affiliates, “INX”) filed a Form F-1 with the Securities and Exchange Commission (“SEC”) stating their intention to raise up to approximately $130 million through a registered initial public offering (“IPO”). If approved by the SEC, this would be the first security token sale registered with the … Continue Reading

United States imposes additional sanctions involving Russia and Venezuela

By Kathleen Scott (US) on August 16, 2019 Posted in Banking, Enforcement, General, Regulation and compliance, Uncategorized, United States

The US Government recently imposed additional economic sanctions with respect to Russia and Venezuela. Norton Rose Fulbright has prepared legal updates discussing these developments: US imposes second round of CBW Act sanctions on Russia, authored by Partners Stefan Reisinger and Steven McNabb, Senior Counsel Kimberly Caine, and Associate Wenda Tang in our Washington DC Office. … Continue Reading

FINRA (and selected SEC) regulatory matters at a glance: What compliance officers need to know

By Glen Barrentine (US) on August 14, 2019 Posted in Regulation and compliance, Uncategorized, United States

Glen Barrentine, who recently joined as Of Counsel in the New York Office of Norton Rose Fulbright, has extensive experience in regulatory, compliance and enforcement issues affecting financial service companies, particularly broker-dealers, investment advisers, municipal advisors, and securities exchanges. He prepares a monthly update on FINRA (and selected SEC) regulatory matters at a glance, focusing … Continue Reading

US bank regulators extend Volcker Rule no-action position for certain non-US funds

By Kathleen Scott (US) on July 22, 2019 Posted in Banking, Dodd-Frank, Enforcement, General, Regulation and compliance, United States

On July 17, 2019, the time period for a no-action position with respect to enforcement action under the Volcker Rule for certain non-US funds was extended for two more years. On July 21, 2017, the Federal Reserve Board, Office of the Comptroller of the Currency, and Federal Deposit Insurance Corporation (the “US Banking Agencies”), issued … Continue Reading

Liability Rumblings Along the Blockchain

By Kathleen Scott (US) on July 19, 2019 Posted in Fintech, General, Regulation and compliance, United States

When parties conduct transactions via blockchain technology, they may find themselves in relationships to one another that the law has not yet had the opportunity to clearly define. In a recent New York Law Journal column, Robert Schwinger, a partner in the New York office of Norton Rose Fulbright, discusses how Courts, commentators, governmental officials, … Continue Reading

Latest issue of Global Asset Management Quarterly now available

By Kathleen Scott (US) on July 17, 2019 Posted in Asset management, Banking, Brokers and Intermediaries, General, Regulation and compliance, Retail, United States

Issue 12 of the Norton Rose Fulbright Global Asset Management Quarterly is now available. You can also register to automatically receive each issue as it is released. This publication highlights key developments that will be of interest to, and affect, our asset management clients, including market trends and developments in tax and buy-side regulation globally. … Continue Reading

New monthly securities regulatory publication now available

By Kathleen Scott (US) on July 17, 2019 Posted in Brokers and Intermediaries, General, Regulation and compliance, Retail, United States

US regulators finalize 2018 legislation-mandated Volcker Rule amendments

By Kathleen Scott (US) on July 15, 2019 Posted in Banking, Dodd-Frank, General, Regulation and compliance, United States

On July 9, 2019, the Office of the Comptroller of the Currency, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Securities and Exchange Commission, and the Commodity Futures Trading Commission (collectively, the Agencies), announced that it had finalized a February 2019 proposed rule to make two amendments to … Continue Reading

Global Asset Management Quarterly

The latest issue of Global Asset Management Quarterly is now available here. In this issue we cover: Sustainable finance is a trend set to stay Brexit: latest developments Luxemburg update Ireland update The proposed Australian corporate collective investment vehicle SFC raises disclosure requirements for Green or ESG funds Mutual recognition of funds: Netherland – Hong … Continue Reading

SEC and FINRA address digital asset custody issues

By Andrew Lom (US) and Rachael Browndorf (US) on July 11, 2019 Posted in Brokers and Intermediaries, Fintech, General, Regulation and compliance, United States

The unique manner in which digital asset securities are issued, held and transferred makes them inevitably prone to unique concerns compared to traditional securities. As expected, these concerns have triggered conversation among market participants regarding whether and how traditional federal securities laws apply to novel digital asset securities and transactions. On July 8, 2019, the … Continue Reading