2025-04-30
Added · Updated
The Financial Services Regulatory Authority proposes new Cyber Risk Rules requiring Authorised Persons and Recognised Bodies to establish and maintain a Cyber Risk Management Framework integrated within their overall risk management systems. Firms would be obligated to identify and assess cyber risks, implement appropriate governance and controls, and notify the regulator of material cyber incidents immediately, and no later than 24 hours after awareness. The proposals include amendments to the General Rulebook, Market Infrastructure Rulebook, and other rulebooks to align existing requirements, with a suggested implementation period of three months from the rules coming into force.
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Confidential
CONSULTATION PAPER
NO. 3 OF 2025
PROPOSED ENHANCEMENTS TO
CYBER RISK MANAGEMENT
30 April 2025
Consultation Paper No. 3 of 2025
Confidential
TABLE OF CONTENTS
Introduction ............................................................................................................................3
Background ............................................................................................................................5
Proposed Cyber Risk Rules...................................................................................................6
Conclusion..............................................................................................................................9
Annexes, appendices and attachments................................................................................9
Consultation Paper No. 3 of 2025
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Introduction
Why we are issuing this paper
Consultation Paper No. 3 of 2025
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How to provide comments
7. All comments should be made in writing and sent to the mail address or email address
specified below. If sending your comments by email, please use the consultation paper number in the subject line. If relevant, please identify the organisation you represent in providing your comments. The FSRA reserves the right to publish, including on its website, any comments you provide, unless you expressly request otherwise at the time of making any comments. Comments supported by reasoning and evidence will be given more weight by the FSRA. What happens next
8. The deadline for providing comments on this proposal is 11 June 2025. When we receive
your comments, we will consider whether any modifications are required to the proposed amendments described in this paper. The FSRA will then proceed to enact the proposed amendments. You should not act on the proposed amendments until the relevant regulations and rules are issued and we will publish a notice on our website when that happens. Comments to be addressed to:
Consultation Paper No. 3 of 2025
Abu Dhabi Global Market
ADGM Square
Al Maryah Island
PO Box 111999
Abu Dhabi, UAE
Email: fsra.consultation@adgm.com
Consultation Paper No. 3 of 2025
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Background
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Proposed Cyber Risk Rules
5. The proposed Cyber Risk Rules build upon the recently issued Guidance by providing
specific Rules for the management of cyber risks, as a natural step in the evolution of the FSRA’s regulatory framework in this area.
6. The proposed Cyber Risk Rules would primarily be captured by adding a new cyber risk
management section to Chapter 3 (Management, Systems and Controls) of the General Rulebook (“GEN”). An amendment would be made to the Market Infrastructure Rulebook (“MIR”) to bring Recognised Bodies within scope alongside Authorised Persons. Other consequential changes would be made to the Conduct of Business Rulebook (“COBS”), the Prudential – Insurance Business Rulebook (“PIN”), the Captive Insurance Business Rulebook (“CIB”), the Prudential – Investment, Insurance Intermediation and Baking Rulebook (“PRU”) and the Glossary Rulebook (“GLO”). Proposed Rulebook amendments
7. The proposed Cyber Risk Rules comprise the following.
a. New Rules added to Chapter 3 of GEN (Management, Systems and Controls) under the heading of Cyber Risk Management. The Rules would require firms to:
i. identify and assess their cyber risks;
ii. establish and maintain a Cyber Risk Management Framework (“CRMF”)
that appropriately addresses those risks;
iii. put in place appropriate governance and systems and controls as part of
the CRMF;
iv. undertake ongoing monitoring and reporting on the effectiveness of the
CRMF; and
v. manage and control cyber incidents, and notify material incidents to the
FSRA, covered in more detail in paragraph 8). b. An amendment to MIR, to bring Recognised Bodies within scope.
c. Minor amendments to COBS, PIN, CIB and PRU to align existing Rules or Guidance
with the proposed Cyber Risk Rules. d. New definitions being added to GLO.
8. The proposed Cyber Risk Rules require that a firm’s CRMF be integrated within its overall
risk management framework as established pursuant to GEN 3.3.4-3.3.6. Additionally, the proposed CRMF applies a risk-based approach that is commensurate to the nature,
Consultation Paper No. 3 of 2025
Confidential scale and complexity of the activities conducted by Authorised Persons and Recognised Bodies. Transitional arrangements
9. The proposed Cyber Risk Rules do not require more than the expectations set out in the
Guidelines issued in 2020. They do not extend to the adequacy of technology resources or operational resilience more generally and, as a result, the existing Rules and Guidance in that regard remain unaffected. Accordingly, the FSRA believes that it is appropriate to expect implementation by firms within three months of the Cyber Risk Rules coming into force. Question 1 Are there any specific aspects of the Cyber Risk Rules that are likely to present material challenges for firms? Question 2 Do you agree with the requirement for firms to establish and maintain a CRMF? Question 3 Do you agree with the CRMF being integrated within a firm’s overall risk management framework? Question 4 Do firms need three months to effect compliance with the Cyber Risk Rules, or is an implementation period unnecessary? Do firms need longer than three months, and if so, why? Notification of cyber incidents
10. The proposed Cyber Risk Rules include a requirement to notify material cyber incidents
to the FSRA immediately, and in any event no later than 24 hours after the firm becomes aware of an incident, notwithstanding weekends or public holidays. Guidance in the Cyber Risk Management Rules sets out what the FSRA will consider to be ‘material’. As GEN 8.10.6 already requires immediate reporting to the FSRA of material issues of this kind, an immediate notification requirement for significant cyber incidents will not create additional regulatory burden. Initial reporting will only need to cover preliminary information known at the time by the relevant firm. The FSRA considers that the 24-hour backstop to the immediate reporting requirement will:
Consultation Paper No. 3 of 2025
Confidential a. facilitate faster mitigation of the incident, in turn potentially reducing its scope and impact; b. support early coordination of resources by firms, potentially minimising potential contagion across systems and preventing (further) financial losses; and
c. enable reputational damage to be proactively addressed.
Question 5
Do you agree with the requirement to notify material cyber incidents to the FSRA immediately and in any event within 24 hours? Post-implementation steps
11. The FSRA plans to undertake a review of firms’ implementation of the Cyber Risk Rules.
This may take the form of a thematic review or similar, with a view to providing the FSRA with the necessary information to further enhance its supervisory approach in this area. In the longer term, and informed by the outcomes of that review, the FSRA is contemplating introducing an obligation on firms to file an annual return. This reflects the heightened national focus on cybersecurity referred to earlier in this paper and the FSRA’s preferred approach to cyber risk management prioritising risk mitigation, accountability, and transparency.
12. Publication of the Cyber Risk Rules will be followed by a program of awareness and
outreach led by the FSRA.
Question 6
Do you agree with the introduction of an annual Cyber Risk Management Return in due course? Question 7 Do you have any other comments on the proposals relating to cyber risk management as set out in this paper? Miscellaneous amendments
13. In addition to our proposals in relation to the Cyber Risk Rules, we are taking the
opportunity to correct some minor errors, omissions and typos in COBS, GEN and MIR. These have been integrated into the relevant Appendices to this paper. Question 8 Do you have any comments on the proposed miscellaneous amendments included in Appendices 2, 3 and 5?
Consultation Paper No. 3 of 2025
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Conclusion
14. The detailed, proposed legislative amendments to the relevant Rulebooks are included
in Appendices 1 to 7 to this paper. We believe that the proposed Cyber Risk Management Rules will align the FSRA with international best practices and ensure that we are clear that the management of cyber risk is a fundamental aspect of combatting financial crime. Annexes, appendices and attachments
15. The draft, proposed legislative amendments to the relevant FSRA Rulebooks are set out
as follows.
Appendix 1
Captive Insurance Business Rulebook (CIB)
*In this attachment underlining indicates new text and striking through indicates deleted text.
Appendix 1
…
2.4.2 Management of particular risks
Without prejudice to the generality of Rule 2.4.(1, a Captive Insurer must develop, implement and maintain a risk management system to identify and address risks, including but not limited to:
(a) reserving risk;
(b) investment risk (including risks associated with the use of Derivatives); (c) underwriting risk; (d) market risk; (e) liquidity management risk; (f) credit quality risk; (g) fraud and other fiduciary risks; (h) compliance risk; (i) outsourcing risk; (j) Cyber Risk; and (k) reinsurance risk. Reinsurance risk refers to risks associated with the Captive Insurer's use of reinsurance arrangements as Cedant. Guidance GEN 3.5 contains additional requirements that apply to Authorised Persons in relation to Cyber Risk management. …
Appendix 2
CONDUCT OF BUSINESS RULEBOOK (COBS)
*In this attachment underlining indicates new text and striking through indicates deleted text.
Appendix 2
14. CLIENT MONEY AND RELEVANT MONEY PROVISIONS
…
14.13.4 A pooling event under Rule 14.13.3(c) does not occur when the Authorised Person has
notified the Regulator in accordance with Rule 14.11.8 and, in the Authorised Person is taking steps, in consultation with the Regulator, to rectify those records and there are reasonable grounds to conclude that the records will be capable of reconciliation within a reasonable period. …
17.5 Technology Governance and Controls
…
Risk management
(e) A risk management plan containing a detailed analysis of likely risks with both high and low impact, as well as mitigation strategies. The risk management plan must cover, but is not limited to:
(i) operational risks;
(ii) technology risks, including ‘hacking’ related risks; (iii) market risk for each Accepted Virtual Asset; and (iv) risk of Financial Crime. Guidance GEN 3.5 contains additional requirements that apply to Authorised Persons in relation to Cyber Risk management. …
19.23 Risk mitigation and Reporting
Management of operational and security risks
19.23.1 (1) A Payment Service Provider must establish a framework with appropriate
mitigation measures and control mechanisms to manage the operational and security risks relating to the Payment Services it provides. (2) As part of that framework, the Payment Service Provider must establish and maintain effective incident management procedures, including for the detection and classification of major operational and security incidents.
Appendix 2
(3) A comprehensive assessment of operational and security risks must be undertaken by the Payment Service Provider relating to the Payment Services it provides, at least annually or more frequently if requested by the Regulator, and provided to the Regulator on request. (4) The assessment must address the adequacy of the mitigation measures and control mechanisms implemented in response to those risks in such form and manner, and contain such information, as the Regulator may direct. Guidance
Appendix 2
…
20.14 Reporting and Risk mitigation
Management of operational and security risks
20.14.1 (1) A Third Party Provider must establish a framework with appropriate mitigation
measures and control mechanisms to manage the operational and security risks relating to the Third Party Services it provides. (2) As part of that framework, the Third Party Provider must establish and maintain effective incident management procedures, including for the detection and classification of major operational and security incidents. (3) A comprehensive assessment of operational and security risks must be undertaken by the Third Party Provider relating to the Third Party Services it provides, at least annually or more frequently if requested by the Regulator, and provided to the Regulator on request. (4) The assessment must address the adequacy of the mitigation measures and control mechanisms implemented in response to those risks in such form and manner, and contain such information, as the Regulator may direct. Guidance
Appendix 2
Guidance
Appendix 3
GENERAL RULEBOOK (GEN)
*In this attachment underlining indicates new text and striking through indicates deleted text.
Appendix 3
…
3.3.32 (1) An Authorised Person must inform the Regulator about any material outsourcing
arrangements.
…
Guidance
Appendix 3
(a) include systems and controls which are appropriate to the nature, scale and complexity of the activities conducted by the Authorised Person; and (b) have clearly defined roles and responsibilities, including accountability for decision making during business-as-usual operations and stressed situations. (4) The systems and controls in Rule 3.5.1(3)(a) must include one or more systems for the purposes of:
(a) identifying and assessing Cyber Risk which enables the Authorised Person to implement the requirements in Rule 3.5.4; (b) protecting ICT Assets in accordance with Rules 3.5.5 to 3.5.13; (c) monitoring and testing the effectiveness of such systems and controls in accordance with Rule 3.5.14; and (d) managing Cyber Incidents which enables the Authorised Person to comply with the requirements in Rules 3.5.15 to 3.5.17. (5) An Authorised Person must review its Cyber Risk Management Framework to ensure that it remains appropriate, effective and up-to-date . (6) An Authorised Person must carry out the review required under (5) regularly, and at least annually. (7) An Authorised Person must integrate its Cyber Risk Management Framework within its overall risk management framework established under Rules 3.3.4 to 3.3.6. Guidance
Appendix 3
d. Center for Internet Security: Critical Security Controls (2024); e. Committee on Payments and Market Infrastructures and the International Organisation of Securities Commissions: Guidance on cyber resilience for financial market infrastructures (2016); f. Cloud Security Alliance: Cloud Controls Matrix and CAIQ (2024); g. Risk assessment methodology: NIST SP800-30: Guide for Conducting Risk Assessments (2012); and subsequent versions thereof.
2. The systems and controls referred to in Rule 3.5.1(4)(b) should enable an
Authorised Person to protect its ICT Assets in accordance with the requirements in Rules 3.5.5 to 3.5.14 in a way that minimises the likelihood and impact of a successful Cyber Incident on ICT Assets as identified under Rule 3.5.4(1). They should be commensurate with the outcome of the Cyber Risk assessment under Rule 3.5.4(2) and the Authorised Person’s Cyber Risk tolerance determined under Rule 3.5.3(2)(c).
3. An Authorised Person may need to apply additional controls, depending on its
nature, scale or complexity.
4. An Authorised Person may also rely on Group-wide policies on Cyber Risk when
developing its policies, procedures or controls.
5. An Authorised Person should tailor any standards or policies it chooses to adopt to
its needs. Not all elements of the standards or policies may be applicable. Additional policies, procedures and controls may be required to address idiosyncratic risks.
6. Systems and controls put in place pursuant to Rule 3.5.1 may include supporting
policies and procedures.
3.5.2 (1) An Authorised Person must manage Third-Party Cyber Risk as part of its Cyber Risk
Management Framework established under Rule 3.5.1. This must include:
(a) undertaking due diligence to ensure that where it chooses suitable thirdparty providers of ICT Services they comply with appropriate Cyber Risk standards; (b) ensuring that the terms of the contractual arrangements with a third-party provider of ICT Services require the third party to:
(i) comply with the Authorised Person’s Cyber Risk requirements;
Appendix 3
(ii) notify the Authorised Person about all Cyber Incidents that may affect the Authorised Person; (iii) work with the Authorised Person in remediating the impact of a Cyber Incident on the Authorised Person; (iv) allow the Authorised Person to verify that the third party continues to meet the Authorised Person’s Cyber Risk requirements; and (c) supervising effectively the provision of ICT Services by third parties. (2) An Authorised Person that relies on the provision of ICT Services by a third party remains fully responsible for compliance with, and the discharge of, all obligations under this Rule 3.5.2. Guidance
Appendix 3
Governance
3.5.3 (1) An Authorised Person must ensure that its Governing Body and senior management
are ultimately responsible for ensuring that its Cyber Risk Management Framework is implemented and followed and that Cyber Risk is managed effectively. (2) Without limiting the operation of (1), the responsibilities of an Authorised Person’s Governing Body and senior management in respect of Cyber Risk include:
(a) ensuring that Cyber Risk is adequately identified, assessed and managed in accordance with the Authorised Person’s Cyber Risk Management Framework; (b) establishing and maintaining a senior management structure for the management of Cyber Risk and for ensuring compliance with the Authorised Person’s Cyber Risk Management Framework; (c) defining the Authorised Person’s Cyber Risk tolerance, which must be in line with its business objectives, strategy and overall risk tolerance; and (d) ensuring that relevant personnel have the necessary expertise to manage Cyber Risk. Guidance
Appendix 3
(2) An Authorised Person must carry out an assessment of Cyber Risk associated with the assets identified in (1) regularly and no less than annually. (3) When carrying out the assessment in (2) an Authorised Person must:
(a) identify threats from Cyber Incidents, including cybercrimes; (b) assess the Cyber Risk resulting from those threats and the effectiveness of relevant controls, including the outcomes of ongoing monitoring and testing undertaken in accordance with Rule 3.5.14, to arrive at the residual Cyber Risk; (c) analyse and quantify the potential impact and consequences of the residual Cyber Risk on its overall business and operations. Guidance
Appendix 3
5. An Authorised Person should consider participating in industry forums relating to
Cyber Risk that provide an opportunity for intelligence sharing. Protection of ICT Assets against Cyber Incidents
3.5.5 An Authorised Person must use and maintain up-to-date anti-malware software and
ensure that regular updates are applied to its anti-malware signature files. Guidance The Regulator expects an Authorised Person to use anti-malware software to conduct regular automatic scanning of its ICT Assets, in particular servers and workstations, and to scan all files received over networks (including email attachments and files downloaded from websites) and files kept on storage media before use. The anti-malware software should be used to detect and block malware, potentially malicious links in emails and malicious websites.
3.5.6 (1) An Authorised Person must implement network security controls, including
appropriate network architectures, protocols and network security devices, to protect the perimeters of its Networks. (2) An Authorised Person must implement network security monitoring procedures to facilitate prompt detection of unauthorised or malicious activities. Guidance An Authorised Person should consider installing security devices at critical junctures in its Networks (e.g., firewalls, web application firewalls, intrusion detection and prevention systems, virtual private network gateways) to protect the perimeters of its Networks. The rules and configurations of the network security devices should be backed up and reviewed regularly to ensure they remain appropriate and relevant.
3.5.7 (1) An Authorised Person must ensure that access rights and permissions to its IT
Systems and Networks are properly managed.
(2) For the purposes of (1), an Authorised Person must:
(a) establish a user access management process for the approval of a user’s request for access or permission which ensures that:
(i) the user is only granted the minimum access or permissions needed to perform that user’s tasks or functions; and (ii) the user’s access and permissions are immediately revoked if the conditions for granting approval are no longer met.
Appendix 3
(b) perform regular reviews of users’ access rights and permissions to verify that they remain appropriate. Guidance
Appendix 3
(d) encryption techniques to secure communication between a user and the Authorised Person’s IT System and Network. Guidance
Appendix 3
documentation or testing may be completed after a change has been implemented.
3.5.10 (1) An Authorised Person must establish a process for the management of software
updates that addresses security vulnerabilities in the Authorised Person’s ICT Assets. (2) The process in (1) must ensure that:
(a) software updates are identified and classified by how critical they are to mitigate Cyber Risk; (b) software updates are applied in a timely manner; and (c) the implementation of critical software updates is prioritised. (3) An Authorised Person must implement software updates in accordance with the process required under Rule 3.5.9. Guidance
Appendix 3
through encrypted channels or encrypting the information using strong encryption with an adequate key length.
3.5.12 (1) An Authorised Person must limit physical access to its data centres and server
rooms, if any, to individuals who have a legitimate business need. (2) For the purposes of (1), the Authorised Person must establish a process for:
(a) the approval of an individual’s request for physical access; and (b) the immediate revocation of such access if the conditions for granting approval are no longer met. (3) An Authorised Person must implement appropriate security measures to prevent unauthorised physical access to its data centres and server rooms. Guidance The Regulator expects that:
a. where physical access is granted to individuals who are not members of an Authorised Person’s staff, they will be accompanied by a staff member at all times during such access; and b. an Authorised Person will monitor and record the activities that take place inside its data centres and server rooms.
3.5.13 (1) An Authorised Person must establish and maintain a comprehensive Cyber Risk
management training programme and adequate awareness arrangements. (2) The programme and arrangements in (1) must ensure that all relevant Employees:
(a) receive training, at least annually, on the Authorised Person’s Cyber Risk policies and standards; (b) develop and maintain appropriate awareness of, and competencies for, detecting and reporting Cyber Incidents; and (c) understand their individual responsibilities. Guidance
Appendix 3
2. A relevant Employee would include any member of staff with access to an
Authorised Person’s IT System or Network or any other Employee who might otherwise be exposed to, or targeted by, a Cyber Incident.
3. New Employees should receive training within a reasonable period of joining the
Authorised Person.
4. The Regulator expects Employees with privileged access rights to receive targeted
security training that reflects their rights and responsibilities. Monitoring and Testing
3.5.14 (1) An Authorised Person must implement a system to conduct ongoing monitoring of
the effectiveness of the systems and controls that form part of its Cyber Risk Management Framework. (2) An Authorised Person must ensure that:
(a) it has in place a comprehensive programme to test the resilience of its IT Systems and Networks and its processes and controls implemented to comply with Rules 3.5.5 to 3.5.13; (b) testing under the programme is carried out regularly, and in the case of internet-facing systems, at least annually; and (c) it has in place a process to prioritise and remedy adverse testing outcomes. (3) An Authorised Person should ensure there is regular reporting to senior management on the results of the monitoring and testing it undertakes to satisfy its obligations under (1) and (2). Guidance
Appendix 3
taking into account the Authorised Person’s Cyber Risk assessment under Rule 3.5.4(2).
2. The frequency with which an Authorised Person should carry out testing will
depend on the nature, scale and complexity of its business. It may be adequate to test annually for some Authorised Persons, for others more frequent testing may be required. The Regulator expects additional tests to be carried out whenever systems are updated or new systems are implemented, including when systems are changed to address any vulnerabilities that have been identified during testing. Detection, response and recovery
3.5.15 (1) An Authorised Person must continuously monitor its IT Systems and Networks with
a view to detecting:
(a) Cyber Incidents; and
(b) the occurrence of anomalies and events indicating a potential Cyber Incident. (2) An Authorised Person must have a process for escalating actual or potential Cyber Incidents. Guidance
Appendix 3
(4) An Authorised Person must ensure its Cyber Incident Response Plan is in writing and that it is reviewed regularly and no less than annually, and after the occurrence of a material Cyber Incident that is reportable pursuant to Rule 3.5.18, to ensure that it remains appropriate, effective and up-to-date. Guidance
Appendix 3
(3) An Authorised Person must take reasonable care to resume its operations responsibly, including taking the following steps, where applicable:
(a) eliminating all remaining harmful effects of the Cyber Incident; (b) restoring the affected elements of its IT System and Network; (c) recovering data affected by the Cyber Incident; (d) identifying and mitigating all vulnerabilities that were exploited by the Cyber Incident; (e) remediating vulnerabilities to prevent similar Cyber Incidents in the future; and (f) communicating appropriately internally and externally. Notification
3.5.18 An Authorised Person must notify the Regulator immediately, and in any event no later
than 24 hours including weekends and public holidays, after it becomes aware, or has information which reasonably suggests, that a material Cyber Incident has occurred, using the prescribed incident reporting form available on the electronic portal. Guidance
Appendix 3
a. is a crime under Federal legislation, including Federal Decree-law No. (34) of 2021 “On Countering Rumours and Cybercrimes”; b. results in leakage or corruption of sensitive or confidential information; or
c. affects external stakeholders.
3. The Regulator expects an Authorised Person to consider the need to report Cyber
Incidents to other appropriate authorities, such as law enforcement agencies, the FIU or the ADGM Data Protection Commissioner.
4. Rule 8.10.6 also sets out circumstances that require immediate notification to the
Regulator.
…
Appendix 4
Glossary (GLO)
*In this attachment underlining indicates new text and striking through indicates deleted text.
Appendix 4
…
Appendix 4
IT System Means, collectively, ICT Assets, related methods and procedures that have been organised to provide information processing functions. Network Means a group of ICT Assets that are interconnected to exchange data, together with the communication channels between those ICT Assets. Third-Party Cyber Risk Means Cyber Risk that may arise from the use of ICT Services provided by a third party or a subcontractor of that third party. …
Appendix 5
Market Infrastructure Rulebook (MIR)
*In this attachment underlining indicates new text and striking through indicates deleted text.
Appendix 5
…
1.1.4 Table 1.1.4 below sets out further requirements that may be applicable to
Recognised Bodies contained in other FSRA Rulebooks.
No. Rule title Rule Reference All ADGM Recognised Bodies 22 Cyber Risk Management GEN Rule 3.5 √ …
3.2 Capital requirements
3.2.1 A Recognised Investment Exchange shall hold the following capital:
(a) an amount equal to 6 months' operating expenses; plus (b) unless the Regulator directs otherwise, an additional buffer amount of up to a further 6 months' operational operating expenses.
3.2.2 For the purposes of Rule 3.2.1, operational operating expenses shall be considered in
accordance with the International Financial Reporting Standards (IFRS). …
4.2 Capital requirements
4.2.1 A Recognised Clearing House shall hold capital more than or equal to the sum of
capital calculated in respect of the following risks.
(a) Winding down or restructuring activities. Six months' gross operational operating expenses. … (d) Business risk. A Recognised Clearing House shall submit to the Regulator for approval its own estimate of the capital necessary to cover losses resulting from business risk based on reasonably foreseeable adverse scenarios relevant to its business model. The capital requirement for business risk shall be equal to the approved estimate and shall be subject to a minimum amount of 25% of its annual gross operational operating expenses.
4.2.2 for the purposes of Rule 4.2.1, Recognised Clearing Houses shall use the most
recent audited information from their annual financial statement and operational
Appendix 5
operating expenses shall be considered in accordance with International Financial Reporting Standards (IFRS). …
5.1 Application and purpose
Application
5.1.1 The notification Rules in this chapter apply to Recognised Bodies.
5.1.1A For the purposes of this chapter, any reference to the rules of a Recognised Body, is made to its:
(a) Business Rules, in the case of a Recognised Investment Exchange; (b) Clearing Rules, in the case of a Recognised Clearing House; and (c) Default Rules, as applicable. Guidance Remote Body notification requirements are set out in Rule 7.54.2. …
5.4 Notification requirements
5.4.1 A Recognised Body must, in the circumstances noted, notify the Regulator of the
following information:
…
Event Timing Information Requirement
GEN Notifications
63. As set out in GEN
3.5.18, a Recognised
Body becomes aware of a material Cyber
Incident
Immediately and in any event no later than 24 hours.
(a) Notice of that event.
(b) Particulars of the event.
Position Limit Notifications
63.
64.
As set out in MIR
3.3.7(e), a Recognised
Body becomes aware that a position limit threshold is exceeded.
As soon as practicable.
(a) The reason why such a large position is being held.
(b) How the holding of said position furthers the participant’s or Member’s trading strategy. (c) How the position is being used for hedging and the relevant contracts being hedged against (where applicable). …
Appendix 6
Prudential – Insurance Business (PIN)
*In this attachment underlining indicates new text and striking through indicates deleted text.
Appendix 6
…
2.3.3 An Insurer must develop, implement and maintain a risk management system to identify
the operational risks faced by the Insurer, including but not limited to:
(a) technology risk (including processing risks); (b) reputational risk; (c) fraud and other fiduciary risks; (d) compliance risk; (e) outsourcing risk; (f) business continuity planning risk; (g) legal risk; and (h) key person risk; and (i) Cyber Risk. …
2.3.6 An Insurer must develop, implement and maintain a risk management system which
includes an explicit asset liability management ("ALM") policy, which must clearly specify the nature, role and extent of ALM activities and their relationship with any other relevant function or activity of the insurer including, but not limited to, product development, pricing functions and investment management. Guidance
Appendix 7
Prudential – Investment, Insurance Intermediation and Banking Rules (PRU) *In this attachment underlining indicates new text and striking through indicates deleted text.
Appendix 7
…
6.6 Information Technology (IT) systems
6.6.1 An Authorised Person must establish and maintain:
(a) appropriate information technology policies and processes to identify, assess, monitor and manage technology risks; and (b) appropriate and sound information technology infrastructure to meet its current and projected business requirements, under normal circumstances and in periods of stress, which ensures data and system integrity, security and availability and supports integrated and comprehensive risk management. Guidance
Appendix 7
Guidance
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