Authorisations and Innovation
The Authorisations and Innovation Division is the first point of contact for most firms and individuals with the Commission and is responsible for the assessment and determination of applications to conduct financial services business in the Bailiwick.
Applications for licensing span a range of different business models, and includes firms in the fiduciary, insurance, investment, and lending, credit and finance sectors as well as registration of businesses such as estate agents and legal firms. The Division also assesses whether individuals in senior positions at licensees, such as a CEO or Board Director, are fit and proper to hold those roles.
Investment, Fiduciary and Pension
The Investment, Fiduciary and Pension Division supervises a broad range of licensees and funds, undertaking on-site visits, thematic reviews, policy work and reactive supervision. The investment sector provides services including fund management, fund administration, stockbroking, investment management and advice. Promoters of Guernsey funds include many leading international institutions.
The fiduciary sector provides a diverse range of trust and corporate services to an international client base covering private client, corporate and institutional businesses. The sector is substantial and long-established, and benefits from and contributes to Guernsey’s mature and sophisticated professional infrastructure. The pension sector is home to a variety of firms providing services to international and local pension plans, gratuity schemes and savings plans.
Banking and Insurance
The Banking and Insurance Division conducts ongoing supervision of all banks licensed by the Commission which includes - onsite inspections at the licensee’s place of business; desk-based analysis of regulatory and statistical returns and other relevant data; the submission of annual audited financial statements and much more. The Division also supervises its licensed insurers, insurance managers, and insurance intermediaries by conducting regular off-site monitoring supplemented by periodic onsite monitoring. Onsite visits are conducted to enhance the Division’s understanding of the licensee’s business, and to review the risk management systems and internal controls in operation. These visits may be carried out on a full-scale basis, covering all risks to which the licensee is exposed, or on a focussed basis, covering specific areas of concern such as corporate governance or market conduct.
In addition, the Banking and Insurance Division holds both regular and ad hoc meetings with its licensees to keep abreast of any significant developments and to discuss any issues that may arise. Banks have played a key role in the development of Guernsey as an international financial centre. The range of services offered by banks in Guernsey is quite diverse. Some provide retail banking services essential to the local community. Others target the affluent expatriate market, primarily attracting their deposits. There are also banks offering "private banking" services that attract high net worth individuals who seek a total wealth management solution to their financial needs. Banks also support the other financial services businesses operating in Guernsey providing custody, foreign exchange and other banking services to the investment, fund administration, fiduciary, and insurance sectors. Guernsey is perhaps best known as one of the world’s leading captive centres, offering a domicile for self-insurance for firms. The Commission regulates insurance managers, who facilitate insurance business, and insurance intermediaries, mostly covering local broker requirements. Guernsey plays an active role in the International Association of Insurance Supervisors (IAIS) and currently chairs the Group of International Insurance Centre Supervisors (GIICS).
Technology Supervision Unit
The Technology Supervision Unit (“TSU”) is a new unit within the supervisory area of the Commission that will provide technical support, resource and advice to the supervisory and policy divisions within the Commission.
The TSU’s main focus is the use, by industry, of all aspects of technology including but not limited to industry’s use of AI tools, Blockchain, Compliance Screening Systems, Cyber Security Systems as well as traditional Data Management tools and Systems Architecture.
Technology Innovation Unit
Building on the Commission’s development of its Early Warning System, which assists supervisors in identifying smaller entities that are displaying certain patterns of possible concern, and the new Applications and Authorisations Portal, the Technology Innovation Unit (“TIU”) has a continued focus on ensuring that the Commission is piloting, developing and using newer technologies such as artificial intelligence to optimise operational effectiveness and efficiency.
Financial Crime
The Financial Crime Division is responsible for the financial crime supervision of all firms and individuals licensed or registered by the Commission that are subject to Bailiwick’s financial crime regime. This includes the financial crime supervision of a diverse variety of businesses, including banks, trust and company service providers, investment firms, insurers, insurance managers and insurance intermediaries, virtual asset service providers, as well as estate agents, law firms and those providing accountancy services. The Division focuses more time on those firms that present a higher residual risk of money laundering, terrorist financing and proliferation financing to the Bailiwick. We engage proactively with firms which pose the greatest financial crime risk by carrying out a financial crime risk assessment of each firm by going onsite to assess their financial crime risks and how well these are handled. This will include meetings with the board and other key individuals as well as reviewing firm documents, including a number of customer files, before compiling a report on the visit. We will then engage with the firm to bring unacceptable risks back to acceptable levels.
We may also look at a particular financial crime risk across a number of firms in a thematic review and then publish our findings to assist industry by highlighting areas of good practice, areas for improvement and questions for firms to asks themselves to help them assess their own controls. We also supervise firms reactively following their submissions to us, as well as meet with former MLROs for an exit interview, where appropriate. The Division is responsible for analysing and understanding developments in global financial crime recommendations and expectations, and for updating and revising our regulatory framework. This includes the rules and guidance in the Commission’s Handbook on Countering Financial Crime (AML/CFT/CPF) and could range from considering the implementation of the international standards (known as recommendations) from the Financial Action Task Force and mutual evaluation reports issued by MONEYVAL, to liaising with other Bailiwick authorities on the Bailiwick’s National Risk Assessment and the financial crime framework.
Enforcement
The Enforcement Division investigates matters, and where appropriate, takes or proposes action against firms and individuals which do not comply with regulatory requirements. The Commission's use of its enforcement powers is an important component in the delivery of its regulatory objectives which are: to provide effective supervision of the financial services sector; to make recommendations to the States of Guernsey on schemes for the statutory regulation of finance business, to counter financial crime and the financing of terrorism, to maintain confidence in the Bailiwick's financial services sector and to ensure the safety, soundness and integrity of the Bailiwick's financial services sector.
In delivering its statutory objectives, the Commission is committed to a fair, proportionate, consistent, and responsive use of its enforcement powers, to achieve effective outcomes. Furthermore, by publishing enforcement outcomes the Commission can effectively raise awareness of regulatory standards and demonstrate its commitment to regulation in accordance with agreed international standards.
Risk and Operations
The Risk Unit, within the Risk and Operations Division, acts as the Commission’s second line of defence. It ensures a clear understanding of the risks associated with the Commission’s risk-based approach.
The Division oversees compliance with the processes outlined in PRISM and promotes constructive challenge across the organisation. It also provides comprehensive risk-related management information and serves as a channel for ideas, concerns, and developments to be raised within the regulator.
Support Teams
The Commission’s support teams are essential as they provide the infrastructure, expertise and services that enable core operations to function effectively.
These functions cover Legal, Human Resources, Finance, IT and Facilities and collectively support the Commission’s objectives, adaptability, and effectiveness as a regulatory authority. We have a broad spectrum of roles designed to support the varied and intricate needs of our operations. Whether you bring years of experience, are just starting your career as a school-leaver, or have recently graduated, our opportunities cater to diverse skills and expertise ensuring that no matter your background, you can make a real impact as part of our team.