IFPRU Remuneration Code
IFPRU Remuneration Code

The following Financial Services practice note provides comprehensive and up to date legal information covering:

  • IFPRU Remuneration Code
  • The other FCA Handbook remuneration codes
  • FCA guidance, policy statements and FAQs
  • CRD IV and EBA Guidelines
  • IFPRU investment firms
  • Meaning of remuneration
  • Which individuals does the Code apply to?
  • The Remuneration Principles
  • Risk management and risk tolerance (Principle 1)
  • Governance (Principle 4)
  • More...

This Practice Note explains the high-level requirements of the IFPRU Remuneration Code (the Code) set out in FCA Handbook SYSC 19A. The Code sets out the standards that IFPRU investment firms have to meet when setting pay and bonus awards for their staff. This Practice Note also looks at the relationship between the Code and the other Remuneration Codes under Chapter 19B, 19C,19D and 19E of FCA Handbook SYSC and the CRR Remuneration Code contained in the Remuneration Part of the Prudential Regulation Authority (PRA) Rulebook.

The aim of the Code is to ensure that firms have risk-focused remuneration policies, which are consistent with and promote effective risk management and do not expose them to excessive risk. It expands upon the general organisational requirements in FCA Handbook SYSC 4. For information on SYSC 4, see Practice Note: Senior management arrangements, systems and controls .

The other FCA Handbook remuneration codes

Alongside the Code are these Remuneration Codes:

  1. the AIFM Remuneration Code (AIFM Code) implements the remuneration requirements of the Alternative Investment Fund Managers Directive (2011/61/EU) and is set out in SYSC 19B of the FCA Handbook. For more information on AIFM remuneration and the AIFM Code, see Practice Note: AIFMD—Remuneration Code

  2. the BIPRU Remuneration Code (BIPRU Code) applies to BIPRU firms. The BIPRU Code is found in SYSC 19C of the FCA Handbook. For more information

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