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Luuk Jacobs

The FCA Research Agenda 2019

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Luuk Jacobs

The FCA published last week it's Research Agenda for 2019 (2019 fca-research-agenda.pdf). Their focus will be on

household finance and consumer behaviour

  1. household finance and consumer behaviour
  2. securities markets: microstructure, integrity and stability
  3. competition, innovation, and firm behaviour and culture
  4. technology, big data, and artificial intelligence
  5. regulatory efficiency and effectiveness

 

The 3rd objective seems to bring the discussion previously focussed on pricing in general to the more sophisticated pricing which increasingly uses technology and big data to set prices, and often use predictive analytics to personalise prices. 

 

The 4th objective aims to better understand how the developments in technology, big data, and artificial intelligence are shifting market economics, the resulting benefits and harms and implications for regulation.

 

All this with the aim to ensure that their regulatory interventions achieve their objectives of making efficient use of their and industry’s resources. From an external perspective, they want to achieve a regulatory regime that promotes and supports effective financial markets while minimising their costs to society.

 

I am looking forward to their research outcomes and the future regulations that is designed on the back of it

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