Addressing industry conflicts and reducing regulatory burdens are on the agenda for the coming year at the Autorité des marchés financiers (AMF).
The AMF published its annual statement of priorities on Friday, setting out its plans for the current fiscal year.
On the policy front, the AMF said it will be implementing a framework that sets out its expectations when it comes to incentive-driven conflicts.
“In conducting its supervisory activities, the AMF noted that financial institutions’ incentive management practices have emerged as a source of conflicts of interest that are potentially detrimental to the fair treatment of clients,” it said.
The regulator also said it’s planning a thematic review that looks at the financial products being offered on Aboriginal reserves and that it will be surveying financial firms about “their vulnerability to climate change–related risks and the internal controls they have put in place to address them.”
In the coming year, the AMF will also be soliciting industry feedback on reducing regulatory burdens, it said.
The increasing digitalization of the financial sector will figure prominently in the AMF’s plans too.
For example, the agency said it will be publishing a report on the ethical use of artificial intelligence in the financial sector.
It will also be seeking to step up its online enforcement capabilities.
“The AMF will continue to prioritize the development of high-performance technology-based tools to increase its ability to detect, investigate and seek sanctions for violations of the laws it administers in an increasingly virtual environment that is conducive to fraud,” it said.