Under FSMA 2000, the Financial Services Authority has various Essay

Under FSMA 2000, the Financial Services Authority has various statutory objectives. Critically evaluate the progress they have made under each of these objectives - Essay Example This ensures that there is smooth functioning without any friction. The second point of consideration is its power to conduct regular supervision of the financial services industry. This means writing policies for wholesale, retail, banking, and other financial services including insurance, and ensuring their proper adherence to the policies. As a part of this, the Authority has developed a code of market conduct which ensures that the market abuse practices are properly dealt with. Also, it has its own investigation and enforcement policies and department that identify the misconducts, and bring the culprits to law. The benefit of FSMA Act is that Section 165 allowed FSA to collect information and documents from firms as necessary. This power can be utilised in two ways. Either it can be used to require the provision of particular information, or it can be used to require the production of a particular document. According to Section 167, the Authority has the power to appoint investigators to conduct general investigations into firms (Alexander, 2002). Another vital point that deserves attention is the possibility of conducting investigations in support of overseas regulators. When there is violation of the policies, the Authority has the power to issue a public statement of misconduct or penalty as it finds appropriate, and the quantum of penalty is based on the risk of loss caused to consumers and other market users. Yet another important measure that enhances market confidence is the Financial Services Compensation Scheme. The next point is ensuring public awareness. Admittedly, Financial Service Authority has such a policy that is open to all consumers. To illustrate, there is the FSA library, FSA handbook, and FSA register. The FSA handbook gives one an idea about all the rules, regulations, and policies of FSA. In addition, there are handbooks called tailored handbooks available on various

Rational Decision-Making Model Essay Example | Topics and Well Written Essays - 1250 words

Rational Decision-Making Model - Essay Example According to the research findings, rational decision creation model is a cognitive progression which requires that each step must be followed in a logical manner and in an organized manner. The cognitive process of rational decision-making model requires thinking and evaluating the alternatives for attaining the best possible result. There are various rational models available all of which have various steps involved and the steps which are inter-related also differ in different models. Some people are of the opinion that rational decision creation is comparable to trouble solving. It is evident that some resolutions are not dilemma oriented and does require telling the common delineation of a rational representation. Rational decision making is considered a multi-step procedure which requires logical and sound decisions to be made executed in an orderly manner starting from problem initiation through a solution. The entire process starts with a formulation of goal, identification o f criteria for decision making and then working on the alternatives for making analysis and making the finalized decision. The other area of rational decision-making model requires management to make some vital assumptions about a particular decision. Hence it requires that the person should have complete and precise information available about the selected preference which has been made. Moreover, the person should have cognitive ability and time for weighing every choice available to them which will allow them in making an efficient decision. However, it can be asserted that rational decision making is completely designed using scientifically collected data which allows making informed decision making. Once the data is carefully selected and analyzed it helps in reducing the chances of errors and misrepresentation. The assumptions and conjecture combined with subjectivity are all considered as the leading causes for poor and inequitable judgments. The biggest advantage is that inf ormation and knowledge are all based on performance which must be consistent, reliable and of high quality. It helps greatly in reducing risks and uncertainties associated with the concerned resolution. The rational decision-making model instills a proper strategy for making decisions which must be disciplined, consistent and logical in manner. As it is a step by step methodology which requires that problem must be defined clearly before taking any decision and action. Once the problem is precisely defined and particular decisions are identified using weights.