What is the purpose of the FCA's SMandCR?

The purpose of the FCA's SM&CR, which stands for Senior Managers and Certification Regime, is to promote responsibility and accountability among senior management in financial firms. This regulatory framework was established to ensure that senior managers are held accountable for their actions and decisions, thereby reinforcing the culture of responsibility within organizations.

By clearly identifying the roles and responsibilities of senior managers, the SM&CR helps to create an environment where individuals are conscious of their duties and the implications of their decisions. It also encourages firms to develop better governance structures and improve compliance oversight, ultimately aiming to enhance the overall integrity and resilience of the financial services sector.

The other options are focused on specific aspects of financial operations, such as eliminating risks, regulating trading hours, or managing customer complaints, which do not encapsulate the primary aim of the SM&CR. This regime is specifically targeted at enhancing accountability at the senior management level, which is crucial for maintaining trust and stability in the financial system.