Top Irish companies have left themselves open to insider trading due to ‘ineffective, outdated, or absent’ management supervision, the Central Bank has found. The letters specify numerous deficiencies in surveilling, identifying and reporting insider trading risks, indicating many firms are taking a tick-box approach to curbing market abuse. Regulated trading firms were also found to have ineffective alerts for identifying market abuse, with some of them calibrating risk parameters to produce fewer warning signs and, therefore, less work. The risk of market participants committing market abuse has increased due to factors such as post-Brexit growth, new technologies, and pandemic-related issues, the Central Bank said. The Central Bank specified market abuse as a key conduct risk in 2019 and launched the thematic review in 2020.

Source: Irish Independent July 12, 2021 12:11 UTC