FSA is consulting on draft guidance on the Individual Liquidity Systems Assessment (ILSA) Submission Information document. The guidance is most likely to be relevant to firms that have been granted a simplified ILSA waiver under the liquidity regime. The guidance follows feedback from industry and suggests:
- a proposed format for the ILSA;
- what parts of a firm's liquidity risk management policy and processes FSA likes to see in an ILSA; and
- the supporting documentation FSA needs to review a firm's ILSA.
It is not mandatory to follow the guidance, but FSA thinks it is helpful for both it and firms to have a standard. It wants comments by 23 November.