The FCA’s latest consultation CP26/26 sets out proposals for a new Fund Reporting for Asset Management Entities framework to simplify and streamline fund reporting by aligning requirements across the sector. The FCA has published a consultation paper which sets out proposed changes to the reporting framework to ensure fund reporting is more proportionate and efficient. It has proposed the introduction of Fund Reporting for Asset Management Entities (FRAME), which is underpinned by three principles: simplicity, proportionality and alignment. These principles are intended to ensure that the fund reporting data provided is clear, reporting obligations are proportionate to the fund’s risks and reporting requirements are consistent.
The consultation is open until 22nd September 2026.
Reporting requirements will be tailored to the size, type and relevant activities of the firm. Larger funds or funds posing a greater risk to consumers and/or market integrity would provide more detailed information, whereas smaller firms or funds posing less risk would be subject to fewer reporting requirements.
The FCA proposes reducing the complexity of the current framework by condensing multiple frameworks into one consolidated framework, ensuring that fund managers understand their obligations, resulting in a reduction in the duplication of submissions. Overall, the amount of reporting from fund managers would be reduced. The FCA expects that the proposals would reduce the reporting burden by 75%. In addition to this, the new reporting requirements include removing or reducing notification obligations if they no longer provide sufficient insight.
The FCA proposes collecting more relevant and standardised data, ensuring the ability to monitor risks, identify market trends and support effective supervision.
The FCA proposes that operators of recognised overseas funds provide data to improve the oversight of funds marketed to UK investors, ensuring greater transparency.
By introducing a new framework (FRAME), fund reporting will be simplified and proportionate, ensuring that firms provide the FCA with risk-based data. All reporting requirements will be tailored to the size of the firm, activities and risk. This will be achieved by placing a greater focus on firms and funds that are associated with higher risks, ensuring consumers and market integrity are upheld.
Thistle Initiatives works alongside advice firms to help them respond confidently to regulatory expectations, whether they are growing, restructuring or refining their proposition. We can help you understand what the consultation and the proposed changes mean in practice and support the enhancement of a firm’s framework, ensuring consistent standards are applied throughout the business and market.
Get in touch at info@thistleinitiatives.co.uk or call 0207 436 0630 to speak with our team.
Sophia recently joined Thistle as a Consultant in the Investment Wholesale team. She holds a Bachelor of Science in Psychology from the University of Nottingham and brings a strong foundation in investment compliance. Before joining Thistle, she worked at a hedge fund where she supported regulatory development projects and contributed to policy reviews, giving her practical insight into how firms adapt to emerging requirements. She has also completed the CISI Introduction to Securities and Investment and Global Financial Compliance modules, which further strengthened her technical knowledge.