5 CPD
Course Description
This course explains the requirements relating to the development, implementation and effective control of internal governance mechanisms, which EMIs and PIs must put in place in order to ensure their effective and prudent management. Every institution must have a sound governance framework, which is consistent with and promotes the principles of sound and effective management of the institution.
EMIs and PIs must have robust governance arrangements, which include a clear organisational structure, well defined lines of responsibility, effective risk management processes, control mechanisms as well as all standards and principles concerned with setting an institution’s objectives, strategies and risk management framework, including a Board of Directors with appropriate expertise and experience in payment services.
This course describes the role and responsibilities of the Management body and senior management as well of the chairman of the management body. In addition, it describes the establishment, composition, organization and role of the committees of the management body (risk committee, audit committee). It also describes the internal control framework, the establishment and the functions of the internal control system.
The management body shall have ultimate and overall responsibility for the internal governance of the institution and shall establish, oversee and be accountable for the implementation of governance arrangements that ensure effective and prudent management, including regulatory compliance and the effective management of the risks faced by the institution.
The management body shall be responsible for establishing an internal control system. It shall also be responsible for monitoring the adequacy and effectiveness of the internal control system’s processes and mechanisms and for overseeing its operations.
Risk management is a cornerstone of the governance and operational strategy of Electronic Money Institutions (EMIs) and Payment Institutions (PIs). The Central Bank of Cyprus (CBC) requires all institutions under its supervision to implement a comprehensive, proactive, and documented Risk Management Framework (RMF) tailored to the scale and complexity of their operations.
A well-developed risk management framework is essential for the safe and sound functioning of Electronic Money Institutions (EMIs) and Payment Institutions (PIs). The Central Bank of Cyprus (CBC), in line with EBA Guidelines, requires that institutions proactively identify, assess, mitigate, and monitor risks across all areas of operation.
Electronic Money Institutions (EMIs) and Payment Institutions (PIs) face a diverse spectrum of risks that can threaten their operational viability, financial stability, and regulatory standing. A robust understanding and management of these risks are essential for safeguarding customer interests, preserving institutional reputation, and ensuring compliance with the Central Bank of Cyprus (CBC) and EU regulatory requirements (such as PSD2 and EMD2).
This course will provide an analysis of the key categories of risk, along with practical examples tailored to the Cyprus regulatory and operational environment.
Topics covered
The course is split into the following sections:
Section 1: Internal Organisation and Governance of Payment Institutions
- Proportionality and General Requirements
- Management body
- Role of the Management body
- Responsibilities of the management body and senior management
- Size and composition of the management body
- Role and responsibilities of the chairman of the management body
- Board meetings
- Assessment of the management body
- Establishment of committees of the management body
- Composition and organization of committees of the management body
- Role of the risk committee
- Role of the audit committee
- Governance Framework
- Organizational framework
- Corporate values and code of ethics
- Customer complaint handling process
- Internal warning/complaint procedures
- Complaints of violations by staff
- Internal control Framework
- Establishment of internal control system
- Functions of the internal control system
- Head of the internal control system functions
- Risk Management function
- Regulatory compliance function
- ICT risk and security management function
- Internal control function
- Internal control tasks
- Internal control plan
- Outsourcing of activities
- Risk Management Framework
- ICT and security risk
- New products and significant changes
- Reports to the central Bank
- Submission of reports to the Central Bank
Section 2: Risk Analysis of EMI’s and PI’s operations
- Operational Risk
- Compliance and Legal Risk
- ICT and Cybersecurity Risk
- Financial Risk
- Liquidity Risk
- Credit Risk
- Fraud Risk
- Reputational Risk
- Outsourcing Risk
- Strategic and Business Risk
- Money Laundering and Terrorist Financing Risk
- Business Continuity and Disaster Recovery Risk
- Technology and Innovation Risk
Course Duration:
This course may take up to 5 hours to be completed. However, actual study time differs as each learner uses their own training pace.
The course is addressed to:
This course is addressed to all individuals who are involved in Electronic Money Institutions (EMIs) and Payment Institutions (PIs) such as:
- Executive Directors, Non-executive directors, Senior Managers, Compliance Officers, Risk Managers, Marketing Managers and in general employees of EMIs and PIs.
- Internal Auditors
- Professionals operating in or advising EMIs and PIs
- Legal Consultants
- Consultants
It is also suitable to professionals pursuing CPD for the renewal of their professional certificates.
Training Method
The course is offered fully online using a self-paced approach. The learning units consist of power point presentations and videos. Learners may start, stop and resume their training at any time.
At the end of the course, participants take a Quiz to complete the course and earn a Certificate of Completion once the quiz has been passed successfully.
Accreditation and CPD Recognition
The course may be accredited by regulators and other bodies for 5 CPD Units that require CPD training in financial regulation.
Eligibility criteria and CPD Units are verified directly by your association or other bodies in which you hold membership.
Registration and Access
To register to this course, click on the Take this course button to pay online and receive your access instantly. If you are purchasing this course on behalf of others, please be advised that you will need to create or use their personal profile before finalizing your payment.
Access to the course is valid for 90 days.
If you wish to receive an invoice instead of paying online, please Contact us by email. Talk to us for our special Corporate Group rates.
Instructor
George Papanicolaou has more than 20-years experience in the Financial industry. He worked for several years in managerial positions as area Manager, Head of Brokerage, Compliance Officer, Anti Money Laundering Officer, General Manager and Executive Director in Cypriot Investment Firms as well as Managing Director of GP GLOBAL LTD offering consulting services and training courses to Investment Firms, focuses in Internal Audit, compliance & AML issues. He offered numerous courses/seminars both in Cyprus and abroad in Investment Firms Law as well as in Compliance & Anti Money Laundering. George Papanicolaou is also a Chairman of a Nomination Committee in a company listed in the Oslo Stock Exchange.
George Papanicolaou holds a BSc in Electronic Engineering from the University of Texas at Austin (USA), an MBA with specialization in Finance from Leicester University (UK) and a Postgraduate Certificate in the Mechanics of Risk Management from Middlesex University (UK).
He also holds an ICA International Diploma in Anti Money Laundering from the International Compliance Association and the University of Manchester, as well as an Advance and Money Laundering certificate from the Cyprus Securities and Exchange Commission for the provision of investment services/activities.
He is a Member of the AML and Compliance Committee of the Institute of Certified Public Accountants of Cyprus (ICPAC), Fellow of the International Compliance Association (FICA), Mentor of ICA new students, member of the Cyprus Institute of Internal Auditors and the first Network chair for Cyprus of the International Compliance association.
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