The updated Principles on Outsourcing are based on the earlier Outsourcing Principles forMarket Intermediaries and for Markets, but their application has been expanded and nowincludes trading venues, intermediaries market participants acting on a proprietary basis andcredit rating agencies.
The Board of the International Organization of Securities Commissions (IOSCO) today
published a set of updated outsourcing principles for regulated entities that outsource tasks to
service providers.
Since the publication of IOSCO ́s principles on outsourcing for market intermediaries in 2005
and for markets in 2009, new developments in markets and technology have focused regulatory
attention on risks related to outsourcing and the need to ensure the operational resilience of
regulated entities.
Moreover, the effects of the COVID-19 highlight the need to maintain business continuity in
situations where external and often unforeseen shocks impact firms and their service providers.
The updated Principles on Outsourcing are based on the earlier Outsourcing Principles for
Market Intermediaries and for Markets, but their application has been expanded and now
includes trading venues, intermediaries market participants acting on a proprietary basis and
credit rating agencies.1 While financial market infrastructures (FMIs) are outside the scope of
the Principles, FMIs may consider applying the Principles. IOSCO will be engaging with the
CPMI on these outsourcing issues as part of the future joint CPMI-IOSCO work programme.
The revised principles comprise a set of fundamental precepts and seven principles.
IOSCO
© IOSCO
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