REGULATION · UK
FCA enforcement action against Novatrust Asset signals tightening oversight of unregulated fintech platforms
FCA published enforcement details on Novatrust Asset, an unregulated investment platform. Action underscores FCA's focus on closing regulatory gaps in online asset platforms, many of which use AI recommendation engines without proper governance.
WHY IT MATTERS
UK regulator is actively policing unauthorized platforms offering AI-driven advice or trading. BFSI firms building AI advisory tools must ensure FCA authorization and governance; using third-party AI without proper Model Risk Management audits is now a visible enforcement target.
Source: FCA · 2026-09-08