Employees working within the UK financial services are being prohibited from using their own devices for work or external communication after the FCA inverted a MIFID II rule.
The arrival of MIFID II was intended to enforce a banning of the bring your own device (BYOD) rule within investment firms only, but the FCA action has given the rule a much wider reach.
As reported by The Register, the BYOD ban was widely unanticipated across the financial services, leaving organisations with plans intended to comply with a MIFID II that allowed for the use of personal devices.
Our increasingly connected world is on the one hand enhancing business processes, but it is also presenting new and dangerous security challenges. This ruling is likely to spark debate regarding the balance between productivity and security.
In a blog post, Vodafone said: “MiFID ll applies to the content of a conversation or communication, not the device it’s conducted on. In light of this, some companies have decided to ban the use of personal devices for business purposes. And, for a simpler implementation of MiFID ll, Vodafone recommends that you use only company-owned numbers and devices to conduct business. To support you in your quest to comply with MiFID ll regulatory requirements, Vodafone Network Mobile Recording provides an innovative, secure and cost-effective cloud-based recording solution. The system will record all phone numbers used for business purposes.”
MIFID II has been brought into action at the beginning of 2018 with the intention to increase transparency within the financial markets. The legislation has also been geared up to reduce the cost market data and maintaining good market behaviour.
The UK has opted to act on the newly arrived legislation, despite plans to leave the European Union. With 2019 outlines as the point at which Brexit will officially take place, compliance will be required as outlined at least until that point.