Navigating CASS terminology made simple.

Below is a list of commonly used acronyms, terms, and regulatory references to support your understanding of the UK’s Client Assets regime.

A–E

AFC – Asset Flow Control
A control that restricts the movement of custody assets to ensure they are properly recorded and reconciled.

AML – Anti-Money Laundering
A regulatory framework designed to prevent the use of financial systems for criminal purposes.

ARRC – Asset Reconciliation Review Committee (Firm-specific)
A governance committee overseeing the reconciliation of client assets or money.

ATT – Acknowledgement of Trust Template
A template letter used when opening client bank accounts to confirm that the bank recognises client money as held in trust.

BAU – Business as Usual
Refers to regular, ongoing operational processes (not project-based or exceptional activity).

CASS – Client Assets Sourcebook
A section of the FCA Handbook that sets out rules for how regulated firms must protect client money and custody assets.

CCP – Central Counterparty Clearing House
An entity that interposes itself between counterparties in a trade, becoming the buyer to every seller and the seller to every buyer.

CF10a – Controlled Function 10a
The pre-SM&CR FCA controlled function responsible for CASS oversight. Now typically referred to as the CASS Oversight Officer under SM&CR.

CMAR – Client Money and Asset Return
A monthly regulatory submission summarising a firm’s client money/custody asset holdings and CASS controls.

CMA – Client Money Account
A designated bank account used solely for holding client money, clearly segregated from firm money.

CMAO – Client Money & Assets Oversight
Refers to the individual or function with responsibility for CASS controls, often tied to the CF10a or SMF18 role.

F–L

FCA – Financial Conduct Authority
The UK’s conduct regulator for financial services, responsible for maintaining market integrity and protecting consumers.

FOS – Financial Ombudsman Service
Handles complaints between consumers and financial firms and can issue binding rulings.

FRC – Financial Reporting Council
Sets auditing standards in the UK, including those governing CASS audit engagements (e.g. Practice Note 21).

FRF – Financial Resilience Framework
A broad term encompassing the systems and controls that support operational and financial resilience (including CASS compliance).

ICMC – Internal Client Money Calculation
The daily calculation used by firms to determine the amount of client money that must be segregated.

ICARA – Internal Capital Adequacy and Risk Assessment
Part of the IFPR regime, replacing ICAAP. While not CASS-specific, ICARA should address risks associated with client money and asset handling.

IFPR – Investment Firm Prudential Regime
The UK prudential framework for MiFID investment firms, introduced in 2022.

ISA – Individual Savings Account
A tax-advantaged savings or investment account for UK individuals. Often includes client money and assets, depending on structure.

M–R

MiFID – Markets in Financial Instruments Directive
An EU directive (adopted into UK law) regulating investment services and trading venues. Firms subject to MiFID typically fall within CASS 6 and 7 rules.

MLD – Mandate Log & Documentation
A register or control record used to manage client mandates under CASS 8.

NCA – National Competent Authority
The domestic regulator for financial services in a given country. In the UK, this is the FCA.

OCIR – Operational Continuity in Resolution
A regulatory requirement (more relevant to banks) ensuring firms can continue critical services during resolution. Relevant for systemic CASS firms.

PRA – Prudential Regulation Authority
Part of the Bank of England. Regulates systemically important firms, including some with CASS obligations.

RCA – Root Cause Analysis
A method used to investigate the underlying reason for a breach or error, often documented and reviewed in governance forums.

RP – Resolution Pack (CASS RP)
A structured document required under CASS 10, enabling insolvency practitioners to identify and return client money/assets within 48 hours of failure.

S–Z

SM&CR – Senior Managers & Certification Regime
A regulatory framework to enhance individual accountability. The CASS Oversight Officer is typically registered as SMF18 under SM&CR.

SMF18 – Senior Manager Function 18
The FCA designation for the individual with Prescribed Responsibility for CASS compliance.

SREP – Supervisory Review and Evaluation Process
A process used by the FCA to assess firm risk and adequacy of capital and controls, including CASS governance.

SUP – Supervision Sourcebook
Part of the FCA Handbook. Includes rules about regulatory returns (e.g. SUP 16.14 for CMARs) and auditor requirements (e.g. SUP 3).

TTCA – Title Transfer Collateral Arrangement
An arrangement in which a client transfers full ownership of assets or money to a firm as collateral. These assets fall outside of CASS 6/7 protection.

TSA – Third-Party Service Agreement
Agreements with outsourced custodians, administrators, or banking providers, often relevant for CASS 6/7 oversight.

TT – Transaction Type
Used in reconciliations or reporting to describe the nature of a financial movement.

Regulatory Bodies at a Glance

• FCA – Financial Conduct Authority

• PRA – Prudential Regulation Authority

• BoE – Bank of England

• FOS – Financial Ombudsman Service

• FRC – Financial Reporting Council

• HMRC – His Majesty’s Revenue & Customs

• ICO – Information Commissioner’s Office

• ESMA – European Securities and Markets Authority (EU-level, may be relevant for cross-border firms)