A firm needs to have adequate financial and non-financial resources. A firm that leaves making the decision to wind down until it is too late risks breaching regulatory requirements, engaging in a disorderly wind-down, or even operating illegally while insolvent.
The level of non-financial resources that are needed for wind-down and whether they are in place.
Consider which key employees will be needed for an orderly wind-down but may want to leave the firm after the wind-down decision is made. An additional allowance to retain these employees during the wind-down period may be needed.
The firm only assesses its capital adequacy, and fails to assess its ability to meet monthly expenses during the wind-down period.
Status: You are viewing the version of the handbook as on 2019-12-09.
WDPG App 10.1.1G