This program explains how the FSA UK uses its ARROW framework to redesign a regulatory approach to monitor and regulate firms to ensure they comply with regulatory requirements. Using ARROW’s risk-based approach, risks are assessed according to impact and probability. The risk methodology involves 2 basic approaches - assessing risks at an individual firm level and assessing risks at a theme level involving several firms or relating to the market as a whole. Using case studies, the participants will have the opportunity to apply the ARROW risk methodology to gain hands on practical supervision of authorized firms.