THE MINISTER FOR ECONOMIC DEVELOPMENT (“the Minister”)
Appointment of Commissioner of the Jersey Financial
Services Commission
1. ISSUE AND RECOMMENDATION
1.1. Article 3 of the Financial Services Commission (Jersey) Law 1998 (“the Law”) provides that the States shall appoint Commissioners of the Jersey Financial Services Commission (“the Commission”) from persons nominated by the Minister.
1.2. A vacancy for a Commissioner has occurred due to the retirement of Dr Frederick Musch in May 2010, following the completion of three terms of office. Dr Musch was one of three Commissioners of appropriate standing from outside the Island.
1.3. The Board of Commissioners has recommended to the Minister that Markus H Ruetimann be nominated for appointment as a Commissioner by the States.
1.4. There are no financial or manpower implications for the States.
1.5. It is recommended that the Minister approves the proposition and report and that these should be lodged au Greffe for debate by the States at the earliest opportunity.
2. BACKGROUND
Search for a new Commissioner
2.1. The Commission Law requires the Board of Commissioners to include persons with experience of the type of financial services supervised by the Commission, regular users of such financial services, and individuals representing the public interest. The Commission Law further requires the composition of the Board to be such as to secure a proper balance between the interests of persons carrying on the business of financial services, the users of such services and the interests of the public at large.
2.2. To ensure such a proper balance on the Board, the Commission decided to seek a Commissioner of appropriate standing from outside the Island to fill the vacancy.
2.3. The search for a Commissioner with such experience has followed an open and transparent process, which included public advertising of the vacancy in the Financial Times Executive Appointments (UK & Europe), Handelsbatt (Germany), Le Monde (France) and the Jersey Evening Post. The recruitment process followed procedures agreed with, and overseen by, the Jersey Appointments Commission (“JAC”) and the JAC has confirmed that the recruitment process has met its requirements for openness of competition, impartiality, equality and selection based on merit.
2.4. In undertaking the search, the Board had in mind the following criteria:
Part One – Personal Experience
· Experience gained at a senior level within the European finance industry, as a successful practitioner, regulator or legislator.
· An extensive knowledge of the workings of the UK and the European Union, including its political and commercial environment.
· A sound knowledge of the international environments in which the Commission operates.
· A strong preference will be applied in respect of candidates with European regulatory experience gained outside the UK.
Part Two – Personal Style and Behaviour
· A high level of analytical ability, combined with an ability to take a wide view on regulatory matters as they affect Jersey.
· A high standard of integrity, impartiality, transparency and objectivity in the performance of his/her functions, and an ability to work as a member of a team.
· An understanding of the need for, and commitment to, international standards as they apply to the finance industry.
· An appreciation of the importance of innovation, flexibility and enterprise in the local finance industry.
· Recognized as having stature in the international community.
2.5. The Commission delegated to an Interview Panel, made up of the Chairman, Commissioner Sir Nigel Wicks, and Mr Alan Merry (Chairman of the JAC), consideration of the applicants for the position. The Panel considered eight applications against the agreed criteria and short listed six of the candidates for interview.
2.6. The Panel recommended Markus H Ruetimann to the Board of Commissioners. The Board of Commissioners considered the Panel’s recommendations and recommended Mr Ruetimann to the Minister for nomination as a Commissioner of appropriate standing from outside the Island.
Mr Markus H Ruetimann
2.8. Mr Ruetimann is Group Chief Operating Officer for Schroder Investment Management Limited, based in London. Mr Ruetimann’s global responsibilities encompass portfolio services, fund services, information technology, Group change & project management and corporate services.
2.9. Mr Ruetimann joined Schroders in November 2004 and was appointed Chairman of Schroder Investment Management (Luxembourg) S.A. in January 2005. Mr Ruetimann has been a member of Group Management Committee of Schroder plc since June 2005 and was appointed as a director of Schroder & Co Bank AG, Zurich in September 2009.
2.10. Mr Ruetimann was Global Head of Technology & Portfolio Services at UBS Global Asset Management in London from 1999 to 2004. Mr Ruetimann was Chief Operating Officer at Phillips & Drew (now part of UBS Global Asset Management) in London during 1998. Prior to that Mr Ruetimann held various positions with UBS in Zurich, Geneva, New York and London from 1978 to 1987.
2.11. Mr Ruetimann’s other professional appointments include:
ISSA Board, Zurich (since 2006)
NAPF Markets Committee, London (since 2007)
Omgeo Board, New York (2003-2010)
CRESTCo Board, London (1996-2002)
3. RECOMMENDATION
3.1. It is recommended that the Minister approves the proposition and report and that these should be lodged au Greffe for debate by the States at the earliest opportunity.
DIRECTOR, FINANCE INDUSTRY DEVELOPMENT