Global Trustee and Fiduciary Services Bite-Sized Issue 11 2025

5 QUICK LINKS AIFMD CBDC CRYPTOASSETS DIGITAL ASSETS FINTECH FSB MIFID/MIFIR (UK) IFR/IFD OPERATIONAL RESILIENCE OUTSOURCING SUSTAINABLE FINANCE/ESG T+1 TOKENISATION ASIA PACIFIC EUROPE NETHERLANDS NORTH AMERICA UNITED KINGDOM Global Trustee and Fiduciary Services Bite-Sized | Issue 11 | 2025 The call for evidence will be open until 26 November 2025. The FSSC expect to publish an interim report in the first half of 2026. Phases two and three will examine the scale of skills transformation required, and an action plan for success, and the FSSC expect to conclude the work by the end of 2026. Link to Call for Evidence here FSB Outlines Next Steps for Authorities on AI Monitoring On 10 October 2025, the Financial Stability Board (FSB) published a report looking at how authorities are monitoring adoption of Artificial Intelligence (AI) and related vulnerabilities in the financial sector, building on the FSB’s 2024 report on the Financial Stability Implications of AI. The FSB says that while financial authorities have made progress in understanding AI uses cases and their benefits and vulnerabilities, monitoring efforts are still at an early stage. The report highlights challenges faced by authorities, including data gaps and lack of standardised taxonomies, and identifies a range of indicators to support monitoring AI adoption and related vulnerabilities in the financial system. The FSB also states that third-party service providers play a critical role in helping financial institutions develop and deploy effective AI applications efficiently. However, such relationships expose financial institutions to operational vulnerabilities, and the growing use of generative AI (GenAI) could lead to critical third-party dependencies. The report highlights the dependence of GenAI on a small number of key suppliers such as specialised hardware, cloud infrastructure, and pre-trained models. This heavy reliance, says the FSB, can create vulnerabilities if there are few alternatives available. A case study on GenAI explores these challenges, drawing on the FSB’s third-party risk management toolkit and proposing indicators to assess criticality, concentration, substitutability, and the systemic relevance of third-party AI service providers. The FSB encourages national authorities to enhance their monitoring approaches, leveraging the indicators presented in the report. To support these efforts, the FSB will facilitate alignment in taxonomies and indicators through cross-border cooperation. Link to FSB Report here DRCF Launches Thematic Innovation Hub for Innovators with First Focus on Agentic AI On 10 October 2025, the Digital Regulation Cooperation Forum (DRCF) announced the launch of a Thematic Innovation Hub. Building on the success of the AI & Digital Hub pilot, the DRCF says that the Thematic Hub will extend its reach through tailored engagement and regulatory advice on priority topics. The Hub will act as a cross-cutting initiative, enabling businesses to benefit from joined-up regulatory insight on emerging technologies. The DRCF says that the first theme will focus on agentic AI – AI systems capable of autonomous decision-making and initiating actions without direct human prompts. As part of this new focus, the DRCF is inviting views from industry, academia, and civil society on the regulatory challenges and opportunities linked to the adoption of agentic AI. The deadline for response is 6 November 2025. Alongside the launch of the Thematic Hub, the DRCF has also published: • A blog: Regulation isn’t a Roadblock, it’s a Roadmap: Takeaways for Innovators from the DRCF AI and Digital Hub • An insights paper, Laying the Foundations for Cross-Regulatory Innovation Support: Insights from the DRCF AI and Digital Hub Pilot Link to DRCF Announcement here