Global Trustee and Fiduciary Services Bite-Sized Issue 5 2026

AI FCA Announces Second Cohort for AI Live Testing On 21 April 2026, speaking at UK FinTech Week, Jessica Rusu, Chief Data, Information and Intelligence Officer at the Financial Conduct Authority (FCA), confirmed the second group of firms selected to join AI Live Testing. The FCA says that it is working with its technical partner to provide AI Live Testing. This initiative helps successful applicants explore key questions around risk management and live monitoring to support the responsible deployment of AI for consumers and markets. The FCA says that the applications reflect the fast-evolving nature of the technology, with a diverse range of AI models underpinning use cases – from agentic AI and small language models to emerging solutions such as neurosymbolic AI. Firms in the second group are testing both customer-facing and business‑to‑business use cases, including AI-enabled targeted support for investments, credit score insights for consumers, agentic payments, anti-money laundering detection, and Know Your Customer. The FCA explains that it will also publish a good and poor practice report for AI in financial services later in 2026 to support firms in the safe and responsible adoption of the developing technology. The FCA’s announcement coincides with the publication of its Innovation Insights report, which highlights how fintech innovation is evolving in the UK and what the FCA is learning from firms engaging with its innovation services. The FCA says that the report also shows that fintech market activity closely matches demand for the FCA’s innovation services, particularly in fast-growing areas like AI. Applications for the AI Live Testing second cohort opened in January 2026, with firms beginning testing in April. Testing will conclude by the end of the year, with an evaluation report published in Q1 2027 . Link to FCA Announcement here Link to Speech by Jessica Rusu, FCA Chief Data, Information and Intelligence Officer: Supporting fintech in the next phase of innovation here Dutch AFM: AI Use is Growing, and So Are the Risks On 7 April 2026, the Netherlands Authority for the Financial Markets (AFM) published a report “AI in the Dutch asset management sector: use is growing, and so are the risks”. In the report the AFM says that it investigated how artificial intelligence (AI) is being used, the developments the sector is undergoing, and the risks this entails. The AFM states that the findings show that usage is increasing, whilst policy and agreements are lagging behind, creating risks that institutions will soon become dependent on systems they do not fully understand, or can control. The AFM says in the report that more asset managers are adopting AI, but the organisations behind them are not always keeping pace. Some firms are leading the way in adoption. They use AI for analysis, price forecasting and improving trading strategies, amongst other things. Investor Services Bite-Sized Global Trustee and Fiduciary Services QUICK LINKS Issue 5 | 2026 AI CRYPTOASSETS CYBER EMIR FINTECH FUND LIQUIDITY MICA SUSTAINABLE FINANCE/ESG T+1 ASIA PACIFIC EUROPE IRELAND NORTH AMERICA UNITED KINGDOM