Financial

July 10, 2020

On 9 July 2020, the European Commission issued a communication on readiness at the end of the transition period between the EU and the UK. The communication includes a section on financial services (section B1, pages 12 to 15) and the key points include: In most areas, such as insurance, commercial bank lending or deposit-taking, equivalence does not allow third-country firms to provide services to the EU but provide prudential or reporting reliefs to EU…

Financial services: Regulation tomorrow

ESMA highlights further aspects to consider in the finalisation of the framework for third-country CCPs

By Jochen Vester (UK)

July 10, 2020

On 9 July 2020, the European Securities and Markets Authority (ESMA) published a letter it sent to the European Commission (Commission) as a contribution to the Commission consultation on the delegated acts on tiering, comparable compliance and fees related to third-country central counterparties (TC-CCPs) under the revised European Market Infrastructure Regulation (EMIR 2.2). ESMA appreciates that the Commission duly considered the technical advice ESMA provided shortly after the adoption of EMIR 2.2 and recognises…

Financial services: Regulation tomorrow

AFME: CSDR settlement discipline penalties – market practice for bilateral claims

By Hannah McAslan (UK)

July 10, 2020

On 9 July 2020, the Association for Financial Markets in Europe (AFME) issued a document intended to provide guidelines for its members to handle bilateral claims between trading counterparties, related to penalties applied under the CSDR on failed instructions. The document has been created collaboratively by AFME members and is subject to change. The AFME guidelines should be applied from the date of entry into force of the CSDR settlement discipline regime, which is expected…

Financial services: Regulation tomorrow

ESMA clarifies external support within the meaning of Article 35 of the MMF Regulation

By Iona Wright (UK) & Imogen Garner (UK)

July 10, 2020

On 9 July 2020, the European Securities and Markets Authority (ESMA) issued a public statement on external support under Article 35 of the Money Market Funds Regulation (MMF Regulation). The statement has been issued by ESMA in light of financial markets authorities recent actions to mitigate the impact of COVID-19 on the EU’s financial markets, to clarify the potential interaction between the intermediation of credit institutions and the requirements of Article 35 of the MMF…

Financial services: Regulation tomorrow

ESMA consults on guidelines on calculation of positions under SFTR

By Matthew Gregory (UK)

July 10, 2020

On 9 July 2020, the European Securities and Markets Authority (ESMA) launched a consultation on draft guidelines on the calculation of positions by trade repositories (TRs) under the Securities Financing Transactions Regulation (SFTR). The draft guidelines set out the relevant clarification to TRs with regards to the compliance with Article 4(6) of SFTR setting out a general requirement for TRs to calculate positions (by cross-reference to Article 80 of the European Market Infrastructure Regulation (EMIR)).…

Financial services: Regulation tomorrow

EBA calls on resolution authorities to consider the impact of COVID-19 on resolution strategies and resolvability assessments

By Simon Lovegrove (UK)

July 10, 2020

On 9 July 2020, the European Banking Authority (EBA) published a statement on resolution planning in light of the COVID-19 pandemic. With this statement, the EBA intends to reiterate the importance of resolution planning in times of uncertainty to ensure that resolution stands as a credible option in times of stress. In addition, the EBA highlights the importance for resolution authorities to continue promoting institutions’ efforts to enhance their capabilities and increase their resolvability. The…

Financial services: Regulation tomorrow

EACH updates CSDR settlement discipline framework

By Hannah McAslan (UK)

July 10, 2020

On 9 July 2020, the European Association of Clearing Houses (EACH) published an updated version of its CSDR settlement discipline framework. The objective of the framework is to provide the European Securities and Markets Authority, relevant authorities and market participants with details of EACH’s implementation of the CSDR settlement discipline provisions that affect central counterparties and their clearing members.…

Financial services: Regulation tomorrow

FSB and Basel Committee set out supervisory recommendations for benchmark transition

By Hannah Meakin (UK)

July 10, 2020

On 9 July 2020, the Financial Stability Board (FSB) and the Basel Committee on Banking Supervision (Basel Committee) issued a report on supervisory issues associated with benchmark transition. The report includes insights on remaining challenges to LIBOR transition based on surveys undertaken by the FSB, the Basel Committee and the International Association of Insurance Supervisors. The report finds that most FSB jurisdictions have a strategy in place to address LIBOR transition, as opposed to only…

Financial services: Regulation tomorrow

Basel Committee publication: Targeted revisions to the CVA risk framework

By Jochen Vester (UK)

July 10, 2020

On 8 July 2020, the Basel Committee on Banking Supervision (Basel Committee) published a paper setting out the final targeted revisions to the credit valuation adjustment (CVA) risk framework. In January 2019 the Basel Committee published the revised market risk framework. In November 2019 the Basel Committee consulted on a set of targeted final revisions to the CVA risk framework designed to replace the standard published in December 2017. The amendments proposed in the consultation…

Financial services: Regulation tomorrow

Last chance to take part – Global operational resilience survey

By Lisa Lee Lewis (UK)

July 10, 2020

Operational resilience, which has risen to increased prominence over recent years, has been brought into even sharper focus following the outbreak of COVID-19. Our risk consulting team is carrying out a survey to explore how financial institutions are managing their crisis response planning and preparedness in the event of severe operational disruption, particularly leading up to and during the pandemic, now we are emerging into a world of “new normal”. The survey will explore topics…

Financial

Commission communication on readiness at the end of the transition period between the EU and the UK

ESMA highlights further aspects to consider in the finalisation of the framework for third-country CCPs

AFME: CSDR settlement discipline penalties – market practice for bilateral claims

ESMA clarifies external support within the meaning of Article 35 of the MMF Regulation

ESMA consults on guidelines on calculation of positions under SFTR

EBA calls on resolution authorities to consider the impact of COVID-19 on resolution strategies and resolvability assessments

EACH updates CSDR settlement discipline framework

FSB and Basel Committee set out supervisory recommendations for benchmark transition

Basel Committee publication: Targeted revisions to the CVA risk framework

Last chance to take part – Global operational resilience survey

Financial Blogs

Stay Connected

Company

Support

New to the Network