Introduction On 29 September 2017, the European Banking Authority (EBA) published an opinion on the design of a new prudential framework for investment firms. The new regime will apply to all MiFID firms, including those that will be brought into scope by MiFID II. The EBA makes a total of 62 recommendations in the following […]

The EC has announced its adoption of an implementing act to extend the transitional period for the application of the CRR to CCPs by a further six months. The Capital Requirements Regulation mandates levels of capital that must be held by EU banking groups against their exposure to central counterparties. The EC had already extended […]

Risk magazine reports that the EC may extend the date by which ESMA must make a final decision on the equivalence of foreign jurisdictions for clearing under EMIR. A volte-face made all the more surprising by previous intransigence. Lacking such authorisation, CCPs will lose their interim “Qualifying” CCP status; a qualification that confers a capital […]

The EC has extended the transition period during which banks may apply lower capital charges to those CCPs not yet authorised under EMIR. CCPs will continue to be regarded as QCCPs for Capital Requirements Regulation (CRR) purposes until 15 December 2014. Article 497(3) of CRR allows the Commission to adopt an implementing act to extend […]

IOSCO has published a letter from Michel Barnier in reply to their own repeated requests for clarification on the status of Asian-Pacific CCP’s under EMIR (posts re. their concerns are here and here). Highlights (such as they are) of his response are as follows: The letter opens with the caveat that although Mr Barnier is […]

On 19 December 2013, the European Banking Authority (EBA) published final draft Implementing Technical Standards (ITS) on the hypothetical capital of a central counterparty under Articles 50a, 50c and 89(5a) of EMIR, as amended by Article 520 of the Capital Requirements Regulation (CRR).  The ITS have been submitted to the EU Commission for approval and […]

On 28 October 2013, the European Banking Authority (EBA) published a press release and consultation paper on a draft recommendation on the use of Legal Entity Identifiers (LEIs).  The consultation remains open for comment until 28 November 2013. The EBA has developed draft Implementing Technical Standards on Supervisory Reporting (ITS) pursuant to the Capital Requirements […]

An interesting article in Risk magazine highlights the conjunction between EMIR 3rd Country CCP RTS and the CRR risk weightings. EMIR mandates that CCP’s have to apply to ESMA by 15th September, to benefit from a 180 day grace period during which they will be temporarily recognised as a QCCP. If they lack QCCP status, […]

Following their adoption by the EU Council on 20 June 2013, the Capital Requirements Regulation (CRR) and the Capital Requirements Directive (CRD), the EU’s implementation of the Basel III reforms, were published in the EU Official Journal (OJ) on 27 June 2013. The CRR enters into force on 28 June 2013 (with the exception of […]