On 23 July 2020, the European Banking Authority (EBA) issued a public consultation on its draft Regulatory Technical Standards (RTS) specifying the methodology to be used by Member State resolution authorities to estimate the Pillar 2 (P2R) and combined buffer requirements (CBR) at resolution group level for
On 23 July 2020, the European Banking Authority (EBA) issued a public consultation on draft Regulatory Technical Standards (RTS) and draft Implementing Technical Standards (ITS) on the impracticality of contractual recognition of write-down and conversion powers and related notifications as laid down in the Bank Recovery and Resolution Directive
On 24 July 2020, the European Central Bank (ECB) issued a public consultation on the publication by it of compounded term rates using the euro short-term rate (€STR).
The motivation behind the consultation is that the ECB is to provide benchmark users with compounded values of the €STR for selected maturities.
As noted in previous LIBOR Transition posts, the availability of LIBOR as a reference rate is not guaranteed beyond the end of 2021. On July 1, 2020, the Federal Financial Institutions Examination Council (FFIEC), which consists of US federal and state banking regulators and the Consumer Financial Protection Bureau, issued a Joint Statement highlighting the
On 23 July 2020, the FCA issued a portfolio letter to debt advice firms.
Boards of debt advice firms are asked to consider the letter’s contents and carry out any necessary changes to their business model. In the letter, the FCA:
On 23 July 2020, the PRA published Consultation Paper 10/20: Simplified Obligations for recovery planning (CP10/20). In CP10/20 the PRA sets out a proposal to allow certain firms to benefit from Simplified Obligations for recovery planning (Simplified Obligations), in light of the discretion it has under Article 4(1) of the Bank
On 23 July 2020, the European Banking Authority (EBA) published guidelines that make available to Member State competent authorities a special procedure for the supervisory review and evaluation process (SREP) for the year 2020. The new guidelines identify how flexibility and pragmatism could be exercised in relation to the SREP framework
On 23 July 2020, the European Central Bank (ECB) published the results of its industry-wide assessment of banks’ preparedness for the benchmark interest rate reforms. While banks are generally well aware of the complexity of the reforms and the challenges involved, their level of preparation leaves room for improvement, according to the survey.
On 23 July 2020, the European Securities and Markets Authority (ESMA) published a MiFID II / MiFIR Annual Review Report under Commission Delegated Regulation (EU) 2017/583 (RTS 2). The report lays down the thresholds for the liquidity criterion ‘average daily number of trades’ for bonds, as well as the trade percentiles.
On 23 July 2020, the European Banking Authority (EBA) issued a consultation paper on draft regulatory technical standards (RTS) specifying how institutions should determine exposures arising from derivative and credit derivative contracts not entered directly into with a client but whose underlying debt or equity instrument was issued by a client.