In this latest edition of Regulation Around the World, we focus on the global transformation of the settlement of securities transactions, as many jurisdictions begin to shift from a standard settlement timeline of two business days after trade to just one. In this issue, we examine these developments, exploring the regulatory frameworks, cross-border challenges and technological
On 21 May 2026, the International Organization to Securities Commissions (IOSCO) published a Consultation Report, Regulatory Considerations and Good Practices on the Evolution of Market Liquidity During the Trading Day.
The Consultation Report analyses how liquidity is distributed throughout the trading day – including the increasing concentration of trading at the close
The Senate has adopted the amendment to the bonus cap on 19 May 2026. This update outlines the key changes introduced by the amendment, including its impact on identified staff and the broader remuneration framework within the financial sector.
We also highlight practical steps that financial institutions may wish to consider in light of these
On 19 May 2026, the Bank of England (BoE) issued a discussion paper on central counterparty (CCP) resolution execution and resolvability outcomes.
Background
The BoE is the resolution authority for UK CCPs and has responsibility, alongside HM Treasury (HMT), for exercising the powers conferred by the CCP resolution regime.
On 18 May 2026, the Bank of England (BoE) published a consultation paper, Extending RTGS and CHAPS settlement hours – next steps towards near 24×7 settlement.
Background
The BoE has publicly stated its ambition to move towards near 24×7 RTGS and CHAPS settlement around the turn of the decade, following a phased
On 13 May 2026, the European Securities and Markets Authority (ESMA) published a resolution briefing for central counterparties (CCPs).
The resolution briefing is issued under Article 25 of the ESMA Regulation and Article 5 of Regulation (EU) 2021/23. The objective of the CCP resolution briefing is to provide a methodology to
On 12 May 2026, the European Securities and Markets Authority (ESMA) updated its Opinion on the Trading Venue Perimeter.
The changes that ESMA has made to its previous opinion are in red.
In particular, ESMA has added a new paragraph 51 regarding pre-trade transparency requirements applicable to non-equity instruments. The paragraph provides that:
On 6 May 2026, the Bank for International Settlements’ Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) published a consultation on proposed amendments to (i) the Resilience of central counterparties (CCPs): Further guidance on the Principles for financial market infrastructures (PFMI) (CCP resilience
On 5 May 2026, the European Commission (Commission) adopted a Delegated Regulation supplementing the European Market Infrastructure Regulation (EMIR) by specifying the method for the determination of fees charged by the European Banking Authority for the validation of the pro forma models referred to in Article 11(3), fourth subparagraph, of that
On 30 April 2026, the European Securities and Markets Authority (ESMA) announced the launch of its sixth stress test exercise for central counterparties (CCPs). The CCP stress test framework drafted by ESMA for the purpose of this exercise is supported by an adverse market scenario provided by the European Systemic Risk