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Global webinar on 18 November 2021 – ESG regulation: Global themes and what’s on the horizon

We invite you to join our webinar on 18 November 2021 in which our global financial services team will discuss and examine recent ESG related developments across key jurisdictions and provide their views on what’s on the horizon. The webinar will be held on the following times during 18 November 2021: 14:00 SGT and HKT … Continue Reading

EBA consults on draft technical standards on Initial Margin Model Validation under EMIR

On 4 November 2021, the European Banking Authority (EBA) issued a consultation paper containing draft Regulatory Technical Standards (RTS) on Initial Margin Model Validation (IMMV) under the European Markets Infrastructure Regulation (EMIR). The consultation paper sets out the supervisory procedures for initial and ongoing validation of initial margin models, which will be used to determine … Continue Reading

EBA publishes final draft technical standards specifying how to identify the appropriate risk weights and conditions when assessing minimum LGD values for exposures secured by immovable property

On 5 November 2021, the European Banking Authority (EBA) published its final draft Regulatory Technical Standards (RTS) specifying the types of factors and conditions to be considered for the assessment of the appropriateness of risk weights and of minimum loss given default (LGD) values. These final draft RTS will support relevant authorities across EU Member … Continue Reading

Monthly Global FinTech regulatory updater

Every month we provide the Global Blockchain Business Council’s Post-Trade Distributed Ledger group with a global regulatory FinTech updater, the latest version of which can be found here. Post Trade Distributed Ledger (PTDL) Group is composed of over 40 prominent market infrastructure stakeholders whose shared vision of the use of distributed ledger technology has brought them … Continue Reading

nvestment Association/Norton Rose Fulbright: Model Discretionary Investment Management Agreement (V 3.0)

On 4 November 2021, the Investment Association published version 3.0 of its model discretional investment management agreement, in co-operation with Norton Rose Fulbright. The model agreement is a template agreement relating to the appointment of a discretionary investment manager by a client that has been categorised by the manager as a professional client. The model … Continue Reading

IPSF Common Ground Taxonomy package

On 4 November 2021, the International Platform on Sustainable Finance (IPSF) published a Common Ground Taxonomy package consisting of: Instruction report. Common ground taxonomy table. Call for feedback. The IPSF is a multilateral forum that aims to enable the exchange of practices and increase international cooperation on sustainable finance related matters. Part of this work … Continue Reading

European Commission IPSF report on the state and trends of ESG disclosure policy measures across IPSF jurisdictions, Brazil, and the US

On 4 November 2021, the International Platform on Sustainable Finance (IPSF) published a report on the state and trends of ESG disclosure policy measures across the IPSF jurisdictions, Brazil and the US. The report provides an overview of the state of environmental, social and governance (ESG) disclosure related policy measures, including laws, regulations, recommendations and … Continue Reading

Speech given by Erik Thedéen, Chair IOSCO Sustainable Finance Task Force at the Green Horizon Summit

On 4 November 2021, Erik Thedéen, the Chair of the International Organisation of Securities Commissions (IOSCO) Sustainable Finance Task Force gave a speech at the Green Horizons Summit during COP26, to discuss the IOSCO’s recent work on sustainable finance. The IOSCO’s work has focused on issuers and asset managers’ disclosures, alongside the role of ESG … Continue Reading

Effective Implementation of FSB Principles for Sound Compensation Practices and Implementation Standards 2021 progress report

On 4 November 2021, the Financial Stability Board (FSB) issued a progress report on the implementation of its Principles for Sound Compensation Practices (Principles) and their Implementation Standards in financial institutions. The progress report focusses on: The effectiveness of compensation frameworks. While in-year adjustments and malus are commonly used, the use of clawback is not … Continue Reading

IIF launches new guidance template to support effective climate disclosures

On 3 November 2021, the Institute of International Finance (IIF) launched a new TCFD Guidance Template to help financial institutions align their climate-related disclosures with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), with a focus on the banking sector. Drawing in observed industry practices, including mapping and benchmarking of TCFD reports … Continue Reading

IOSCO recommendations on sustainability-related practices, policies, procedures and disclosure in asset management

On 2 November 2021, the International Organisation of Securities Commissions (IOSCO) published a final report containing a set of  recommendations on sustainability-related practices, policies, procedures and disclosure in asset management.  The final report also sets out the findings from IOSCO fact finding exercises that included a survey of its members concerning regulatory and supervisory approaches … Continue Reading

FSB progress report ‘Enhancing the Resilience of Non-Bank Financial Intermediation’

On 1 November 2021, the Financial Stability Board (FSB) published its progress report, ‘Enhancing the Resilience of Non-Bank Financial Intermediation’, which was delivered to G20 Leaders ahead of their Summit last weekend. This report details the progress over the past year and the planned work set out by the FSB alongside, standard-setting bodies and other … Continue Reading

ESMA makes new bond liquidity data available and publishes data for the SI calculations

On 29 October 2021, the European Securities and Markets Authority (ESMA) published the latest quarterly liquidity assessment for bonds available for trading on EU trading venues. The full list of assessed bonds will be available through FITRS in the XML files with a publication date from 29 October 2021 and through the Register web interface. … Continue Reading

FATF update guidance on risk-based approaches for virtual assets and virtual asset service providers

On 28 October 2021, the Financial Action Task Force (FATF) published updated guidance for a risk-based approach for virtual assets (VA) and virtual asset service providers (VASP). This guidance mentions how the FATF plans to closely monitor the VA and VASP sector for any material changes that necessitate further clarification of the FATF standards. This … Continue Reading

EBA publishes Consultation Paper on amending RTS on SCA and CSC under PSD2

On 28 October 2021, the European Banking Authority (EBA) launched a public consultation on the amendment of its Regulatory Technical Standards (RTS) on strong consumer authentication and secure communication (SCA&CSC) under the Payment Directive (PSD2) with regard to the 90-day exemption for account access. The amendments proposed in the Consultation Paper aim to address a … Continue Reading

European Commission publish a banking package for 2021, implementing new EU rules to strengthen banks’ resilience and better prepare for the future

On 27 October 2021, the European Commission published a new banking package. Adopting a review of EU banking rules (the Capital Requirements Regulation and the Capital Requirements Directive). The new rules will ensure that EU banks become more resilient to potential future economic shocks, while helping towards Europe’s recovery from COVID-19 and the transition to … Continue Reading

IOSCO publish its final report setting out principles on outsourcing

On 27 October 2021, the Board of International Organization of Securities Commissions (IOSCO) published a report titled, ‘Principles on Outsourcing’. The principles are intended for regulated entities that outsource tasks to service providers. They have been developed based on the earlier 2005 Outsourcing Principles for Market Intermediaries and the 2009 Outsourcing Principles for Markets, but … Continue Reading

The FATF publish its high-level synopsis of the stocktake in regards to the unintended consequences of the FATF Standards

The Financial Action Task Force (FATF) launched a project in February 2021 which studies and mitigates the unintended consequences resulting from the incorrect implementation of the FATF Standards. There are four areas of focus for this project which are: de-risking; financial exclusion; undue targeting of NPOs; and curtailment of human rights (with a focus on due … Continue Reading

AFME publish responses made to HMT call for evidence on AML/CTF supervisory regime and on amendments to AML legislation

On 26 October 2021, the Association for Financial Markets in Europe (AFME) published two Consultation Responses (CR) in response to two publications that the HM Treasury released. The AFME is the European member of the Global Financial Markets Association (GFMA) a global alliance with the Securities Industry and Financial Markets Association (SIFMA) in the US, … Continue Reading

ESAs propose new rules for taxonomy-related product disclosures

On 22 October 2021, the ESAs delivered to the European Commission their Final Report with the draft RTS regarding disclosures under the Sustainable Finance Disclosure Regulation (SFDR) as amended by the Regulation on the establishment of a framework to facilitate sustainable investment (Taxonomy Regulation). The disclosures relate to financial products that make sustainable investments contributing … Continue Reading

Cross Border Payments – Survey Results on Implementation of the FATF

On 22 October 2021, the Financial Action Task Force (FATF) published the results of its survey that was designed to identify key areas of divergence in the implementation of its AML/CFT requirements across different states, which create frictions for cross-border payments and their potential solutions. The survey results highlight, among others, that lack of a … Continue Reading

Commission Implementing Regulations related to benchmark reform

On 22 October 2021, there was published in the Official Journal of the EU: Commission Implementing Regulation (EU) 2021/1848 of 21 October 2021 on the designation of a replacement for the benchmark Euro overnight index average Commission Implementing Regulation (EU) 2021/1847 of 14 October 2021 on the designation of a statutory replacement for certain settings … Continue Reading

Final Draft Regulatory Technical Standards on gross JTD amounts under Article 325w(8) of Regulation (EU) No 575/2013

On 22 October 2021, the European Banking Authority (EBA) published its final draft Regulatory Technical Standards (RTS) on gross jump-to-default (JTD) amounts and on residual risk add-on (RRAO). These final drafts provide specifications for implementing these two elements of the alternative standardised approach for market risk. Institutions using this approach are required to compute, on … Continue Reading

EBA replies to the European Commission’s call for advice on funding in resolution and insolvency as part of the review of the crisis management and deposit insurance framework

On 22 October 2021, The European Banking Authority (EBA) published its advice to the EU Commission on funding in resolution and insolvency as part of the review of the crisis management and deposit insurance (CMDI) framework. In 2020, the European Commission (EC) initiated a review of the EU CMDI framework, which lays out rules for … Continue Reading
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