On 23 July 2019, the Basel Committee on Banking Supervision (Basel Committee) and the International Organization of Securities Commissions (IOSCO) issued a joint statement confirming that the final implementation of the margin requirements for non-centrally cleared derivatives would be extended by one year. With this extension, the final implementation phase will take place on 1 … Continue Reading
On 22 July 2019, the European Securities and Markets Authority (ESMA) published its annual peer review report on the overall supervision of EU central counterparties (CCPs) by Member State national competent authorities (NCAs). The peer review covered NCAs of CCPs authorised under the European Markets Infrastructure Regulation (EMIR) as of 1 June 2018. On this … Continue Reading
On 15 July 2019, the European Securities and Markets Authority (ESMA) updated its Q&As on practical questions regarding the European Markets Infrastructure Regulation (EMIR). ESMA has updated the Q&As so that they are aligned with the EMIR Refit Regulation. The following have been amended or deleted: General questions – Question 1 – Funds, counterparties – … Continue Reading
On 12 July 2019, the European Securities and Markets Authority (ESMA) issued a public statement addressing the misalignment between the scope of counterparties subject to the EMIR clearing obligation (CO) and those subject to the MiFIR derivatives trading obligation (DTO). ESMA’s statement addresses two areas: clearing and trading obligations for small financial counterparties (FCs) and … Continue Reading
On 11 July 2019, the European Securities and Markets Authority updated its Q&As on the implementation of the Central Securities Depository Regulation (CSDR). Part IV of the Q&As dealing with internalised settlement now contains answers to the following questions: Should an investment firm report client orders where the corresponding settlement instructions are forwarded in their … Continue Reading
On 10 July 2019, the GFXC released further detail from its 22 – 23 May meeting during which the committee discussed its mandate to consider the case for a comprehensive review of the FX Global Code (Code) at least every three years. The GFXC also announced that Neill Penney, managing director and co-head of trading … Continue Reading
On 1 July 2019, the European Securities and Markets Authority (ESMA) updated its Q&As regarding the implementation of the Central Securities Depository Regulation (CSDR). ESMA has updated Part IV of the Q&As dealing with the scope of internalised settlement. In particular, it provides the following question and answer: What financial instruments should be covered by … Continue Reading
On 18 June 2019, the Financial Services and Markets Act 2000 (Over the Counter Derivatives, Central Counterparties and Trade Repositories) (Amendment) Regulations 2019 were published on legislation.gov.uk, together with an explanatory memorandum. These Regulations make the necessary changes to UK legislation to implement Regulation (EU) No 2019/834 of the European Parliament and of the Council … Continue Reading
On 18 June 2019, the European Securities and Markets Authority (ESMA) updated its Q&As on the implementation of the Central Securities Depository Regulation (CSDR). The ESMA press release that accompanies this latest version of the Q&As states that the updates: clarify the interaction between the main authorisation procedure (Article 17 of the CSDR) and the … Continue Reading
On 20 June 2019, there was published in the Official Journal of the European Union (OJ), Commission Delegated Regulation (EU) 2019/1000 of 14 March 2019 amending Delegated Regulation (EU) 2017/1799 as regards the exemption of the People’s Bank of China from the pre- and post-trade transparency requirements in MiFIR. The Delegated Regulation comes into force … Continue Reading
On 20 June 2019, there was published in the Official Journal of the European Union (OJ), Decision (EU) 2019/1006 of the European Central Bank (ECB) of June 7, 2019 amending Decision ECB/2011/20 establishing detailed rules and procedures for implementing the eligibility criteria for central securities depositories to access TARGET2-Securities services. On the same date there … Continue Reading
On 13 June 2019, the European Securities and Markets Authority (ESMA) published an updated version of its Q&As on the implementation of EMIR. The updated Q&As contain: a new Q&A on the calculation of the clearing threshold under Article 10 of EMIR; and a new Q&A on the reporting obligation under Article 9(1) of EMIR.… Continue Reading
On 14 June 2019, the European Securities and Markets Authority (ESMA) published a letter to the Commission, dated 7 June 2019, regarding the calculation of the month-end average positions of financial counterparties (FC) in non-financial groups under the EMIR Refit regulation, which is used to determine whether FCs are subject to the clearing obligation when … Continue Reading
On 11 June 2019, the FCA updated its webpage on EMIR notifications and exemptions to reflect changes introduced by the EMIR Refit Regulation (EMIR Refit). Two new sections have been added to the webpage providing information on: small financial counterparties – exceeding the clearing thresholds. The information provided by the FCA explains more about calculating … Continue Reading
Introduction The EMIR Refit Regulation (EMIR Refit) will enter into force on 17 June 2019. With some exceptions, it will apply from that date. The purpose of the EMIR Refit is to amend and simplify the European Markets Infrastructure Regulation (EMIR) “to address disproportionate compliance costs, transparency issues and insufficient access to clearing for certain … Continue Reading
On 5 June 2019, the Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) jointly published a discussion paper on central counterparty (CCP) default management auctions. A default management auction is one of the tools that a CCP may use to transfer a defaulting participant’s positions or subset thereof … Continue Reading
On 31 May 2019, the European Money Markets Institute (EMMI) announced that on 2 October 2019, the change in EONIA’s methodology will take effect. This announcement was published alongside the summary of the stakeholder consultation feedback on the recommendations for EONIA by the Working Group on euro risk-free rates. In view of the feedback received, … Continue Reading
On 27 May 2019, the European Securities and Markets Authority (ESMA) published an updated version of its Q&As on the implementation of the European Markets Infrastructure Regulation (EMIR). The updated Q&As contain: an amended Q&A on the procedure for financial counterparties and non-financial counterparties to notify that they exceed or no longer exceed clearing thresholds; … Continue Reading
On 27 May 2019, the European Securities and Markets Authority (ESMA) published a consultation paper on draft guidelines on periodic information and notification of material changes to be submitted to ESMA by trade repositories (TRs). The draft guidelines set out the information that should be periodically submitted by TRs to ESMA. The draft guidelines clarify … Continue Reading
On 28 May 2019, there was published in the Official Journal of the EU (OJ) Regulation (EU) 2019/834 amending EMIR as regards the clearing obligation, the suspension of the clearing obligation, the reporting requirements, the risk-mitigation techniques for OTC derivative contracts not cleared by a central counterparty, the registration and supervision of trade repositories and the … Continue Reading
On 24 May 2019, the European Securities and Markets Authority (ESMA) updated its Q&As on the Central Securities Depositories Regulation (CSDR) by inserting a new section on internalised settlement reporting requirements (pages 26 and 27) covering: matching: the first Q&A in this new section clarifies that, in the case of internalised settlement instructions that require … Continue Reading
On 14 May 2019, the European Council announced that it has adopted the EMIR Refit Regulation at first reading. The announcement states that the Regulation adopted by Ministers amends and simplifies the European Markets Infrastructure Regulation (EMIR) “to address disproportionate compliance costs, transparency issues and insufficient access to clearing for certain counterparties.” It also notes … Continue Reading
On 2 May 2019, the Financial Stability Board (FSB) announced that it has designated The Derivatives Service Bureau (DSB) Ltd (DSB) as the service provider for the future Unique Product Identifier (UPI) system. As the sole issuer of UPI codes, the DSB will also be the operator of the UPI reference data library. The designation … Continue Reading
On 2 May 2019 there was published in the Official Journal of the EU, Commission Implementing Decision (EU) 2019/684 of 25 April 2019 on the recognition of the legal, supervisory and enforcement arrangements of Japan for derivatives transactions supervised by the Japan Financial Services Agency as equivalent to the valuation, dispute resolution and margin requirements … Continue Reading
