The European Securities and Markets Authority (ESMA) has published a consultation paper on the operation of the buy-in process under the Regulation on improving securities settlement and regulating central securities depositories (the CSD Regulation).
The CSD Regulation introduces a buy-in process and confers on ESMA the power to draft technical standards on this matter.
Between 18 December 2014 to 19 February 2015 ESMA consulted on all the technical standards under the CSD Regulation. Many of the responses called for changing the approach on buy-in with a move of the responsibility for the execution of the buy-in at trading level. ESMA has conducted a further analysis of the issue and has identified possible options. The consultation paper now published is limited to the provision on buy-in of the draft regulatory technical standards and is seeking input on the different options identified.
Deadline for comments on the consultation paper is 6 August 2015.
ESMA will consider the responses it receives to the consultation paper when finalising the technical standards for submission to the European Commission in September 2015.
View Consultation on Draft Regulatory Technical Standards on the CSD Regulation, 30 June 2015