On 4 April 2022, the European Commission adopted a decision declaring that a number of United States (US) exchanges supervised by the US Securities Exchange Commission (SEC) are equivalent to EU regulated markets. Derivatives traded on these US exchanges will now be treated as exchange-traded derivatives under EU law.

The Commission has also amended its equivalence decision regarding US central counterparties (CCPs). It now covers products e.g. mortgage-backed securities issued or granted by certain government-sponsored agencies traded on a to-be-announced basis.

These decisions complement the equivalence decision adopted by the Commission for US CCPs registered with the US SEC in 2021.

A number of US CCPs supervised by the US SEC have applied to the European Securities and Markets Authority (ESMA) for recognition based on the 2021 equivalence decision. These new decisions will allow the ESMA to continue to work on its recognition process, these US CCPs will be able to provide central clearing services in the EU, to EU clearing members and trading venues.

The Commission has also published:

  • Commission Implementing Decision (EU) / amending Implementing Decision (EU) 2021/85 on the equivalence to the requirements of Regulation (EU) No 648/2012 of the European Parliament and of the Council of the regulatory framework of the United States of America for central counterparties that are authorised and supervised by the U.S. Securities and Exchange Commission (C(2022)1962).
  • Commission Implementing Decision (EU) …/… of XXX determining that national securities exchanges of the United States of America that are registered with the Securities and Exchange Commission comply with legally binding requirements which are equivalent to the requirements laid down in Title III of Directive 2014/65/EU and are subject to effective supervision and enforcement and Annex.