On 19 May 2022, the European Securities and Markets Authority (ESMA) issued four consultation papers on proposed guidelines for the EU central counterparty (CCP) resolution regime. The consultation papers cover draft guidelines on: The summary of resolution plans. The guidelines provide resolution authorities with guidance as to the type of information that should be included … Continue Reading
On 19 May 2022, the European Securities and Markets Authority (ESMA) issued a final report on highly liquid financial instruments for central counterparty (CCP) investment policies under the European Market Infrastructure Regulation (EMIR). The final report has been published in response to a mandate that the European Commission issued on 18 May 2020 asking the … Continue Reading
On 16 May 2022, the European Securities and Markets Authority (ESMA) published its final reports on the central counterparties’ (CCPs) resolution regime under the Regulation on CCP recovery and resolution (CCPRRR). The final reports are: Final report on guidelines on the application of the circumstances under which a CCP is deemed to be failing or … Continue Reading
Further to our blog ‘European Commission adopts additional equivalence decisions for US exchanges’ the following were published in the Official Journal of the EU on 6 April 2022: Commission Implementing Decision (EU) 2022/551 of 4 April 2022 amending Implementing Decision (EU) 2021/85 on the equivalence to the requirements of Regulation (EU) No 648/2012 of the … Continue Reading
On 5 April 2022, the European Securities and Markets Authority (ESMA) announced that it had provided a high-level response to the European Commission’s consultation on a targeted review of the European Markets Infrastructure Regulation (EMIR) with respect to the EU’s central clearing framework. In its response the ESMA begins by outlining certain key considerations regarding … Continue Reading
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 … Continue Reading
On 1 April 2022, the European Securities and Markets Authority (ESMA) published the second edition of its Data Quality Report which is based on the data that was gathered under the European Markets Infrastructure Regulation (EMIR) and the Securities Financing Transactions Regulation (SFTR) reporting regimes. The purpose of the report is to provide a holistic … Continue Reading
On 25 March 2022, the European Securities and Markets Authority (ESMA) published a final report containing: Guidelines that amend the current guidelines on transfer of data between trade repositories (TRs) under the European Markets Infrastructure Regulation (EMIR). The amendments seek to strengthen the existing framework to port records from one TR to another under EMIR. … Continue Reading
On 25 March 2022, the European Securities and Markets Authority (ESMA) announced that it had amended the recognition decisions and tiering determination decisions in respect of the three recognised UK central counterparties (CCPs) – ICE Clear Europe Ltd, LCH Ltd and LME Clear Ltd – that were adopted by ESMA on 25 September 2020, to … Continue Reading
On 25 March 2022, the European Securities and Markets Authority (ESMA) announced a series of updates in relation to the recognition of central counterparties (CCPs) established in third countries under the European Markets Infrastructure Regulation (EMIR). The updates include the review of recognitions of third country CCPs (TC–CCPs) that were already previously recognised, the conclusion … Continue Reading
On 22 March 2022, the European Systemic Risk Board (ESRB) published a letter that it had sent to the European Commission concerning the targeted consultation on the review of the central clearing framework in the EU. Generally, the ESRB welcomes the consultation which reflect its proposals set out in a response to an earlier consultation … Continue Reading
On 16 March 2022, the European Commission published a draft Regulation that amends the Central Securities Depositories Regulation (CSDR). In addition, the Commission has published FAQs, an impact assessment and a summary impact assessment on its proposal. The draft Regulation is intended to improve: The passport regime by, for example, shortening the period to transmit … Continue Reading
On 14 March 2022, the European Securities and Markets Authority (ESMA) published guidance on the annex to its opinion determining third-country trading venues for the purpose of transparency under the Markets in Financial Instruments Regulation (MiFIR). The guidance provides an overall description of the third-country trading venues’ assessment. It also provides general guidance concerning updates … Continue Reading
On 10 March 2022, the Financial Stability Board (FSB), the Committee on Payments and Market Infrastructures (CPMI) of the Bank for International Settlements and the International Organization of Securities Commissions (IOSCO) co-published a report analysing existing financial resources and tools for central counterparty (CCP) recovery and resolution, which confirmed the need for further work on … Continue Reading
On 7 March 2022, the European Commission issued a four week consultation on a draft Implementing Decision on the equivalence of the regulatory framework for central counterparties (CCPs) in Malaysia to the requirements of the European Market Infrastructure Regulation (EMIR). The draft Implementing Decision provides that for the purposes of Article 25 of EMIR, the … Continue Reading
On 23 February 2022, the European Securities and Markets Authority (ESMA) issued a call for evidence seeking views on: A proposed classification of climate risks relevant to central counterparties (CCPs). The methodology to build an EU-wide climate risk stress testing framework for CCPs. How to best calibrate this stress test. The current development of climate … Continue Reading
On 8 February 2022, the European Commission (Commission) published: Commission Delegated Regulation (EU) /… amending the regulatory technical standards (RTS) laid down in Delegated Regulation (EU) 2015/2205 as regards the transition to new benchmarks referenced in certain over-the-counter (OTC) derivative contracts. This amending Delegated Regulation amends Delegated Regulation (EU) 2015/2205 to reflect the LIBOR transition … Continue Reading
On 8 February 2022, the European Commission adopted an implementing decision extending market access for London clearinghouses until 30 June 2025. The implementing decision notes that the working group that the Commission appointed in 2021 on the opportunities and challenges related to transferring the clearing of derivatives from the UK to the EU have found … Continue Reading
On 31 January 2022, the European Securities and Markets Authority (ESMA) published its final reports on the recovery regime for central counterparties (CCPs), as required under the Regulation on CCP recovery and resolution (CCPRRR). The seven final reports are intended to further assist the preparedness of the market and ensure that CCPs can restore their … Continue Reading
On 5 January 2022, the European Securities and Markets Authority (ESMA) issued a paper ‘Methodology for Mandatory Peer Reviews in relation to CCPs’ authorisation and supervision under EMIR’. The European Markets Infrastructure Regulation (EMIR), as amended by European Regulation No 2019/2099 (EMIR 2.2) requires ESMA to undertake, at least annually, a peer review analysis of … Continue Reading
On 8 December 2021, the European Securities and Markets Authority (ESMA) issued a final report containing guidelines on settlement fails reporting under Article 7 of the Central Securities Depositories Regulation (CSDR). The guidelines apply to Member State competent authorities designated under Article 11 of CSDR and to central securities depositories (CSDs) as defined in Article … Continue Reading
On 3 December 2021, the Financial Stability Board (FSB) published a report regarding the implementation progress of over-the-counter (OTC) derivatives market reforms in 2021. The report tracks the international progress in implementing G20 reforms to global OTC derivatives markets following the 2008 global financial crisis. The following progress has been made since the previous annual … Continue Reading
On 1 December 2021, the European Securities and Markets Authority (ESMA), announced that it will begin publishing information on trading venues with the highest turnover for bonds. This information is needed by Central Securities Depositories (CSDs) to apply cash penalties under the CSD Regulation. ESMA aims to publish the first data by 1 February 2022 … Continue Reading
On 29 November 2021, the Committee on Payments and Market Infrastructures (CPMI) and the Board of the International Organization of Securities Commissions (IOSCO) published a discussion paper on client clearing. The discussion paper considers issues concerning access to central counterparties (CCPs) and effective porting practices. The discussion paper does not intend to provide guidance on … Continue Reading
