The Netherlands (and EU regulation)

ESMA decision to renew ban on marketing, distribution or sale of binary options enters into force

On 21 December 2018, ESMA published a notice of its decision adopted on 14 December 2018 under Article 40 of MiFIR to renew the prohibition on the marketing, distribution or sale of binary options to retail clients. The decision has applied from 2 January 2019, and will apply for a period of three months. The … Continue Reading

ESMA statement on UK CCPs’ and CSDs’ recognition applications for a no-deal Brexit scenario

On 20 December 2018, European Securities and Markets Authority (ESMA) issued a public statement stating that it is ready to review UK central counterparties’ (CCPs) and Central Securities Depositories’ (CSDs) recognition applications for a no-deal Brexit scenario. ESMA states that it aims to recognise UK CCPs in a timely manner, where the four recognition conditions … Continue Reading

ESMA provides update on assessment of third-country trading venues for the purpose of post-trade transparency and position limits

On 20 December 2018, the European Securities and Markets Authority (ESMA) published an update on its assessment of third-country trading venues (TCTVs) for the purpose of post-trade transparency and position limits under MiFID II and MiFIR. However, it also states that to date it has not reviewed enough TCTVs to publish a comprehensive list. To … Continue Reading

ESMA to renew restrictions on CFDs for a further 3 months from 1 February 2019

On 20 December 2018, the European Securities and Markets Authority (ESMA) agreed to renew the restriction on the marketing, distribution or sale of contracts for differences to retail clients, in effect since 1 August, from 1 February 2019 for a further three month period.… Continue Reading

Minister informs the Dutch Parliament on the progress of the revised EU prudential framework for investment firms

On 17 December 2018, the Dutch Minister of Finance (the Minister) sent a letter to the Dutch Parliament on the decision-making progress with regard to the revised EU prudential framework for investment firms. This framework consists of a proposal for a regulation on prudential requirements for investment firms (the Investment Firm Regulation) and a proposal … Continue Reading

Commission implements “no-deal” Contingency Action Plan in specific sectors

On 19 December 2018, the European Commission (Commission) issued a press release stating that it has started to implement its “no deal” Contingency Action Plan. This delivers on the Commission’s commitment to adopt all necessary “no deal” proposals by the end of the year, as outlined in its second preparedness Communication of 13 November 2018. … Continue Reading

ESMA consults on measures to promote sustainability in EU capital markets

On 19 December 2018, the European Securities and Markets Authority (ESMA) issued three consultation papers on sustainable finance initiatives to support the European Commission’s Sustainability Action Plan in the areas of securities trading, investment funds and credit rating agencies. The consultation paper on integrating sustainability risks and factors in MiFID II seeks stakeholder input on … Continue Reading

Commission Delegated Regulation modifying three existing RTS on the clearing obligation

On 19 December 2018, the European Commission adopted a Delegated Regulation amending amending Delegated Regulation (EU) 2015/2205, Delegated Regulation (EU) 2016/592 and Delegated Regulation (EU) 2016/1178 supplementing the European Markets Infrastructure Regulation with regard to regulatory technical standards on the clearing obligation to extend the dates of deferred application of the clearing obligation for certain … Continue Reading

EBA calls for more action by financial institutions in their Brexit-related communication to customers

On 17 December 2018, the European Banking Authority (EBA) published a follow-up to its June 2018 opinion on financial institutions’ preparedness for the UK withdrawal from the EU. The EBA reminds financial institutions to maintain their efforts in effective contingency planning and to increase efforts in communicating to customers. The EBA also urges institutions to … Continue Reading

Agreement on measures to prevent the accumulation of NPLs

On 18 December 2018, the European Commission issued a press release welcoming the political agreement reached by the European Parliament and the Council on prudential measures to further address non-performing loans (NPLs) in Europe. The press release states that the agreed measures will ensure that banks set aside funds to cover the risks associated with … Continue Reading

EBA consults on amendments to Regulation on benchmarking of internal models

On 18 December 2018, the European Banking Authority (EBA) issued a consultation paper on proposed amendments to the European Commission’s Implementing Regulation on the benchmarking of internal models. The proposed amendments seek to adjust the benchmarking portfolios and reporting requirements in view of the benchmarking exercise that will be carried out in 2020. The proposed … Continue Reading

ESAs publish joint EMIR STS standards

On 18 December 2018, the European Supervisory Authorities (ESAs) published: final draft regulatory technical standards (RTS) amending Delegated Regulation (EU) 2016/2251 on risk-mitigation techniques for over-the-counter (OTC) derivative contracts not cleared by a central counterparty (CCP) under Article 11(15) of the European Markets Infrastructure Regulation (EMIR) in the context of simple, transparent and standardised (STS) … Continue Reading

Draft Commission Delegated Regulation on the specification of a single electronic reporting format

On 17 December 2018, the European Commission published a draft Delegated Regulation supplementing the Transparency Directive (as amended) with regard to regulatory technical standards on the specification of a single electronic reporting format. The draft Delegated Regulation specifies the single electronic reporting format, as referred to in Article 4(7) of the Transparency Directive (as amended), … Continue Reading

Commission proposes to extend equivalence for Swiss share trading venues for six months

On 17 December 2018, the European Commission issued a press release stating that it is proposing to extend for six months its decision to recognise trading venues in Switzerland as eligible for compliance with the trading obligation for shares set out in MiFID II and MiFIR. The Commission is currently consulting Member States on the … Continue Reading

2019 SEPA scheme rulebooks – EPC implementation guidelines

On 17 December 2018, the European Payments Council published the following implementation guidelines relating to the Single Euro Payments Area (SEPA) direct debit (SDD) core rulebook and the SDD business-to-business (B2B) rulebook: SDD core scheme customer-to-bank implementation guidelines (EPC130-08); SDD core scheme e-mandate service implementation guidelines (EPC002-09); SDD core scheme interbank implementation guidelines (EPC114-06); SDD … Continue Reading

ECB guidance on white team’s roles and responsibilities in TIBER-EU test

On 17 December 2018, the European Central Bank (ECB) published guidance on a white team’s roles and responsibilities in a TIBER-EU test. The Threat Intelligence-based Ethical Red Testing (TIBER-EU) Framework enables European and national authorities to work with financial infrastructures and institutions to put in place a programme to test and improve their resilience against … Continue Reading

EBA final guidelines on disclosure of non-performing and forborne exposures

On 17 December 2018, the European Banking Authority (EBA) published final guidelines on disclosure of non- performing and forborne exposures. The aims of the guidelines are to ensure the provision of meaningful information to market participants on credit institutions’ asset quality and to gain a better insight into the distribution and level of collateralisation of … Continue Reading

AFM: insufficient knowledge to prevent anti-money laundering at investment firms

On 17 December 2018, the Netherlands Authority for the Financial Markets (Autoriteit Financiële Markten, AFM) published a news item on the outcome of its periodical investigation into investment firms and their compliance with the Act on the prevention of money laundering and financing of terrorism (Wet ter voorkoming van witwassen en financiering van terrorisme, Wwft) … Continue Reading

Commission adopts Implementing Regulations under SFTR amending EMIR

On 13 December 2018, the European Commission adopted the following Implementing Regulations under the Regulation on reporting and transparency of securities financing transactions (SFTR) which also amend the European Markets Infrastructure Regulation (EMIR): Commission Implementing Regulation laying down implementing technical standards with regard to the format and frequency of reports on the details of securities … Continue Reading

Commission action plan on AI

On 17 December 2018, the European Commission issued a press release concerning a coordinated plan prepared with Member States to foster the development and use of artificial intelligence (AI) in Europe. The plan proposes joint actions for closer and more efficient cooperation between Member States, Norway, Switzerland and the Commission in four key areas: increasing … Continue Reading

Commission adopts SFTR Delegated Regulations

On 13 December 2018, the European Commission adopted the following Delegated Regulations under the Regulation on reporting and transparency of securities financing transactions (SFTR): Delegated Regulation supplementing the SFTR with regard to regulatory technical standards (RTS) on access to details of securities financing transactions (SFTs) held in trade repositories, together with an annex; Delegated Regulation … Continue Reading

Commission adopts Delegated Regulation amending MiFID II to promote use of SME growth markets

On 13 December 2018, the European Commission adopted a Delegated Regulation that amends Commission Delegated Regulation (EU) 2017/565 as regards certain registration conditions to promote the use of SME growth markets for the purposes of MiFID II. The adopted Delegated Regulation has three operational provisions: it replaces the current definition of a non-equity issuer set … Continue Reading

Basel Committee consults on revisions to leverage ratio Pillar 3 disclosure requirements

On 13 December 2018, the Basel Committee on Banking Supervision (Basel Committee) issued a consultative document seeking potential revisions to the disclosure requirements for the leverage ratio. The Basel Committee is particularly concerned about “window-dressing”, in the form of temporary reductions of transaction volumes in key financial markets around reference dates resulting in the reporting … Continue Reading
LexBlog