The Netherlands (and EU regulation)

FSB publishes review of TLAC Standard

On 3 July 2019, the Financial Stability Board (FSB) published a technical review of the implementation of the total loss-absorbing capacity (TLAC) standard for global systemically important banks (G-SIBs) in resolution. The review finds that: progress has been steady and significant in both the setting of external TLAC requirements by authorities and the issuance of … Continue Reading

SRB publishes paper on public interest assessment

On 3 July 2019, the Single Resolution Board (SRB) published a paper outlining its approach to public interest assessment. The identification of public interest is a necessary pre-condition for taking resolution action in respect of a failing bank. Whenever the SRB concludes that there is public interest in resolving a bank and adopts a resolution … Continue Reading

Dutch Ministers publish action plan on the prevention of money laundering

On 30 June 2019, the Dutch Minister of Finance and the Dutch Minister of Justice and Security published their joint action plan on the prevention of money laundering via the Dutch financial system and on localizing and prosecution of criminals and their facilitators (the Plan). Combatting anti-money laundering has had a European wide focus for … Continue Reading

Act implementing 5MLD submitted to Dutch Parliament

On 2 July 2019, the Act implementing the Fifth Anti-Money Laundering Directive (5MLD) (Implementatiewet wijziging vierde anti-witwasrichtlijn, the Proposed Act) was submitted to the Dutch Parliament (Tweede Kamer). The Proposed Act will implement the 5MLD into Dutch law, primarily by amending the Act on the prevention of money laundering and financing of terrorism (Wet ter … Continue Reading

Product intervention measures taken by Sweden, France and the UK

On 2 July 2019, the European Securities and Markets Authority (ESMA) issued three opinions on product intervention measures taken by the national competent authorities (NCAs) of Sweden, France and the UK. ESMA’s opinion finds that the proposed measures are justified and proportionate and that it is necessary for NCAs of other Member States to take … Continue Reading

ESMA updates the CSDR Q & As

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

ESMA ceases renewal of product intervention measure relating to binary options

On 1 July 2019, the European Securities and Markets Authority (ESMA) announced that it will not renew the temporary prohibition of the marketing, distribution or sale of binary options to retail clients in the EU. ESMA is not renewing its temporary prohibition on the basis that most Member State national competent authorities have now taken … Continue Reading

BIS to set up innovation hub for central banks

On 30 June 2019, the Bank for International Settlements (BIS) approved the establishment of an innovation hub to foster international collaboration on innovative financial technology within the central banking community. The role of the hub will be to identify and develop in-depth insights into critical trends in technology affecting central banking: develop public goods in … Continue Reading

The Bank Data Retrieval Portal Act submitted to the Dutch Parliament

On 1 July 2019, the legislative proposal for the Bank Data Retrieval Portal Act (Wetsvoorstel verwijzingsportaal bankgegevens, the Proposal) was sent to the Dutch Parliament (Tweede Kamer). The Bank Data Retrieval Portal (BDRP) is an electronic system that allows certain Dutch authorities, including but not limited to the police, the public prosecution service (Openbaar Ministerie, OM), … Continue Reading

FATF Report to G20 leaders’ summit

On 27 June 2019, the Financial Action Task Force (FATF) published its report to the G20 leaders’ summit. The report provides an overview of the FATF’s recent and future work.   The FATF’s future work includes:   a review of countries’ and providers’ implementation of the requirements applicable to virtual assets and virtual asset service … Continue Reading

EBA publishes its roadmap for the new market and counterparty credit risk approaches

On 27 June 2019, the European Banking Authority (EBA) published its roadmap on the new market and counterparty credit risk approaches and launched a consultation on eleven draft Regulatory Technical Standards (RTS) on the new Internal Model Approach (IMA) under the Fundamental Review of the Trading Book (FRTB) standards along with a data collection exercise … Continue Reading

Publication of the CBDDQ Capacity Building Materials

On 27 June 2019, the Wolfsberg Group has published a series of materials supporting the implementation of the Correspondent Banking Due Diligence Questionnaire (CBDDQ). The new materials include: a short video giving an overview of the CBDDQ and its development and purpose; a series of 12 videos covering each section of the CBDDQ individually and … Continue Reading

Finalisation of Basel III reforms in the EU

The European Commission’s work on the finalisation of the Basel III reforms in the European Union is gathering pace. Following its April 2018 public consultation on an additional set of prudential reforms that will implement in European law the December 2017 Basel Committee on Banking Supervision’s standard (Basel III: Finalising post-crisis reforms), the Commission has … Continue Reading

FSB Chair reports to G20 Leaders ahead of Osaka Summit

On 25 June 2019, the Financial Stability Board (FSB) published its chair’s letter to G20 leaders ahead of their summit in Osaka on 28-29 June, together with a progress report on implementation of the G20 financial regulatory reforms. The letter sets out a number of key themes: addressing new and emerging vulnerabilities; harnessing the benefits … Continue Reading

EBA issues 2020 EU-wide stress test methodology for discussion

On 25 June 2019, the European Banking Authority (EBA) published the 2020 EU-wide stress test draft methodology, templates and template guidance which will be discussed with the industry. The 2020 exercise will assess EU banks’ resilience to an adverse economic shock and inform the 2020 Supervisory Review and Evaluation Process. The final methodology will be … Continue Reading

Basel Committee publishes revisions to leverage ratio disclosure requirements

On 26 June 2019, the Basel Committee on Banking Supervision (Basel Committee) published revisions to leverage ratio disclosure requirements by setting out additional requirements for banks to disclose their leverage ratios based on quarter-end and on daily average values of securities financing transactions. The revisions are applicable to the Pillar 3 disclosure requirements associated with … Continue Reading

Basel Committee publishes leverage ratio treatment of client cleared derivatives

On 26 June 2019, the Basel Committee on Banking Supervision (Basel Committee) published a document setting out revisions to the leverage ratio standard text that will serve to implement the treatment of client cleared derivatives. This revision will apply to the version of the leverage ratio standard that will serve as the Pillar 1 minimum … Continue Reading

CMU: Council sets its position on easier access to crowdfunding platforms

On 26 June 2019, the Council of the EU set out its position for a Regulation on European crowdfunding service providers. The Council position: removes barriers for crowdfunding platforms operating cross-border; provides tailored rules for EU crowdfunding businesses depending on whether they provide their funding in the form of a loan or an investment (through … Continue Reading

Several updates from DNB relevant for the insurance sector

On 26 June 2019, the Dutch Central Bank (De Nederlandsche Bank, DNB) published a newsletter with updates relevant for the insurance sector. Updated view on the independence of the supervisory board: DNB has changed its view on the independence functioning of supervisory boards of insurers. DNB’s requirement that at least half (50%) of the supervisory … Continue Reading

SRB updates MREL policy to reflect new Capital Requirements Regulation

On 25 June 2019, the Single Resolution Board (SRB) published an update on its policy on the minimum requirement for own funds and eligible liabilities (MREL) in light of the publication of the Banking Package in the Official Journal of the EU on 7 June 2019. The update is in the form of an addendum … Continue Reading

Prospectus Regulation Delegated Regulations published in OJ

On 21 June 2019, there was published in the Official Journal of the European Union (OJ): Commission Delegated Regulation (EU) 2019/979 of 14 March 2019 supplementing the Prospectus Regulation with regard to regulatory technical standards on key financial information in the summary of a prospectus, the publication and classification of prospectuses, advertisements for securities, supplements … Continue Reading

EBA publishes an opinion on the elements of strong customer authentication under PSD2

On 21 June 2019, the European Banking Authority (EBA) published an opinion on the elements of strong customer authentication (SCA) under the revised Payment Services Directive (PSD2). The opinion provides a non-exhaustive list of the authentication approaches currently observed in the market and states whether or not they are considered to be SCA compliant. The … Continue Reading

MiFID II / MiFIR Delegated Regulations published in OJ

On 21 June 2019, there was published in the Official Journal of the European Union (OJ), Commission Delegated Regulation (EU) 2019/1011 of 13 December 2018 amending 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 Commission Delegated Regulation applies … Continue Reading

Overview of Pillar 2 supervisory review practices and approaches published by the Basel Committee

The Basel Committee on Banking Supervision (Basel Committee) has published an overview report of Pillar 2 supervisory practices and approaches. The report describes the key concepts of Pillar 2 and the different practices in use across Basel Committee member jurisdictions. Pillar 2 of the Basel framework does not include prescriptive guidance or direction on supervisory … Continue Reading
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