Featured Product

    EBA and ESMA Issue List of Instruments and Funds Under IFR

    May 31, 2021

    EBA and ESMA jointly published a provisional list of additional instruments and funds that competent authorities may allow to be used as own funds for some of the smallest investment firms. These firms include only non-legal persons or joint‐stock companies, or those that meet the conditions for qualifying as small and non‐interconnected investment firms, as defined in the Investment Firms Regulation (also IFR or Regulation 2019/2033). The list is provisional and intended to provide guidance to investment firms and competent authorities ahead of the application of the requirements of the Investment Firms Regulation, as of June 26, 2021.

    The provisional list is based on the information received from national competent authorities across EU and includes instruments and funds that national competent authorities may permit to be used as own funds, in addition to the instruments included in the Common Equity Tier 1 (CET1) list published by EBA in accordance with the Capital Requirements Regulation (CRR). Therefore, instruments and funds of investment firms will be allocated either to this new list or to the existing CET1 list, depending on their nature. EBA and ESMA will assess the terms and conditions of all instruments and funds included in this provisional list against regulatory provisions at a later stage and, subsequently, update, maintain, and publish the list on a regular basis.

    The first publication of the list relating to further instruments and funds existing before May 31, 2021 has a provisional character because EBA has not yet performed any assessment of the form of instruments and funds included in the list. If this assessment concludes that an instrument or fund does not qualify for treatment under Article 22 of Council Directive 86/635/EEC, such instrument or fund will be removed from the list. Starting with the first update of the list, the inclusion of an instrument or fund in the list implies that EBA has been consulted by competent authorities before they permit further instruments and funds and EBA has assessed the form of instruments and funds included in this list. This list will be updated regularly—for example, each time a new type of further instrument or fund that qualifies as own funds is issued or where a type of further instrument or fund needs to be removed from the list because it no longer qualifies for treatment under Article 22 of Council Directive 86/635/EEC or because it no longer exists.

    Related Links

    Keywords: Europe, EU, Banking, Securities, IFR, CRR, CET 1, Regulatory Capital, Class 3 Firms, Investment Firms, ESMA, EBA

    Featured Experts
    Related Articles
    News

    EBA Clarifies Use of COVID-19-Impacted Data for IRB Credit Risk Models

    The European Banking Authority (EBA) published four draft principles to support supervisory efforts in assessing the representativeness of COVID-19-impacted data for banks using the internal ratings based (IRB) credit risk models.

    June 21, 2022 WebPage Regulatory News
    News

    BIS Hub Updates Work Program for 2022, Announces New Projects

    The Bank for International Settlements (BIS) Innovation Hub updated its work program, announcing a set of projects across various centers.

    June 17, 2022 WebPage Regulatory News
    News

    US Senate Members Seek Details on SEC Proposed Climate Disclosure Rule

    Certain members of the U.S. Senate Committee on Banking, Housing, and Urban Affairs issued a letter to the Securities and Exchange Commission (SEC)

    June 16, 2022 WebPage Regulatory News
    News

    EIOPA Consults on Review of Securitization Framework in Solvency II

    The European Insurance and Occupational Pensions Authority (EIOPA) published a consultation paper on the advice on the review of the securitization prudential framework in Solvency II.

    June 16, 2022 WebPage Regulatory News
    News

    UK Authorities Issue Regulatory and Reporting Updates for Banks

    The Prudential Regulation Authority (PRA) issued a statement on PRA buffer adjustment while the Bank of England (BoE) published a notice on the statistical reporting requirements for banks.

    June 15, 2022 WebPage Regulatory News
    News

    BaFin Consults on Resolvability Requirements for Resolution Planning

    The Federal Financial Supervisory Authority of Germany (BaFin) proposed to amend the “Capital Investment Conduct And Organization Ordinance” and issued a draft circular on the minimum resolvability requirements for resolution planning.

    June 10, 2022 WebPage Regulatory News
    News

    EBA Consults on Certain Standards and Guidelines Under CRR and BRRD

    The European Banking Authority (EBA) proposed guidelines, for the resolution authorities, on the publication of the write-down and conversion and bail-in exchange mechanic, with the comment period ending on September 07, 2022.

    June 08, 2022 WebPage Regulatory News
    News

    OJK Publishes Regulatory Updates for Financial Sector Entities

    The Financial Services Authority of Indonesia (OJK) is strengthening cooperation with the Australian Prudential Regulation Authority (APRA) and the Japanese Financial Services Agency (JFSA)

    June 03, 2022 WebPage Regulatory News
    News

    EU Publishes Rules on DLT and Data Governance

    The European Parliament and the Council published Regulation 2022/868 on European data governance (Data Governance Act).

    June 03, 2022 WebPage Regulatory News
    News

    EBA Publishes Phase 2 of Reporting Framework 3.2

    The European Banking Authority (EBA) published phase 2 of its reporting framework 3.2. The technical package supports the implementation of the updated reporting framework by providing standard specifications

    June 03, 2022 WebPage Regulatory News
    RESULTS 1 - 10 OF 8267