Featured Product

    EC Vice President on STS Securitization at the EP Plenary Debate

    October 25, 2017

    EC published opening remarks of Vice President Valdis Dombrovskis at the European Parliament’s (EP) Plenary debate on simple, transparent, and standardized (STS) securitization. He highlighted that the securitization was one of the first proposals put forward as part of the Capital Markets Union in 2015. He then moved on to discuss the benefits of STS securitization toward revitalizing the European markets, along with the specific criteria to facilitate this.

    “After two years of discussions, I am happy to say that the final result is both balanced and ambitious,” said Mr. Dombrovskis. He also briefly explained the criteria of simple, transparent (ESMA-supervised data repository to ensure the transparency of STS securitizations), and standardized. As per the EC Vice President, the proposals contain appropriate safeguards. The issuers would need to retain at least 5% of the securitized asset, to ensure that their incentives are aligned with those of the investors. Also, underlying assets would need to be credit-worthy according to the existing EU rules.  New capital requirement rules are also being introduced for the banks that invest in securitization, to promote a stable and resilient banking sector. These requirements build on global standards and will fully reflect the lower risks associated with STS securitisation.

    He concludes, “We have done important work to agree on the final text…. Let us now conclude this important chapter in the building of the Capital Markets Union, so the benefits to businesses and households can be quickly realized.”

     

    Related Link: Opening Remarks of EC Vice President

    Keywords: Europe, EU, Banking, Securities, STS Securitization, Capital Markets Union, EC

    Related Articles
    News

    US Agencies Requests Comments on Use and Impact of CAMELS Ratings

    US Agencies (FDIC and FED) are seeking information and comments from interested parties regarding the consistency of ratings assigned by the agencies under the Uniform Financial Institutions Rating System (UFIRS).

    October 18, 2019 WebPage Regulatory News
    News

    BoE Announces Date for Publication of Stress Test Results for Banks

    BoE announced its plans to publish results of the full UK annual stress tests on December 10, 2019.

    October 18, 2019 WebPage Regulatory News
    News

    CPMI Report Examines Impact of Global Stablecoins

    This report by the G7 Working Group on Stablecoins finds that stablecoins, regardless of size, have implications ranging from anti-money laundering efforts across jurisdictions to operational resilience (including for cyber security), consumer or investor and data protection, and tax compliance.

    October 18, 2019 WebPage Regulatory News
    News

    PRA Consults on Approach to Supervising Liquidity and Funding Risks

    In consultation paper (CP27/19), PRA published a proposal (CP27/19) to update the supervisory statement SS24/15 on the PRA approach to supervising liquidity and funding risk.

    October 17, 2019 WebPage Regulatory News
    News

    US Agencies Consult on Policy Statement on Allowance for Credit Losses

    US Agencies (FDIC, FED, NCUA, and OCC) are consulting on the policy statement on allowances for credit losses and on the guidance on credit risk review systems.

    October 17, 2019 WebPage Regulatory News
    News

    FSI Paper Examines Use of Suptech Initiatives by Financial Authorities

    The Financial Stability Institute (FSI) of BIS published a paper that examines the suptech developments by analyzing suptech initiatives of 39 financial authorities globally.

    October 17, 2019 WebPage Regulatory News
    News

    US Agencies Publish Notice to Extend Form FFIEC 102 for Three Years

    US Agencies (FDIC, FED, and OCC) published a joint notice regarding extension of the market risk regulatory report for institutions subject to the market risk capital rule (FFIEC 102).

    October 17, 2019 WebPage Regulatory News
    News

    ECB Publishes Recommendations on Euro Risk-Free Rates Transition

    ECB published a report, by private sector working group on euro risk-free rates, which contains recommendations, from a risk management perspective, on the transition to new risk-free rates.

    October 17, 2019 WebPage Regulatory News
    News

    FSB Report Examines Implementation and Impact of G20 Financial Reforms

    FSB published fifth annual report on the implementation and effects of the G20 financial regulatory reforms.

    October 16, 2019 WebPage Regulatory News
    News

    EBA Launches Consultation on Comprehensive Pillar 3 Disclosures

    EBA proposed the new comprehensive implementing technical standard (ITS) for public disclosures by financial institutions.

    October 16, 2019 WebPage Regulatory News
    RESULTS 1 - 10 OF 4002