EU Publishes Corrigenda to CRD 4 and CRD 5
EU published, in the Official Journal of the European Union, a corrigendum to the Capital Requirements Directive, or CRD, 5 (2019/878). The corrigendum mentions corrections to six articles, including text related to additional own funds requirement and restriction on distributions in case of failure to meet the leverage ratio buffer requirement. CRD 5 amends CRD 4 (Directive 2013/36/EU) regarding exempted entities, financial holding companies, mixed financial holding companies, remuneration, supervisory measures and powers, and capital conservation measures. In June 2020, EU had also published a corrigendum to CRD 4 in the Official Journal of the European Union. The corrigendum to CRD 4 amended articles related to restrictions on distributions and assessment of capital conservation plans.
The corrigendum to CRD 5 mentions corrections to the following:
- Second subparagraph of Article 21a(2) related to approval of financial holding companies and mixed financial holding companies
- Article 21b(8) related to intermediate EU parent undertaking
- Article 104a(4) related to additional own funds requirement
- Point (b) of the second subparagraph of Article 141(2) related to restrictions on distributions
- Point (d) of the first subparagraph of Article 141(6) related to restrictions on distributions
- Point (b) of the second subparagraph of Article 141b(2) related to restriction on distributions in case of failure to meet the leverage ratio buffer requirement
Related Links
Keywords: Europe, EU, Banking, CRD5, CRD IV, Corrigendum, Own Funds Regulation, Tier 1 Capital, Leverage Ratio, Regulatory Capital, Basel, European Parliament, European Council
Featured Experts
María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer
Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.
Patrycja Oleksza
Applies proficiency and knowledge to regulatory capital and reporting analysis and coordinates business and product strategies in the banking technology area
Previous Article
CSSF Announces CCyB Rate for Banks for Third Quarter of 2020Related Articles
HKMA Finalizes Policy Modules on Group-Wide Approach and Remuneration
The Hong Kong Monetary Authority (HKMA) revised the Supervisory Policy Manual module CG-5 that sets out guidelines on a sound remuneration system for authorized institutions.
EBA Guide to Monitor Threshold for Intermediate Parent Undertakings
The European Banking Authority (EBA) published the final guidelines on the monitoring of the threshold and other procedural aspects on the establishment of intermediate parent undertakings in European Union (EU), as laid down in the Capital Requirements Directive (CRD).
PRA Finalizes Approach to Supervision of International Banks
In a recent Market Notice, the Bank of England (BoE) confirmed that green gilts will have equivalent eligibility to existing gilts in its market operations.
FCA Issues PS21/9 on Implementation of Investment Firms Regime
The Financial Conduct Authority (FCA) published the policy statement PS21/9 on implementation of the Investment Firms Prudential Regime.
EBA Proposes Regulatory Standards to Identify Shadow Banking Entities
The European Banking Authority (EBA) proposed regulatory technical standards that set out criteria for identifying shadow banking entities for the purpose of reporting large exposures.
IOSCO Proposes Recommendations on ESG Ratings and Data Providers
The Board of the International Organization of Securities Commissions (IOSCO) proposed a set of recommendations on the environmental, social, and governance (ESG) ratings and data providers.
ESMA Group Issues Recommendations on RFR Switch in Interdealer Market
The European Securities and Markets Authority (ESMA) published recommendations from the Working Group on Euro Risk-Free Rates (RFR) on the switch to risk-free rates in the interdealer market.
ECB Study Assesses Impact of Basel III Finalization Package
The European Central Bank (ECB) published a paper as well as an article in the July Macroprudential Bulletin, both of which offer insights on the assessment of the impact of Basel III finalization package on the euro area.
ISDA Finds FRTB Results in Higher Capital Charges for Carbon Trading
The International Swaps and Derivatives Association (ISDA) published a paper that explores the impact of the Fundamental Review of the Trading Book (FRTB) on the trading of carbon certificates.
PRA Updates Remuneration Policy Statement Templates and Tables
The Prudential Regulation Authority (PRA) published the remuneration policy self-assessment templates and tables on strengthening accountability.
