OSFI revised Guideline E-22 that establishes minimum standards for margin requirements for non-centrally cleared derivative transactions undertaken by federally regulated financial institutions. The revised guideline becomes effective immediately. The guideline is in line with the BCBS-IOSCO framework and is addressed to banks, foreign bank branches, bank holding companies, trust and loan companies, life insurance companies, property and casualty insurance companies, and insurance holding companies.
The revisions consist of two changes: a clarification on the treatment of securities issued by entities that receive capital support from the US government and the extension of the final implementation of the initial margin requirements by one year. The extension of the final implementation of the initial margin requirements is in line with the internationally agreed upon one-year extension. With this extension, the final implementation phase will take place on September 01, 2021.
Effective Date: March 11, 2020
Keywords: Americas, Canada, Banking, Insurance, Securities, Margin Requirements, Guideline E-22, Non-Centrally Cleared Derivatives, OTC Derivatives, Initial Margin, OSFI
Previous ArticleOJK Requests Responses on Publication of Commercial Bank Reports
BIS published a paper that provides an overview on the use of big data and machine learning in the central bank community.
APRA finalized the reporting standard ARS 115.0 on capital adequacy with respect to the standardized measurement approach to operational risk for authorized deposit-taking institutions in Australia.
ECB published a guide that outlines the principles and methods for calculating the penalties for regulatory breaches of prudential requirements by banks.
MAS and The Association of Banks in Singapore (ABS) jointly issued a paper that sets out good practices for the management of operational and other risks stemming from new work arrangements adopted by financial institutions amid the COVID-19 pandemic.
ACPR announced that a new data collection application, called DLPP (Datalake for Prudential), for collecting banking and insurance prudential data will go into production on April 12, 2021.
BCB announced that the Financial Stability Committee decided to maintain the countercyclical capital buffer (CCyB) for Brazil at 0%, at least until the end of 2021.
EIOPA has launched a European-wide comparative study on non-life underwriting risk in internal models, also kicking-off of the data collection phase.
SRB published an overview of the resolution tools available in the Banking Union and their impact on a bank’s ability to maintain continuity of access to financial market infrastructure services in resolution.
EBA is consulting on the implementing technical standards for Pillar 3 disclosures on environmental, social, and governance (ESG) risks, as set out in requirements under Article 449a of the Capital Requirements Regulation (CRR).
ESAs Issue Advice on KPIs on Sustainability for Nonfinancial Reporting