Featured Product

    ESMA Publishes Call for Evidence on Digital Finance

    May 25, 2021

    ESMA published a call for evidence on digital finance that aims to gather relevant information on issues such as value chains, platforms, and groups’ provision of financial and non-financial services. ESMA will consider the information received through this call for evidence when drafting its advice to EC. EC aims to address the challenges and risks associated with digital transformation by proposing, where relevant, adaptations to the existing legislative framework by mid-2022. The call for evidence is open until August 01, 2021 and ESMA, along with the other ESAs, will deliver a report to EC by January 31, 2022.

    EC had, in February 2021, set out a request for technical advice to ESAs on three main issues: the growing fragmentation of value chains in finance, digital platforms, and groups combining financial and non-financial activities. ESAs are expected to assess the regulatory and supervisory challenges brought by these developments and the way in which they could be addressed. ESMA is seeking feedback from external stakeholders, on the following, to inform its work on the matter:

    • More fragmented or non-integrated value chains. The call for evidence aims to collect evidence on new material developments in the evolution and fragmentation of value chains arising as a result of financial firms increasingly relying on third parties for the delivery of their services and of technology companies entering financial services.
    • Platforms and bundling of various financial services. The call for evidence is intended to help ESMA collect insights on the use of digital platforms in the EU the extent to which this phenomenon introduces new risks and/or create regulatory and supervisory challenges.
    • Risks of groups combining different activities. The call for evidence aims to collect evidence on whether large technology companies as mixed-activity groups should be supervised specifically. It also intends to collect evidence on how interdependencies, , and potential risks stemming from these, within the groups can be identified and addressed as well as on how supervisory cooperation can be improved for these groups.

    The call for evidence is of interest to financial firms relying on third parties, in particular technology firms, to fulfil critical or important functions. It is also of interest to third-parties, technology firms, platforms marketing or providing access to different financial services, mixed activity groups combining financial and non-financial activities, and investors.

     

    Related Links

    Comment Due Date: August 01, 2021

    Keywords: Europe, EU, Banking, Securities, Digital Finance, Fintech, Digital Platforms, Regtech, Bigtech, ESAs, ESMA, EC

    Related Articles
    News

    EC Rule on Contractual Recognition of Write Down and Conversion Powers

    The European Commission (EC) published the Delegated Regulation 2021/1527 with regard to the regulatory technical standards for the contractual recognition of write down and conversion powers.

    September 17, 2021 WebPage Regulatory News
    News

    APRA Issues Further Guidance on Application of Securitization Standard

    The Australian Prudential Regulation Authority (APRA) published a new set of frequently asked questions (FAQs) to provide guidance to authorized deposit-taking institutions on the interpretation of APS 120, the prudential standard on securitization.

    September 16, 2021 WebPage Regulatory News
    News

    SRB Provides Update on Approach to Prior Permissions Regime

    The Single Resolution Board (SRB) published a Communication on the application of regulatory technical standard provisions on prior permission for reducing eligible liabilities instruments as of January 01, 2022.

    September 16, 2021 WebPage Regulatory News
    News

    APRA Publishes FAQs on Capital Treatment of Overseas Subsidiaries

    The Australian Prudential Regulation Authority (APRA) published a new set of frequently asked questions (FAQs) to clarify the regulatory capital treatment of investments in the overseas deposit-taking and insurance subsidiaries.

    September 15, 2021 WebPage Regulatory News
    News

    EBA Finalizes Guidance to Assess Breaches of Large Exposure Limits

    The European Banking Authority (EBA) published the final report on the guidelines specifying the criteria to assess the exceptional cases when institutions exceed the large exposure limits and the time and measures needed for institutions to return to compliance.

    September 15, 2021 WebPage Regulatory News
    News

    PRA Finalizes Changes to Consolidated Prudential Rules Under CRD5/CRR2

    The Prudential Regulation Authority (PRA) issued the policy statement PS20/21, which contains final rules for the application of existing consolidated prudential requirements to financial holding companies and mixed financial holding companies.

    September 15, 2021 WebPage Regulatory News
    News

    EBA Revises Guidelines on Stress Tests of Deposit Guarantee Schemes

    The European Banking Authority (EBA) revised the guidelines on stress tests to be conducted by the national deposit guarantee schemes under the Deposit Guarantee Schemes Directive (DGSD).

    September 15, 2021 WebPage Regulatory News
    News

    Nordea Bank and EIB Sign Agreement to Fund Green Projects in Nordics

    The European Commission (EC) announced that Nordea Bank has signed a guarantee agreement with the European Investment Bank (EIB) Group to support the sustainable transformation of businesses in the Nordics.

    September 15, 2021 WebPage Regulatory News
    News

    HKMA Endorses Industry Guidance to Support LIBOR Transition

    The Hong Kong Monetary Authority (HKMA) issued a circular, for all authorized institutions, to confirm its support of an information note that sets out various options available in the loan market for replacing USD LIBOR with the Secured Overnight Financing Rate (SOFR).

    September 14, 2021 WebPage Regulatory News
    News

    OCC Issues Booklet on Supervision of Problem Banks

    The Office of the Comptroller of the Currency (OCC) issued a new "Problem Bank Supervision" booklet of the Comptroller's Handbook. The booklet covers information on timely identification and rehabilitation of problem banks and their advanced supervision, enforcement, and resolution when conditions warrant.

    September 13, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 7481