BANKING

ESMA response to European Commission consultation on operation of ESAs

ESMA has published its response to the European Commission's consultation on the operations of the European Supervisory Authorities (ESAs). As a general point, ESMA states that the current supervisory model combining centralised tasks within ESMA with most of the supervision carried out at national level should be continued, but with a clear view to addressing the risks and opportunities that arise with a more important role for cross-border financial markets in the context of capital markets union and Brexit. ESMA, 29 May 2017

European Commission adopts Delegated Regulation on RTS further specifying additional objective criteria relating to liquidity coverage for credit institutions

The European Commission has adopted a Delegated Regulation (C(2017) 3522) supplementing the Capital Requirements Regulation (Regulation 575/2013) with regard to regulatory technical standards (RTS) further specifying the additional objective criteria for the application of a preferential liquidity outflow or inflow rate for cross-border undrawn credit or liquidity facilities within a group or an institutional protection scheme. European Commission, 31 May 2017

European Commission proposes amendments to EBA draft RTS on strong customer authentication and common and secure open standards of communication under PSD2

The EBA has published a letter sent to it by the European Commission, in which the Commission states that it intends to amend the draft RTS on strong customer authentication and common and secure open standards of communication under Article 98(4) of the Directive on payment services in the internal market. EBA, 31 May 2017

Joint Committee of the ESAs consults on draft RTS under MLD4 on steps firms should take where third country's law prevents implementation of group-wide AML and CTF policies and procedures

The Joint Committee of the ESAs has published a consultation paper on draft RTS under Article 45(6) of the Fourth Money Laundering Directive. Joint Committee of the ESAs, 31 May 2017

 

INVESTMENTS AND FUNDS

ESMA sets out general principles to support supervisory convergence in EU27 in context of UK withdrawing from EU

The ESMA has published an opinion on general principles to support supervisory convergence in the context of the UK withdrawing from the EU.

The opinion is addressed to the 27 national competent authorities (NCAs) that will remain in the EU once the UK has left (referred to as the EU27), as well as the NCAs of Norway, Lichtenstein and Iceland, as per the EEA agreement. It is intended to be a practical tool to support supervisory convergence in the context of increased requests from UK financial market participants seeking to relocate to the EU27. ESMA, 31 May 2017

ESMA opinion on determining third-country trading venues for purpose of MiFID II position limit regime

The ESMA has published an opinion on whether commodity derivatives traded on a third-country venue should be considered as traded OTC for the purposes of the position limits regime under the MiFID II Directive. ESMA, 31 May 2017

ESMA opinion on determining third-country trading venues for the purpose of MiFID II post-trade transparency requirements

ESMA has published an opinion on whether the requirement in Articles 20 and 21 of the Markets in Financial Instruments Regulation for firms to make information on transactions traded on a trading venue public through an approved publication arrangement applies also to transactions carried out on a third-country trading venue. ESMA, 31 May 2017

INSURANCE

ABI Director speech on change in UK general insurance industry

The Association of British Insurers has published a speech, given by James Dalton, ABI Director, General Insurance Policy, on change in the UK general insurance industry. Association of British Insurers, 31 May 2017 EIOPA Chair comments on impact of Brexit on EU insurance industry

The EIOPA has published an interview given by Gabriel Bernardino, EIOPA Chair, to Insurance Asset Management Europe. In the interview Mr Bernardino was asked how he sees Brexit affecting the insurance industry. EIOPA, 30 May 2017 Insurance Europe on alternative treatment of equity risk under Solvency II

Insurance Europe has published a position paper which sets out a proposal for an alternative treatment of equity risk under Solvency II: strategic participations and long-term equity investment strategies. IE believes the current capital requirements for long-term investments in Solvency II are based on an inappropriate view of how insurers conduct their investment activities. Insurance Europe, 30 May 2017