Financial Regulatory
July/August 2018
The Financial Regulatory News Updates An overview in which our Banking and Finance Practice Group highlights: Loyens & Loeff publications which may be of interest to you; Legislative dates for your diary; Recent financial regulatory developments.
Loyens & Loeff publications Being active on the Financial Markets: a business case with a compliance angle Marije Louisse and Eva Kempenaar published an article in the journal Tijdschrift voor Ondernemingsrechtpraktijk: Actief zijn op de financile markten: een business case met een compliance angle (in Dutch only) Click here to read this update AFM publishes guidance for funds investing in cryptocurrencies The AFM published guidance in the form of a letter to (existing and future) managers of alternative investment funds (AIFMs) that invest in cryptocurrencies. Click here to read this update
Two EU regulations on UCITS/AIFMD asset regulation requirements for depositaries upon delegation On 12 July 2018, the European Commission adopted two delegated regulations supplementing the Alternative Investment Fund Managers Directive (AIFMD) and the Undertaking for Collective Investment in Transferable Securities Directive (UCITS) on the safekeeping of assets by depositaries and their delegates.
Click here to read this update
PSD2: Impact for Swiss Banks and Fintech companies On 13 January 2018, the Payment Services Directive II (PSD2) entered into force. PSD2 is aimed at opening up the payment markets to innovate new services and applies to payment services provided within the European Economic Area (EEA) ("both legs-in") and payments to and from third countries, where one of the payment service providers is located in the EEA ("one leg-in"). Although PSD2 is not directly applicable to third countries like Switzerland, Swiss banks and Fintech companies will also be affected by this (updated) regulation.
Click here to read this update
Cross-border distribution of collective investment schemes The expected entry into force of the Financial Services Act (FIDLEG) and the Financial Institutions Act (FINIG) in January 2020 will impact the whole financial industry in Switzerland, including the cross-border distribution of collective investment schemes. While many changes under FIDLEG / FINIG lead to more restrictions and obligations for the market players, the new acts bring certain significant relaxations in the area of investment funds.
Click here to read this update
Data Protection & Privacy
Blockchain and GDPR: is a clash really inevitable? Blockchain, considered to be the greatest technological innovation since the internet, is currently also one of the most debated technologies. From a legal perspective, the technology raises many questions, in particular as diverse aspects of the blockchain are clashing with the EU data protection framework. Can these problems be overcome?
Click here to read this update
GDPR compliance in the Benelux: let the controls begin! The Dutch Data protection authority (Autoriteit persoonsgegevens AP) recently informed the public that they were assessing the GDPR compliance level of large companies in the Netherlands. In doing so, the authority took advantage of its new powers under article 30.4 of the EU General Data Protection Regulation (GDPR).
Click here to read this update
Rights related to automated decision-making and profiling under the GDPR and DPA With this newsletter, we aim to provide a practical overview of the most relevant changes resulting from the GDPR and the new Swiss Data Protection Act (DPA), a draft revision of which is still subject to debate.
Click here to read this update
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For further updates on the GDPR, please visit the GDPR webpage of the Loyens & Loeff Data Protection and Privacy Team:
GDPR webpage
FinTech Team BankBits The Loyens & Loeff FinTech Team has its own page on LinkedIn. We invite you to take a look at the BankBits, short news items relevant for financial institutions. Here we regularly post news items relevant for the financial institution sector called `BankBits'.
Legislative dates for your diary -- Entry into force: ESMA decision to temporarily prohibit the marketing, distribution or sale of binary options to retail
clients in the Union in accordance with Article 40 of Regulation (EU) No 600/2014 of the European Parliament and of the Council: 02.07.2018, Click here Additional information ESMA: Click here EUR-LEX: Click here -- ESMA consultation: Consultation paper no. 6 on the clearing obligation under EMIR, deadline 30.08.2018, Click here -- ESMA consultation: Consultation paper on tick size regime, deadline 07.09.2018, Click here -- ESMA consultation: Consultation paper on guidelines on risk factors under the Prospectus Regulation, deadline 05.10.2018, Click here -- ESMA consultation: Consultation paper on minimum information content for prospectus exemption, deadline 05.10.2018, Click here
-- Entry into force: Wet aanvullende maatregelen accountantsorganisaties, 01.07.2018, Click here -- Entry into force: Implementatiewet vierde anti-witwasrichtlijn, 25.07.2018, Click here -- Dutch legislative consultation: Maatschappelijke consultatie beloningsmaatregelen financile sector, deadline
31.08.2018, Click here -- Dutch legislative consultation: Besluit uitvoering en handhaving Verordening securitisaties en Wijzigingsverordening
kapitaalveresiten securitisaties, deadline 10.09.2018, Click here -- Dutch legislative consultation: Regeling tot wijziging van de Vrijstellingsregeling Wft in verband met de aanpassing van
het Nationaal regime naar aanleiding van de richtlijn markten voor financile instrumenten, deadline 12.10.2018, Click here
An overview of recent financial regulatory developments
General Interest 03.07.2018 EBA news item: EBA assesses risks and opportunities from FinTech and its impact on incumbents
business models, Click here 03.07.2018 ESMA publication: ESMA publishes the responses to its consultation on securitisation repositories, Click
here 03.07.2018 ESMA publication: ESMA publishes 2017 annual report, Click here 05.07.2018 ESMA/EBA publication: EBA and ESMA publish Guidelines on suitability assessment for management
body members and key function holders, Click here 09.07.2018 ECB publication: Interview with Benot Coeur (Member of the Executive Board, ECB) for Bloomberg TV,
Click here
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10.07.2018
16.07.2018 17.07.2018 18.07.2018
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19.07.2018 19.07.2018 24.07.2018 31.07.2018
31.07.2018 09.08.2018
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20.08.2018 22.08.2018 24.08.2018 29.08.2018
EP publication: Draft report on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) No 1092/2010 on European macro-prudential oversight of the financial system and establishing a European Systemic Risk Board, Click here ESMA news item: ESMA defines standards for the implementation of the Securitisation Regulation, Click here ESMA news item: ESMA updates Q&As on benchmarks regulation, Click here ECB publication: Opinion of the ECB of 18 July 2018 on a proposal for a regulation of the European Parliament and of the Council on the law applicable to the third-party effects of assignments of claims, Click here EC publication: Communication of the Commission to the European Parliament, the European Council, the Council, the European Central Bank, the European Economic and Social Committee, the Committee of the Regions and the European Investment Bank. Preparing for the withdrawal of the United Kingdom from the European Union on 30 March 2019, Click here EC press release: Financial services: Commission refers Spain to the Court of Justice for not applying EU prudential rules for banks and investment firms, Click here EC press release: Securities markets: Commission refers Slovenia and Spain to the Court of Justice for failing to fully enact EU rules on markets in financial instruments, Click here ESMA news item: ESMA review finds improvements with NCAs' supervision of the suitability requirements, Click here EBA publication: EBA publishes final draft technical standards: -- defining the homogeneity of the underlying exposures in securitisation, Click here -- standards on risk retention for securitisation transactions, Click here EBA publication: EBA updates the Joint Committee Guidelines on complaints-handling to expand their scope of application, Click here Publication in EU journal: Commission implementing regulation (EU) 2018/1105 of 8 August 2018 laying down implementing technical standards with regard to procedures and forms for the provision of information by competent authorities to ESMA under Regulation (EU) 2016/1011 of the European Parliament and of the Council, Click here Publication in EU journal: Commission implementing regulation (EU) 2018/1106 of 8 August 2018 laying down implementing technical standards with regard to templates for the compliance statement to be published and maintained by administrators of significant and non-significant benchmarks pursuant to Regulation (EU) 2016/1011 of the European Parliament and of the Council, Click here ECB publication: Guideline of the ECB of 3 August 2018 amending Guideline ECB/2012/27 on TransEuropean Automated Real-time Gross settlement Express Target system, Click here ESMA news item: ESMA defines disclosure standards under securitisation regulation, Click here ESMA news item: ESMA to renew prohibition on binary options for a further three months, Click here ESMA Publication of speech: Steven Maijoor addresses ECON committee on securitsation, Click here
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AFM news item: Externe deskundigen bij bestuurderstoetsingen, Click here Publication in official journal (Staatsblad): Wet uitvoering verordening SFTR, Click here Publication in official journal (Staatsblad): Herstelbesluit financile markten 2018, Click here
Banks 06.07.2018
Publication in EU journal: Opinion of the European Economic and Social Committee on the communication to the European Parliament, the Council, the European Central Bank, the European Economic and Social Committee and the Committee of Regions on completing the Banking Union (COM(2017) 592 final, Click here
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09.07.2018
10.07.2018 12.07.2018 20.07.2018 20.07.2018 24.07.2018 09.08.2018
Publication in EU Journal: Consolidated text. Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/ EC and 2006/49/EC, Click here EBA news item: EBA peer review shows competent authorities have robust and consistent procedures to comply with RTS on passport notifications, Click here ECB publication: Opinion of the ECB of 12 July 2018 on a proposal for regulation on minimum loss coverage for non-performing exposures, Click here EBA news item: EBA updates on monitoring of CET1 capital instruments, Click here EBA news item: EBA updates on monitoring of Additional Tier 1 instruments, Click here EBA publication: EBA publishes its assessment of European Secured Notes, Click here EBA news item: EBA updates data used for the identification of global systemically important institutions (G-SIIs), Click here
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AFM news item: Herstelkader rentederivaten: banken onderzoeken versnellingsopties, Click here
Insurance 06.07.2018 09.07.2018
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EIOPA publication: EIOPA issues Mediation Opinion regarding the determination of the correct insurance class for statutory risks, Click here Publication in EU Journal: Consolidated text. Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) (recast), Click here EIOPA news item: EIOPA publishes first set of Questions & Answers on the Application of the Insurance Distribution Directive, Click here EIOPA news item: EIOPA joins the Sustainable Insurance Forum, Click here
Trust Offices 05.07.2018 Dutch parliament (Tweede Kamer) passed act: Wet toezicht trustkantoren 2018, Click here TOP
Investment Firms 20.07.2018 ESMA news item: ESMA launches dedicated template for systemic internalisers calculations ahead of
August 1 publication, Click here 20.07.2018 ESMA publication: ESMA writes to European Commission on share cancellation under MMFR, Click here 06.08.2018 ESMA news item: ESMA updates equity derivatives, equity and equity-like instruments' transitional
transparency calculations for MiFID II/MiFIR, Click here 22.08.2018 ECB publication: Opinion of the European Central Bank of 22 August 2018 on the review of prudential
treatment of investment firms (CON/2018/36), Click here TOP
Payment Services 18.07.2018 EBA publication: Final report. Guidelines on fraud reporting under Payment Services Directive 2
Click here
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EBA publication: EBA publishes final draft technical standards on home-host cooperation under PSD2 Click here
Clearing/Derivatives 03.07.2018 ESMA news item: ESMA issues clarification on the clearing obligation for pension scheme arrangements,
Click here 08.08.2018 ESMA news item: ESMA updates validation rules under EMIR, Click here 08.08.2018 ESMA news item: ESMA issues clarifications on the clearing obligation and trading obligation for pension
scheme arrangements, Click here
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AFM news item: AFM en DNB volgen statement ESMA over clearing- en handelsverplichting pensioenfondsen, Click here
Compliance/AML/Sanctions 19.07.2018 EC press release: Infringements: Commission refers Greece, Ireland and Romania to the Court of Justice
for not implementing anti-money laundering rules, Click here 10.08.2018 Publication in EU Journal: Commission Delegated Regulation (EU) 2018/1108 of 7 May 2018
supplementing Directive (EU) 2015/849 of the European Parliament and of the Council with regulatory technical standards on the criteria for the appointment of central contact points for electronic money issuers and payment service providers and with rules to their functions, Click here
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AFM news item: AFM geeft nadere invulling aan herziene Wwft in herschreven leidraad, Click here AFM news item: Dealing with money laundering Wwft BES, Click here
Funds 12.07.2018 20.07.2018 23.07.2018 30.07.2018 25.07.2018
EC publication of final text: Commission Delegated Regulation ... amending Delegated Regulation (EU) No 231/2013 as regards safe-keeping duties of depositaries. C/2018/4377 final, Click here ESA news item: ESAs publish further guidance on the Key Information Document for PRIIPs, Click here ESMA news item: ESMA updates UCITS and AIFMD Q&As, Click here ESMA news item: ESMA finds shortcomings with national supervision of efficient portfolio management by UCITS, Click here European Council publication: Opinion of the European Economic and Social Committee on a: -- Communication on cross-border distribution of collective investment fund [COM(2018) 92 final
2018/0041 (COD)] -- Proposal for a law applicable to the third-party effects of assignments of claims [COM(2018) 96 final
2018/0044 (COD)] -- Proposal for a Regulation of the European Parliament and of the Council on facilitating cross-border
distribution of collective investment funds and amending Regulations (EU) No 345/2013 and (EU) No 346/2013 [COM(2018) 110 final 2018/0045 (COD)] Click here
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AFM news item: Aanvullende eisen voor geldmarktfondsen, Click here
Consumer Credit 05.07.2018 ECB Publication: Opinion of the European Central Bank of 5 July 2018 on the regulation of the business of
owning credit agreements (CON/2018/31), Click here TOP
Capital Markets 17.07.2018 ESMA news item: ESMA finalises standards for the implementation of the Prospectus Regulation, Click
here 19.07.2018 EC press release: Capital Markets Union: Commission provides guidance on protection of cross-border
EU investments, Click here See also Commission Q&A on protection of cross-border EU investments, Click here 22.08.2018 ECB publication: Opinion of the European Central Bank of 22 August 2018 on a proposal for a directive
of the European Parliament and of the Council on the issue of covered bonds and covered bonds public supervision and amending Directive 2009/65/EC and Directive 2014/59/EU; and on a proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) No 575/2013 as regards exposures in the form of covered bonds, Click here TOP
Financial litigation 06.07.2018 Publication of judgment: European Court of Justice: 06.07.2018. Lnsfrskringar Sak
Frskringsaktiebolag v Ddsboet efter Ingvar Mattsson, Jan-Erik Strobel and Others v Lnsfrskringar Sak Frskringsaktiebolag. Request for a preliminary ruling from the Hgsta domstolen Sweden. Reference for a preliminary ruling -- Directive 2002/92/EC -- Scope -- Concept of insurance mediation -- Directive 2004/39/EC -- Scope -- Concept of `investment advice' -- Advice given in insurance mediation concerning the placement of capital in the context of capital life assurance -- Classification of the activity of an insurance agent in the absence of his intention to conclude a genuine insurance contract. Case C-542/16, Click here 07.08.2018 Provisional publication of judgment: European Court of Justice: 07.08.2018. VTB Bank v Finanzmarktaufsichtsbehrde. Reference for a preliminary ruling Approximation of laws Directive 2013/36/EU Articles 64, 65 and 67 Regulation (EU) No 575/2013 Articles 395(1) and (5) Supervision of credit institutions Supervisory powers and powers to impose penalties Large exposure limits Legislation of a Member State under which interest is levied where those limits are exceeded Regulation (EU) No 468/2014 Article 48 Attribution of areas of competence between the European Central Bank (ECB) and national authorities Formally initiated supervisory procedure.Case C-52/17, Click here 07.08.2018 Publication of provisional text of Judgment: European Court of Justice. 07.08.2018. Reference for a preliminary ruling Directive 93/13/EEC Unfair terms Scope Assignment of debts Loan agreement concluded with a consumer Criteria for assessing the unfairness of a contractual term setting the default interest rate Consequences of that unfairness. Cases C-96/16 and C-94/17, Click here
02.07.2018 03.07.2018
Publication rechtspraak.nl: court of appeal (Gerechtshof) Amsterdam. 19.12.2017. Vervolg van tussenarrest 1 november 2016. Beleggingsadviesrelatie. Alsnog toewijzing van 50% van de schadevordering, Click here Publication rechtspraak.nl: Court (Rechtbank) Rotterdam. 05.06.2018. Bestuurlijke boetes vanwege meerdere overtredingen. Drie overtredingen op grond van Bpr en Wwft zijn bestreden. Geen
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06.07.2018 09.07.2018 13.07.2018
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17.07.2018 20.07.2018 24.07.2018 24.07.2018 25.07.2018
onafhankelijke compliance functie, geen schriftelijk vastgelegd risicoprofiel, geen (periodiek) onderwijs. Beroep ongegrond.Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) Amsterdam. 26.06.2018. ING Bank heeft in 2006 aan een particuliere vastgoedbelegger een euriborlening voor zeven jaar verstrekt alsmede, voor de duur van tien jaar, een renteswap waarbij de euriborrente werd uitgeruild tegen een vaste rente. Na het verstrijken van de leningduur heeft de clint de renteswap afgekocht voor circa 2,7 miljoen, de negatieve waarde op dat moment. Aansprakelijkheid bank voor tekortschieten in haar verplichting om de clint in 2006 te informeren en te waarschuwen ten aanzien van het verschil in looptijd tussen de euriborlening en de renteswap. Bank mocht bij clint en diens adviseur in dit geval niet voldoende kennis en ervaring aangaande de risico's van de mismatch in looptijd veronderstellen. Vraag welke schade in causaal verband staat tot de schending van de zorgplicht van de bank. Eigen schuld aan de zijde van de clint in de zin van artikel 6:101 BW? Click here Publication rechtspraak.nl: Court (Rechtbank) Zeeland-West-Brabant. 04.07.2018. Effectenlease tussenpersoon is clintenremisier verjaring wetenschap beleggingsadvies - geen eigen schuld afnemer incassokosten exhibitie het arrest ECLI:NL:GHAMS:2017:3101 overtuigt niet. Het beroep van Dexia op verjaring wordt verworpen, Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) `s-Hertogenbosch. 03.07.2018. Dexia, tussenpersoon, Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) `s-Hertogenbosch. 03.07.2018. Effectenleaseovereenkomst gesloten via een tussenpersoon. Toepassing HR 2 september 2016 (ECLI:NL:HR:2016:2012). Het hof neemt op grond van de stellingen van partijen als vaststaand aan dat de tussenpersoon voorafgaand aan het sluiten van de overeenkomst beleggingsadvies heeft gegeven en dat Dexia daarvan op de hoogte was. Dexia is om die reden volledig aansprakelijk voor de schade die de afnemer heeft geleden, Click here Rechtspraak.nl: Court of appeal (Gerechtshof) Amsterdam. 13.07.2018. Wet collectieve afwikkeling massaschade Fortis/Ageas. Art. 7:907 e.v. BW, art. 1013 e.v. Rv. Vervolg van de tussenbeschikkingen van 16 juni 2017 (ECLI:NL:GHAMS:2017:2257) en 5 februari 2018 (ECLI:NL:GHAMS:2018:368). Verbindendverklaring WCAM-overeenkomst tussen Ageas en belangenorganisaties. De schikkingsovereenkomst voorziet in een compensatie voor de voormalig aandeelhouders van het Belgisch/ Nederlandse Fortis, Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) `s-Hertogenbosch. 10.07.2018. Dexia. Tussenpersoon. Beroep op verjaring afgewezen. Bewijsopdracht, Click here Publication rechtspraak.nl: Court (Rechtbank) Zeeland-West-Brabant. 11.07.2018. Effectenlease tussenpersoon is clintenremisier verjaring wetenschap beleggingsadvies - geen eigen schuld afnemer incassokosten, Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) Arnhem-Leeuwarden. 17.07.2018. Effectenlease. Waiver-zaak. Verklaring voor recht toegewezen. Geen misbruik van bevoegdheid. Mogelijke vorderingen wegens advisering door tussenpersoon, onjuiste afrekenkoersen en buitenrechtelijke kosten niet aannemelijk geworden. In rekening brengen resterende termijnen is niet oneerlijk in de zin van de Richtlijn oneerlijke bedingen, Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) Arnhem-Leeuwarden. 17.07.2018. Effectenlease. Bekrachtiging vonnis. Dexia is buitengerechtelijke kosten verschuldigd ex artikel 6:96 lid 2 aanhef en onder c BW. Buitengerechtelijke werkzaamheden zijn verricht. Vordering buitengerechtelijke kosten is niet verjaard, Click here Publication rechtspraak.nl: Joint court of justice of Aruba, Curacao, Sint Maarten and Bonaire, Saint Eustatius and Saba (Gemeenschappelijk Hof). 24.07.2018. Curaao. Vervolg op ECLI:NL:OGHACMB:2016:158. Microkrediet. Woekerrente. Maximumtarieven. Rechtsvormende taak van de rechter, Click here
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Publication rechtspraak.nl: Court (Rechtbank) Midden-Nederland. 18.07.2018. Kredietopzegging. Borgstelling. Bestuurdersaansprakelijkheid. Renteswap, Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) Amsterdam. 17.07.2018. Renteswap. Totstandkoming overeenkomst. Wilsovereenstemming (artikel 3:33 BW en 6:217 BW). Clint had vergeten dat renterisico reeds was afgedekt door eerdere renteswaps, o.a. bij andere bank. Ontbreken wilsovereenstemming, ondanks dat partijen het verder eens waren over de inhoud van de renteswap? Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) `s-Hertogenbosch. 21.11.2017. Effectenleaseovereenkomst. Berekening netto-inkomen bij winst uit onderneming. Voordeelstoerekening. Ingangsdatum wettelijke rente over betaalde inleg, Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) Amsterdam. 31.07.2018. Effectenlease. Waiverzaak. Het bestreden vonnis, waarin de door Dexia gevorderde verklaring voor recht is toegewezen, wordt bekrachtigd, Click here Publication rechtspraak.nl: Court of appeal (Gerechtshof) Amsterdam. 27.03.2018. Effectenlease. Beroep op vernietiging ex art. 1:88/89 BW. Bewijsvermoeden en/of-rekening ontzenuwd. Beroep op verjaring wordt afgewezen, Click here
Contact
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Disclaimer
Although this publication has been compiled with great care, Loyens & Loeff N.V. and all other entities, partnerships, persons and practices trading under the name `Loyens & Loeff', cannot accept any liability for the consequences of making use of this issue without their cooperation. The information provided is intended as general information and cannot be regarded as advice.
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