In June 2010, the AFM was designated by the Minister of Finance as the competent authority in connection with the EU Regulation on Rating Agencies. In view of this designation, the AFM and DNB entered into a covenant on cooperation and coordination in respect of supervision, regulation and policy, national and (inter)national consultation and other shared tasks. The covenant includes some new provisions on exchange of information relating to rating agencies. In addition, two provisions have been included about exchange of information in connection with proposed external communications and international policy-related and regulatory activities.
The covenant now allows supervisors to share information without prior notice of this to the company which has supplied the information and regardless of whether the information has been supplied to meet a statutory obligation. The AFM and DNB believe that the operation of the "twin peaks model" is now sufficiently known and that the statutory protection of confidentiality is adequately safeguarded under the FMSA.
The covenant entered into force on 11 June 2011, with retroactive effect from 7 June 2011.