UK:
European Commission Adopts Delegated Regulation On RTS On Additional Collateral Outflows
To print this article, all you need is to be registered or login on Mondaq.com.
On October 31, 2016, the European Commission adopted a Delegated Regulation supplementing the
Capital Requirements Regulation
("CRR") (Regulation 575/2013) in
relation to regulatory technical standards
("RTS") for additional liquidity
outflows corresponding to collateral needs that have resulted from
the impact of an adverse market scenario on an institution's
derivatives transactions (C(2016) 6867 final).
In March 2014, the EBA submitted a draft RTS to the European
Commission. These proposed to take flows of collateral into account
on a gross basis, contrary to the Basel Committee on
Banking Supervision's
("BCBS") net approach. However, the
assessment of the draft RTS was then delayed. The EBA submitted an
amended draft RTS to the Commission for endorsement in May 2016.
The method of calculation used in the RTS is founded on the
historical look back approach developed by the BCBS.
The Council of the EU and the European Parliament must now
consider the Delegated Regulation. If no objections are raised by
either of them, the Delegated Regulation will enter into force 20
days after its publication in the Official Journal of the
EU ("OJ").
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
POPULAR ARTICLES ON: Finance and Banking from UK
Asset Recovery Comparative Guide
Bird & Bird
Asset Recovery Comparative Guide for the jurisdiction of UK, check out our comparative guides section to compare across multiple countries
Q&A: Safe Harbours For VASPs - Part 1
Ogier
Asian Legal Business was keen to hear from our experts on how this will allow virtual asset services providers (VASPs) to anchor in theses jurisdictions, despite increased regulatory burdens...
Q&A: Safe Harbours For VASPs - Part 2
Ogier
In 2023, Jersey and the British Virgin Islands passed legislation indicating they were welcoming virtual asset service providers, joining the likes of the Cayman Islands...
CRD VI And Its Impact On Lending Into Europe
Cadwalader, Wickersham & Taft LLP
December 2023 saw the publication by the EU of the near-final version of its ‘Banking Package' that makes significant changes to the Capital Requirements Directive known as ‘CRD VI'.
Financial Promotion Exemptions – UK Government U-Turn
Shepherd and Wedderburn LLP
In response to criticism, the UK Government announced in the 2024 Spring Budget that recent changes to the financial promotion exemptions eligibility criteria would be partially reversed from 27 March 2024.