The European Securities and Markets Authority ("ESMA"), the EU's securities markets regulator, confirms that the different elements of the new regime under the Securitisation Regulation ("SR") will come into force on 23 September 2020.
This follows the publication of seven technical standards implementing the SR in the Official Journal of the European Union. The publication of the technical standards triggers the following:
- Opening of applications for entities to register as a Securitisation Repository ("Repository"); and
- Entry into force of new disclosure templates.
Repositories will centrally collect and maintain the records of securitisations and will be registered and supervised by ESMA. Those entities who wish to be registered as a Repository by ESMA can submit their applications from 23 September 2020.
Until ESMA has registered at least one Repository, information that should be made available by reporting entities to Repositories on public securitisations must continue to be made available via a website which meets certain requirements (pursuant to the fourth sub-paragraph of Article 7(2) of the SR).
ESMA reporting templates will now become mandatory for use in reporting from 23 September 2020. The securitisation technical standards (including those relating to disclosure requirements) were published in the Official Journal of the European Union on 3 September 2020. The reporting templates can be found in Annexes II to XV of Commission Implementing Regulation (EU) 2020/1225.
ESMA has published guidance on how to fill in the disclosure templates in its Q&A Document on Securitisation Topics. Stakeholders with questions which are not addressed in this document are invited to submit their question(s) to ESMA through its dedicated Q&A tool. XML schema and validation rules as well as reporting instructions for these templates are available on ESMA's website.
There is no transitional period. Reporting entities should therefore have processes and systems in place to report under the new rules from 23 September 2020.
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.