On January 31, 2019, European Securities and Markets Authority ("ESMA") revised its draft disclosure technical standards and issued supporting draft Q&As under the EU Securitization Regulation.

Commentary / David Quirolo

While not without issues, ESMA's revised draft Disclosure Technical Standards are a significant improvement on the previous draft. The substantially increased availability of No Data options shows that ESMA has listened to market concerns (as reflected in the Commission's Letter) about the practical consequences of the new templates on EU market participants.

Cadwalader has worked with the Loan Market Association in alerting ESMA and the Commission to the problems that would result from the adoption of ESMA's draft Disclosure Technical Standards, particularly in relation to collateralized loan obligations. Cadwalader will continue to raise issues surrounding the implementation of the new Securitisation Regulation regime with the relevant European institutions and supervisory authorities, either directly or through its work with the Loan Market Association.

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