Latest ICMA developments
On 22 September, the AMIC Risk Management WG met to discuss AMIC's draft position paper on the upcoming AIFMD review.
On 24 September, the ICMA published an updated Guide to Best Practice in the European Repo Market.
On 25 September, AMIC published its bi-weekly COVID-19 market update podcast in which Robert Parker, Chairman of AMIC, reviews the market events of the last two weeks, in light of the increase in global coronavirus cases, recent economic data and investor positioning.
On 25 September, AMIC published a podcast in which, Stéphane Janin, Vice-chair of AMIC and Head of Global Regulatory Development at AXA IM, reviews the short-term impact of the COVID-19 crisis from a supervision and regulatory perspective and outlines the medium to long-term impact of the pandemic on policy developments including on sustainable finance, financial stability and capital markets.
Coming up next:
On 29 September, the AMIC Risk Management WG will meet to finalise AMIC's draft position paper on the upcoming AIFMD review.
ICMA Asset Management and Investors Council (AMIC) Regulatory Update
21 September ESAS launch survey on environmental and/or social financial product templates
The European Supervisory Authorities (EBA, EIOPA and ESMA - ESAs) have published a survey seeking public feedback on presentational aspects of product templates, pursuant to Article 8(3), Article 9(5) and Article 11(4) of the Regulation on sustainability‐related disclosures in the financial services (SFDR). The survey is open for comments until 16 October 2020.
22 September ECB to accept sustainability-linked bonds as collateral
The ECB has decided that as of 1 January 2021 bonds with coupon structures linked to certain sustainability performance targets will become eligible as collateral for Eurosystem credit operations and also for Eurosystem outright purchases for monetary policy purposes (APP, PEPP), provided they comply with all other eligibility criteria.The coupons must be linked to a performance target referring to one or more of the environmental objectives set out in the EU Taxonomy Regulation and/or to one or more of the United Nations Sustainable Development Goals relating to climate change or environmental degradation. This further broadens the universe of Eurosystem-eligible marketable assets and signals the Eurosystem’s support for innovation in the area of sustainable finance.
22 September EU financial regulators assess risks to the financial sector after the outbreak of COVID-19 and call for enhanced cooperation
The three European Supervisory Authorities (EBA, EIOPA and ESMA - ESAs) have issued their first joint risk assessment Report of the financial sector since the outbreak of the COVID-19 pandemic. The Report highlights how the pandemic has led to further amplified profitability concerns across the board and heightened liquidity challenges in segments of the investment fund sector. It particularly points to economic and market uncertainty as a key challenge going forward.
21 September Commission adopts time-limited decision giving market participants the time needed to reduce exposure to UK central counterparties (CCPs) about Financial stability
The European Commission has adopted a time-limited decision to give financial market participants 18 months to reduce their exposure to UK central counterparties (CCPs).
23 September FCA launches consultation on the regulation of international firms
The FCA has launched a consultation on its approach to the authorisation and supervision of international firms operating in the UK.
24 September Capital Markets Union Commission to boost Europe's capital markets
The European Commission has published a new, ambitious Action Plan to boost the European Union's Capital Markets Union (CMU) over the coming years. The EU's top priority today is to ensure that Europe recovers from the unprecedented economic crisis caused by coronavirus. Developing the EU's capital markets, and ensuring access to market financing, will be essential in this task.
24 September Commission sets out new, ambitious approach to encourage responsible innovation to benefit consumers and businesses about Digital Finance Package
The European Commission has adopted a new Digital Finance Package, including Digital Finance and Retail Payments Strategies, and legislative proposals on crypto-assets and digital resilience. Today's package will boost Europe's competitiveness and innovation in the financial sector, paving the way for Europe to become a global standard-setter. It will give consumers more choice and opportunities in financial services and modern payments, while at the same time ensuring consumer protection and financial stability.
24 September ESMA makes proposals to help prevent and detect WHT reclaim schemes
ESMA has published the Final Report on its inquiry into Cum/Ex, Cum/Cum and withholding tax (WHT) reclaim schemes. ESMA’s key proposal is that national competent authorities (NCAs) for securities markets should be empowered to share information with the tax authorities, to assist in detecting WHT reclaim schemes.
23 September ESMA agrees position limits under MiFID II
ESMA has published three opinions on position limits regarding commodity derivatives under the Markets in Financial Instruments Directive and Regulation (MiFID II/MIFIR).
24 September ESMA consults on MiFIR reference data and transaction reporting
ESMA has launched a Consultation Paper (CP) reviewing the reference data and transaction reporting obligations under the Market in Financial Instruments Regulation (MiFIR).
24 September ESMA publishes outcomes of MAR review
ESMA has published a review of the Market Abuse Regulation (MAR). The Report is the first in-depth review of the functioning of MAR since its implementation in 2016, and its recommendations will feed into the European Commission’s (EC) review of MAR.
23 September ESMA received securitisation repository registration application
ESMA has received its first application for registration as a securitisation repository (SR) under the Securitisation Regulation.
21 September Steven Maijoor delivers keynote speech at City Week 2020
ESMA Chair Steven Maijoor has addressed the international financial services community, at the City Week 2020 conference online. The event brings together industry leaders and policy makers from around the globe to discuss the most pressing matters affecting the international financial services industry and the future of global financial markets.
23 September ESMA reappoints the Chairs of its Data and Investment Management Standing Committees
The Board of Supervisors of ESMA has made the following reappointments as standing committee chairs:
• Christopher Buttigieg, Director of the Securities and Markets Supervision Unit at the Malta Financial Services Authority (MFSA), as chair of the Data Standing Committee; and
• Gabriela Figueiredo Dias, Chair of the Comissão do Mercado de Valores Mobiliários (CMVM) of Portugal, as chair of the Investment Management Standing Committee.
23 September ESMA appoints Chair and Independent members of the CCP Supervisory Committee
ESMA has formally appointed Klaus Löber as Chair of the CCP Supervisory Committee and Nicoletta Giusto and Froukelien Wendt as Independent Members.