Latest ICMA developments
18 January - A recording of the quarterly briefing call highlighting the key features from ICMA’s latest Quarterly Report is now available for ICMA members and may be accessed on the members’ pages of the ICMA website here.
18 January – ICMA responded to the proposed policy with respect to the exercise of the FCA’s powers under new Article 23D, which would give FCA enhanced powers, in particular in relation to managing the orderly wind-down of critical benchmarks which are no longer representative.
21 January – ICMA hosted a virtual panel, with Steffen Kern - ESMA, on Covid-19 and the lessons learnt from a fund liquidity perspective discussing ESMA’s key findings during the market crisis, risks to consider in the coming year and policy lessons learnt.
22 January - Robert Parker, Chair of ICMA's Asset Management and Investors Council, shared his outlook for 2021 for the asset management industry including his views on inflation, central bank monetary policies and the potential asset bubbles in the market. The latest podcast is available here.
Coming up next:
AMIC secretariat will be submitting its response to the ELTIF review consultation (deadline 1 February) and AIFMD review consultation (deadline 29 January) next week.
ICMA Asset Management and Investors Council (AMIC) Regulatory Update
18 January Special remarks by SFC Ashley Alder
Ashley Alder, from the Hong Kong SFC, gave a speech focused on sustainability highlighting their goals and action points such as aligning with the TCFD no later than 2025, adopting a universal taxonomy for green finance and promoting greater use of climate-focused scenario analysis by industry participants.
18 January Sustainable Recovery and Sustainable Growth in the Global Economy: a crucial decade for the world and a year for UK leadership
Governor Andrew Bailey and professor Lord Stern discussed the opportunities to create a sustainable recovery, the transition to net zero, and the role and impacts on various economic sectors. This event was hosted as a webinar and the recording is available to watch here.
20 January Implementation of the SFDR regulation for asset management companies as of March 10, 2021
The AMF has been clarifying the relationship between the new SFDR obligations and national requirements, and the position-recommendation DOC-2020-03 on the information to be provided by collective investment schemes integrating non-financial approaches.
20 January Commissioner McGuinness' speech
Commissioner McGuinness' provided remarks at UN Roundtable on Extractive Industries and Sustainable Development in the UNECE region.
19 January Commission sets out key actions for a united front to beat COVID-19
Two days ahead of the meeting of European leaders on a coordinated response to the COVID-19 crisis, the Commission set out a number of actions needed to step up the fight against the pandemic.
21 January ESRB paper on post-pandemic insolvencies
The ESRB has published its latest paper on preparing for the post-pandemic rise in corporate insolvencies.
Monetary Policy Decisions
20 January BoE: Key elements of the 2021 stress test
The BoE has published the scenario that we will be stress-testing banks against in 2021. The solvency stress test will assess the major UK banks and building societies against a UK and global scenario that reflects a severe path for the current macroeconomic outlook.
21 January Monetary policy decisions
The Governing Council has decided to reconfirm its monetary policy stance. A full list of decisions taken is available here.
19 January Speech by Natasha Cazenave on “Reshaping the regulatory framework: 2021 and beyond”
Natasha Cazenave, gave a speech highlighting AMF’s support and position for key legislative reviews scheduled in 2021 such as MiFID II, the EU Green Deal and the EU’s Digital Finance Package.
20 January FSB 2021 work programme
The FSB published its 2021 work programme detailing the FSB’s planned work and provides an indicative timeline of main publications for 2021. The FSB will reinforce its forward-looking monitoring of developments to identify, assess and address new and emerging risks to global financial stability, and continue to assess the functioning of the regulatory framework put in place after the 2008 global financial crisis.
21 January Financial services priorities for the UK’s G7 presidency
The International Regulatory Strategy Group (IRSG) has set out its key areas of focus in financial services for the UK’s presidency of the G7 this year. It advocates four areas of focus for the UK: global regulatory coherence for pandemic recovery; leadership on climate agenda ahead of COP26; digital policy continuity, including on digital taxation; and alignment with G20 global policy priorities.
11 January ESMA updates guidelines on written agreements between CCP college members
ESMA has published the final report on its revised Guidelines regarding written agreements between members of CCP colleges.
20 January EU recognition of third countries' rules on OTC derivatives
The European Commission published a series of consultations on draft implementing decisions considering to grant equivalence to Singapore, US, Hong Kong and Australia’s rules on OTC derivatives.
Liquidity Stress Testing
22 January Guidelines on liquidity stress testing
ESMA has published its latest liquidity stress testing in UCITS and AIFs guidelines compliance table which is available here.
20 January Joint statement by the European Commission and the European Central Bank on their cooperation on a digital euro
The European Commission and the European Central Bank (ECB) provided a joint statement on their cooperation on a digital euro as they are pursuing their efforts towards ensuring a strong and vibrant European digital finance sector and a well-integrated payments sector to respond to new payment needs in Europe.