da Maineri Bruno | Nov 14, 2016 | Eba, Rischi operativi
The European Banking Authority (EBA) published today for consultation revised Implementing Technical Standards (ITS) on supervisory reporting. The proposed amendments concern new requirements for the reporting of information on sovereign exposures and changed requirements for the reporting of operational risk data. The standards on supervisory reporting aim at collecting information on institutions’ compliance with prudential requirements in a consistent way and need to be updated whenever prudential or supervisory requirements change. This consultation runs until 7 January 2017.
Information on sovereign exposures was crucial in the past and is becoming even more important now that the treatment of sovereigns is under review. The proposed draft ITS include additional information on sovereign exposures as the currently available data suffers from several shortcomings, which has required, so far, to resort to ad-hoc collections from Competent Authorities.
Considering the significant increase in institutions’ costs stemming from operational risk events and the significant impact on profitability, these draft ITS also propose improvements to the reported information on operational risk. These changes will allow supervisors to monitor the losses due to this risk and to analyse the drivers behind the events triggering such material losses.
Comunicazione e testo del documento
da Maineri Bruno | Nov 11, 2016 | Eba
L’Autorità Bancaria Europea (EBA) ha pubblicato in consultazione la risposta al quesito posto dalla Commissione Europea riguardante il progetto di un nuovo regime prudenziale per le imprese di investimento non-sistemiche, il quale risulta essere strutturato alla luce delle tipologie di rischio e dei modelli di business di tali soggetti. Tale progetto ha lo scopo di prevedere un quadro unico e armonizzato di requisiti regolamentari che siano semplici, proporzionati e ragionevoli con riferimento alla natura delle imprese di investimento e delle loro attività di mercato.
A tal riguardo, l’EBA raccomanda che il nuovo quadro regolamentare si focalizzi sui rischi che le imprese di investimento possono comportare per i clienti e per l’intergrità e la liquidità del mercato. Sul punto, l’EBA propone di calcolare i requisiti di capitale sulla base di fattori di capitale da attribuire ad una di queste due tipologie di rischio. Il documento, inoltre, prevede tre alternative possibili riguardanti i requisiti di liquidità che le imprese di investimento dovrebbero essere tenute a rispettare e che dovrebbero risultare maggiormente appropriate rispetto ai requisiti, oggi previsti, sulla copertura di liquidità (LCR) e sul finanziamento netto stabile (NSFR).
Discussion Paper on a new prudential regime for Investment Firms (EBA-DP-2016-02)
Diritto Bancario
da Maineri Bruno | Nov 6, 2016 | Eba, Icaap
The European Banking Authority (EBA) published today its final Guidelines on the collection of information related to the internal capital adequacy assessment process (ICAAP) and the internal liquidity adequacy assessment process (ILAAP). These Guidelines aim at facilitating a consistent approach to the supervisory assessment of ICAAP and ILAAP frameworks across the EU as part of the supervisory review and evaluation process (SREP).
These Guidelines introduce a common approach and specify what information regarding ICAAP and ILAAP Competent Authorities should collect from institutions in order to perform their assessments of ICAAP and ILAAP frameworks as well as the reliability of ICAAP and ILAAP capital and liquidity estimates in a consistent manner following the criteria specified in the EBA SREP Guidelines.
In particular, Competent Authorities should collect the following: (i) general information about ICAAP and ILAAP frameworks, business model and strategy, as well as governance arrangements, (ii) ICAAP-specific methodological, policy and operational information; (iii) ILAAP-specific methodological, policy and operational information, and (iv) management conclusions on ICAAP and ILAAP and quality assurance information. In addition, these Guidelines set the criteria for Competent Authorities to organise the collection of ICAAP and ILAAP information taking into account the principle of proportionality, which is recognised in the Guidelines in relation to the frequency, reference and remittance dates, as well as the scope for the ICAAP and ILAAP information that should be determined in relation to the SREP categorisation of institutions.
The Guidelines do not introduce any new ICAAP or ILAAP assessment criteria, nor any specific ICAAP/ILAAP ‘report’, but identify information items and their core content recognising that such information can be provided either through a single report specifically prepared by an institution for the purposes of ICAAP/ILAAP submissions, or through separate documents that are already available at the bank.
According to the EBA’s impact assessment, introducing greater convergence into the collection of ICAAP and ILAAP information across the EU by means of these Guidelines does not necessarily result in significant additional costs for the institutions, as information is already being collected by Competent Authorities.
Legal basis
These final Guidelines have been developed on the EBA’s own initiative in accordance with Article 16 of Regulation (EU) No 1093/2010 and supplement the EBA Guidelines on common procedures and methodologies for SREP (EBA/GL/2014/13).
Press contacts:
Franca Rosa Congiu
E-mail: press@eba.europa.eu – Tel: +44 (0) 207 382 1772
Related documents: Final report on Guidelines on ICAAP and ILAAP information
Related documents: Guidelines on ICAAP and ILAAP information
da Maineri Bruno | Nov 2, 2016 | Eba
The European Banking Authority (EBA) and the European Securities and Markets Authority (ESMA) launched today a consultation on Guidelines on the Assessment of the Suitability of the Members of Management Body and Key Function Holders (the Guidelines). The draft Guidelines aim at further improving and harmonising suitability assessments within the EU financial sectors and so ensure sound governance arrangements in financial institutions.
Weaknesses in corporate governance are widely acknowledged to have been one of the underlying causes of the financial crisis where inadequate oversight by, and challenge from, the management body in a number of credit institutions and investment firms contributed to excessive and imprudent risk-taking in the financial sector. In order to address those weaknesses, the EBA and ESMA have issued jointly these Guidelines in accordance with the new requirements introduced under the Capital Requirements Directive (CRD) and the Markets in Financial Instruments Directive (MiFID II).
The draft Guidelines:
– provide common criteria to assess the individual and collective knowledge, skills and experience of members of the management body as well as the good repute, honesty and integrity, and independence of mind of members of the management body;
– require members of the management body to commit sufficient time to perform their duties and specify how the number of directorships held by members of the management body should be counted, for significant institutions;
– set out how different aspects of diversity, educational and professional background, age, gender and geographical provenance should be taken into account in the recruitment process; and
– highlight the importance of induction and training to ensure the initial and ongoing suitability of members of the management body, and call for institutions to establish training policies and to allocate appropriate financial and human resources to induction and training.
The consultation closes on 28 January 2017 and a public hearing in London will take place on 5 January 2017 from 14:00 to 17:00 UK time.
Legal basis and next steps
These draft Guidelines have been developed according to Article 91 (12) of Directive 2013/36/EU (CRD) and Article 9 of Directive 2014/65/EU.
These Guidelines take also into account the results of the EBA peer review of the Guidelines on the assessment of the suitability of members of the management body and key function holders of credit institutions, published on 22 November 2015.
The joint Guidelines will apply to Competent Authorities across the EU, as well as to credit institutions and investment firms. Once the revised Guidelines are enforced, the previous EBA Guidelines on the assessment of the suitability of the management body and key function holders from 2012 will be repealed.
Competent Authorities across the EU will be expected to implement the Guidelines by mid-2017.
da Maineri Bruno | Ott 29, 2016 | Governance, Eba
Deadline: 28/01/2017 |
The European Banking Authority (EBA) launched today a public consultation on its revised Guidelines on internal governance. These draft Guidelines aim at further harmonising institutions’ internal governance arrangements, processes and mechanisms across the EU, in line with the new requirements in this area introduced in the Capital Requirements Directive (CRD) and also taking into account the proportionality principle. The consultation runs until 28 January 2017.
Weaknesses in corporate governance in a number of institutions have contributed to excessive and imprudent risk-taking in the banking sector, which has led to the failure of individual institutions and systemic problems in Member States and globally. In order to address the potentially detrimental effects of poorly designed corporate governance arrangements on the sound management of risk, and to take into account the new requirements introduced in the CRD in this area, the EBA is updating its Guidelines on internal governance, originally published on 27 September 2011.
These draft Guidelines put more emphasis on the duties and responsibilities of the management body in its supervisory function in risk oversight, including the role of their committees. They aim at improving the status of the risk management function, enhancing the information flow between the risk management function and the management body and ensuring effective monitoring of risk governance by supervisors. The ‘know-your –structure’ and complex structures sections, especially following the ‘Panama events’, have been strengthened to ensure that the management body is aware of the risks that can be triggered by complex and opaque structures and to improve transparency. In addition, the framework for business conduct has been further developed and more emphasis is given to the establishment of a risk culture, a code of conduct and the management of conflicts of interest.
Finally, more guidance is provided on the risk management framework, on how internal control functions are organised and how internal controls are implemented.
Documenti
da Maineri Bruno | Ott 28, 2016 | Eba, Governance
28 October 2016
The European Banking Authority (EBA) launched today a public consultation on its revised Guidelines on internal governance. These draft Guidelines aim at further harmonising institutions’ internal governance arrangements, processes and mechanisms across the EU, in line with the new requirements in this area introduced in the Capital Requirements Directive (CRD) and also taking into account the proportionality principle. The consultation runs until 28 January 2017.
Weaknesses in corporate governance in a number of institutions have contributed to excessive and imprudent risk-taking in the banking sector, which has led to the failure of individual institutions and systemic problems in Member States and globally. In order to address the potentially detrimental effects of poorly designed corporate governance arrangements on the sound management of risk, and to take into account the new requirements introduced in the CRD in this area, the EBA is updating its Guidelines on internal governance, originally published on 27 September 2011.
These draft Guidelines put more emphasis on the duties and responsibilities of the management body in its supervisory function in risk oversight, including the role of their committees. They aim at improving the status of the risk management function, enhancing the information flow between the risk management function and the management body and ensuring effective monitoring of risk governance by supervisors. The ‘know-your –structure’ and complex structures sections, especially following the ‘Panama events’, have been strengthened to ensure that the management body is aware of the risks that can be triggered by complex and opaque structures and to improve transparency. In addition, the framework for business conduct has been further developed and more emphasis is given to the establishment of a risk culture, a code of conduct and the management of conflicts of interest.
Finally, more guidance is provided on the risk management framework, on how internal control functions are organised and how internal controls are implemented.
Consultation process
Comments to this consultation can be sent to the EBA by clicking on the “send your comments” button on the consultation page. Please note that the deadline for the submission of comments is 28 January 2017.
A public hearing will take place at the EBA premises on 5 January 2017 from 14: 00 to 17:00 UK time. All contributions received will be published following the end of the consultation, unless requested otherwise.
Legal basis and next steps
These draft Guidelines have been developed on the basis of Article 74 of Directive 2013/36/EU, which mandates the EBA to further harmonise institutions’ governance arrangements, processes and mechanisms across the EU
Competent Authorities across the EU will be expected to implement the Guidelines by mid-2017.
The EBA Guidelines will apply to Competent Authorities across the EU, as well as to institutions on a solo and consolidated basis. Once the revised Guidelines are enforced, the 2011 Guidelines will be repealed.
Press contacts:
Franca Rosa Congiu
E-mail: press@eba.europa.eu – Tel: +44 (0) 207 382 1772
