EU Capital Markets Recovery Package includes amendments to the EU Capital Markets rules to support: EU companies raising capital in public markets; lending capacity of banks; and boost investment in the real economy. European Commission President Ursula von der Leyen has moved the package forward as a key priority dossier in the European Council.
Key Regulatory Frameworks:
- Markets in Financial Instruments Directive (MiFID) II: Commodities Derivatives Market: proposed amendments to simply information requirements and need of the commodities derivatives market
- The Prospectus Regulation
- Securitization Framework: Securitization Regulation and the Capital Requirements Directive
- Paper-based info: Phase of paper-based information
- Plain vanilla bond governance exemptions: Exemption for non-complex (“plain vanilla”) bonds sold to both retail and professional investors from certain product governance-related information requirements under certain conditions
- Euro-denominated derivatives: supporting growth of this market
- EU Recovery Prospectus
- Shorter Prospectus: for companies with a track record in the public market to disclose information to investors when they issue bonds or shares
- Transparency Directive
- ESEF: Option to postpone, by one year, the requirement for listed companies to prepare all annual financial reports in a European Single Electronic reporting Format (‘ESEF’) for financial years beginning on or after 1 January 2020.
- EU Securtitisation Framework: Capital Markets Recovery Package includes proposed amendments to the existing EU Framework
- STS: Simple Transparent Standardized
- Synthetic: Credit Risk Transfer tools for banks. Increases overall private risk-sharing.
- NPE: Securtitisation of Non-Performing Exposures. Obstacles are removed to support banks offloading NPEs.
- SES: Synthetic Excess Spread: Credit enhancement tool common in synthetic securitizations. Council suggest complementing the Commission’s proposal with dedicated prudential treatment and regulatory capital requirements for SES.
Country / Region: European UnionTags: bonds, capital markets, climate governance, climate relevant regulations, complementarity, corporate reporting, credit enhancements, economic capital, risk transfer, risks
In 5 user collections: Green Home Investment Platform – Industry Regulators , Green Home Investment Platform – National Regulators , Green Home Investment Platform – Supranational Regulators , Green Home Investment Platform – Institutional Investors , Green Home Investment Platform – Banks
Knowledge Object: Web Resource
Publishing year: 2020
Author: Council of the EU