12 Amendments of Niels FUGLSANG related to 2021/0342(COD)
Amendment 328 #
Proposal for a regulation
Recital 11
Recital 11
(11) Most EU corporates, however, do not seek external credit ratings, in particular due to cost considerations. To avoid disruptive impacts on bank lending to unrated corporates and to provide enough time to establish public or private initiatives aimed at increasing the coverage of external credit ratings, it is necessary to provide for a transitional period for such increase in the coverage. During that transitional period, institutions using IRB approaches should be able to apply a favourable treatment when calculating their output floor for investment grade exposures to unrated corporates, whilst initiatives to foster widespread use of credit ratings should be established. Tha. In order to enhance competition in the market for credit transitional arrangement should be coupled with a report prepared by the European Banking Authority (‘EBA’). After the transition period, institutting agencies and support the development of an European market, the Commissions should be able to refer to credit assessments by ECAIs to calculate the capital requirements for most of their corporate exposures. To inform any future initiative on the set-up of public or private rating schemes, the European Supervisory Authorities (ESAs) should be requested to prepare a report on the impediments to the availability of external credit ratings by ECAIs, in particular for corporates, and on possible measures to address those impedimentfoster the availability of credit assessments by nominated ECAIs and assess how public and or private initiatives could be expanded and how oligopolies in the CRA market could be addressed, and where appropriate, submit to European Parliament and to the Council additional legislative proposals. The Commission should also assess the possibility of the creation of a European public credit rating agency as an impartial and trusted alternative to existing agencies. After the transition period, institutions should be able to refer to credit assessments by ECAIs to calculate the capital requirements for most of their corporate exposures. In the meanwhile, the European Commission stands ready to provide technical support to Member States via its Technical Support Instrument in this area, e.g. to formulate strategies on increasing the rating-penetration of their unlisted corporates or to explore best practices on setting up entities capable of providing ratings or providing related guidance to corporates.
Amendment 485 #
Proposal for a regulation
Article 1 – paragraph 1 – point 11 a (new)
Article 1 – paragraph 1 – point 11 a (new)
Regulation (EU) No 575/2013
Article 46 – paragraph 2 a (new)
Article 46 – paragraph 2 a (new)
Amendment 501 #
Proposal for a regulation
Article 1 – paragraph 1 – point 12 a (new)
Article 1 – paragraph 1 – point 12 a (new)
Regulation (EU) No 575/2013
Article 48 – paragraph 1 a (new)
Article 48 – paragraph 1 a (new)
Amendment 1236 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 3 – subparagraph 1
Article 465 – paragraph 3 – subparagraph 1
3. By way of derogation from Article 92(5)(a), point (i), parent institutions, parent financial holding companies or parent mixed financial holding companies, stand-alone institutions in the EU or stand- alone subsidiary institutions in Member States may, until 31 December2032, assign a risk weight of 65 % to exposures to corporates for which no credit assessment by a nominated ECAI is available provided that that entity estimates the PD of those exposures, calculated in accordance with Part Three, Title II, Chapter 3, is no higher than 0,5 %.
Amendment 1254 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 3 – subparagraph 2
Article 465 – paragraph 3 – subparagraph 2
EBA shall monitor the use of the transitional treatment laid down in the first subparagraph and the availability of credit assessments by nominated ECAIs for exposures to corporates. EBA shall report its findings to the Commission by 31 December 2028.
Amendment 1264 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 3 – subparagraph 3
Article 465 – paragraph 3 – subparagraph 3
Amendment 1265 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 3 – subparagraph 3
Article 465 – paragraph 3 – subparagraph 3
On the basis of that report and taking due account of the related internationally agreed standards developed by the BCBS, the Commission shall, where appropriate, submit to the European Parliament and to the Council a legislative proposal by 31 December 2031, to terminate this derogation, on the basis of finding that external ratings provide sufficient coverage for corporates.
Amendment 1306 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 1 – point a
Article 465 – paragraph 5 – subparagraph 1 – point a
(a) until 31 December 2032, aA risk weight of 10 % to the part of the exposures secured by mortgages on residential property up to 55 % of the property value remaining after any senior or pari passu ranking liens not held by the institution have been deducted,
Amendment 1317 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 1 – point b
Article 465 – paragraph 5 – subparagraph 1 – point b
(b) until 31 December 2029, aA risk weight of 45% to any remaining part of the exposures secured by mortgages on residential property up to 80 % of the property value remaining after any senior or pari passu ranking liens not held by the institution have been deducted, provided that the adjustment to own funds requirements for credit risk referred to in Article 501 is not applied.
Amendment 1319 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraph 1 – point b a (new)
Article 465 – paragraph 5 – subparagraph 1 – point b a (new)
(b a) A risk weight of 30 % to the part of the exposures secured by mortgages on commercial property up to 55 % of the property value remaining after any senior or pari passu ranking liens not held by the institution have been deducted,
Amendment 1336 #
Proposal for a regulation
Article 1 – paragraph 1 – point 196
Article 1 – paragraph 1 – point 196
Regulation (EU) No 575/2013
Article 465 – paragraph 5 – subparagraphs 3 to 6
Article 465 – paragraph 5 – subparagraphs 3 to 6
Amendment 1412 #
Proposal for a regulation
Article 1 – paragraph 1 – point 199
Article 1 – paragraph 1 – point 199
Regulation (EU) No 575/2013
Article 495a – paragraph 3 a (new)
Article 495a – paragraph 3 a (new)
3 a. By way of derogation from Article 133, institutions may continue to assign the same risk weight that was applicable as of [OP please insert the date = one day before the date of entry into force of this amending Regulation] to equity exposures to entities of which they have been a shareholder at [adoption date] for six consecutive years and meet the following conditions: - The entity is owned in a partnership between other institutions or entities in the financial sector - The entity is a credit institution or a financial institution -The shareholders buy or convey services or products produced by the entity - The partnership between shareholders put together the main part of the board of directors of the entity with rep- resentatives from the shareholders - The shareholders of the entity possess the equity investment with the intention om establishing a long term business relationship - Acquisition of equity in the entity must be approved by the management of the shareholder institutions or entities in the financial sector. For the purposes of this Article, a long term equity investment follows the definition in article 133(4).