10 Amendments of Cora van NIEUWENHUIZEN related to 2015/0226(COD)
Amendment 131 #
Proposal for a regulation
Recital 10
Recital 10
(10) It is essential that competent authorities work closely togetha European supervisory body operates a third-party certification system in order to ensure a common and consistent understanding of the STS requirements throughout the Union and to address potential interpretation issues. In the light of this objective, the threeassigned regulatory body, along with the two other ESAs should, in the framework of the Joint Committee of the European Supervisory Authorities, coordinate their work and that of the competent authorities to ensure cross- sectoral consistency and assess practical issues which may arise with regards to STS securitisations. In doing so, the views of market participants should also be requested and taken into account to the extent possible. The outcome of these discussions should be made public on the websites of the ESAs so as to help originators, sponsors, SSPEs and investors assess STS securitisations before issuing or investing in such positions. Such a coordination mechanism would be particularly important in the period leading to the implementation of this Regulation.
Amendment 134 #
Proposal for a regulation
Recital 11
Recital 11
(11) Investments in or exposures to securitisations will not only expose the investor to credit risks of the underlying loans or exposures, but the structuring process of securitisations could also lead to other risks such as agency risks, model risk, legal and operational risk, counterparty risk, servicing risk, liquidity risk, concentration risk and risks of operational nature. Therefore, it is essential that institutional investors are subject to proportionate due diligence requirements ensuring that they properly assess the risks arising from all types of securitisations, to the benefit of end investors. Due diligence can thus also enhance confidence in the market and between individual originators, sponsors and investors. It is necessary that investors also exercise appropriate due diligence with regard to STS securitisations.. They can inform themselves with the information disclosed by the securitising parties, in particular the STS notification and the related information disclosed in this context, which should provide investors with all the relevant information on the way STS criteria are met. Institutional investors should be able to place appropriate reliance on the respective third-party certification agent for STS notification and the information disclosed by the originator, sponsor and SSPE on whether a securitisation meets the STS requirements.
Amendment 155 #
Proposal for a regulation
Recital 18
Recital 18
(18) To ensure that investors perform robust due diligence and to facilitate the assessment of underlying risks, it is important that securitisation transactions are backed by pools of exposures that are homogenous in asset type, such as. These consist of the following: pools of residential loans, pools of commercial loans, trade receivables, leases and credit facilities to undertakings of the same category to finance capital expenditures or business operations, pools of auto loans and leases to borrowers or lessees or loans and pools of credit facilities to individuals for personal, family or household consumption purposes.
Amendment 162 #
Proposal for a regulation
Recital 22
Recital 22
(22) Investors should perform their own due diligence on investments commensurate with the risks involved but they should be able to rely on theird-party STS nocertifications and on the information provided by the originator, sponsor and SSPE on STS compliance.
Amendment 164 #
Proposal for a regulation
Recital 23
Recital 23
(23) The involvement of third partiean authorised third party in providing the STS certification as well as in helping to check compliance of a securitisation with the STS requirements may be usefuis critical for investors, originators, sponsors and SSPE's and could contribute to increase confidence in the market for STS securitisations. However, it is essential that investors make their own assessment, take responsibility for their investment decisions and do not mechanistically rely on such third parties.
Amendment 221 #
Proposal for a regulation
Article 3 – paragraph 1 – point c
Article 3 – paragraph 1 – point c
(c) the originator, sponsor and SSPE make available the information required by Article 5 of this Regulation in accordance with the third-party certification agent as well as the frequency and modalities provided in that Article;
Amendment 226 #
Proposal for a regulation
Article 3 – paragraph 2 – point c
Article 3 – paragraph 2 – point c
(c) with regard to securitisations designated as STS, whether the securitisation meets the STS requirements laid down in Articles 7 to 10 or Articles 11 to 14. Institutional investors may place appropriate reliance on the third-party certification agent and on the STS notification pursuant to Article 14 (1) and on the information disclosed by the originator, sponsor and SSPE on the compliance with the STS requirements.
Amendment 241 #
Proposal for a regulation
Article 4 – paragraph 1 – subparagraph 1
Article 4 – paragraph 1 – subparagraph 1
The originator, sponsor or the original lender of a securitisation shall retain on an ongoing basis a material net economic interest in the securitisation of not less than 5 %, which shall be measured at the origination and shall be determined by the notional value for off-balance sheet items. Where the originator, sponsor or the original lender have not agreed between them who will retain the material net economic interest, the originator shall retain the material net economic interest. There shall be no multiple applications of the retention requirements for any given securitisation. The material net economic interest shall be measured at the origination and shall be determined by the notional value for off-balance sheet items. The material net economic interest shall not be split amongst different types of retainers and not be subject to any credit risk mitigation or hedging.
Amendment 332 #
Proposal for a regulation
Article 8 – paragraph 4
Article 8 – paragraph 4
4. The securitisation shall be backed by a pool of underlying exposures that are homogeneous in terms of asset type. These consist of the following: pools of residential loans, pools of commercial loans, trade receivables, leases and credit facilities to undertakings of the same category to finance capital expenditures or business operations, pools of auto loans and leases to borrowers or lessees or loans and pools of credit facilities to individuals for personal, family or household consumption purposes. The underlying exposures shall be contractually binding and enforceable obligations with full recourse to debtors, with defined periodic payment streams relating to rental, principal, interest payments, or related to any other right to receive income from assets warranting such payments. The underlying exposures shall not include transferable securities, as defined in Directive 2014/65/EU.
Amendment 408 #
Proposal for a regulation
Article 14 – paragraph 1
Article 14 – paragraph 1
1. Originators, sponsors and SSPE's shall jointly notify ESMA by means of the template referred to in paragraph 5 of this Article that the securitisation meets the requirements of Articles 7 to 10 or Articles 11 to 13 of this Regulation ('STS notification'). ESMA shall provide authorisation to the respective third party agent that will determine STS compliance. ESMA shall also publish the STS notification on its official website pursuant to paragraph 4. They shall also and inform their competent authority. The originator, sponsor and SSPE of a securitisation shall designate amongst themselves one entity to be the first contact point for investors and competent authorities.