52 Amendments of Udo BULLMANN related to 2011/0202(COD)
Amendment 170 #
Proposal for a regulation
Recital 40 a (new)
Recital 40 a (new)
(40a) Given the existing discrepancies in risk weights attributed for non-rated corporate exposures between the IRB approach and the standardized approach, the risk weight for non-rated corporate exposures under the standardized approach should be calculated on a country by country basis as the average of risk weights given under the IRB approach for this asset class. This would ensure a consistency between both approaches and promote corporate loans for small institutions unable to implement the IRB approach.
Amendment 202 #
Proposal for a regulation
Recital 76
Recital 76
(76) Apart from short-term liquidity needs, credit institutions and investment firms should also adopt funding structures that are stable at a longer term horizon. In December 2010, the BCBS agreed that the NSFR will move to a minimum standard by 1 January 2018 and that the BCBS will put in place rigorous reporting processes to monitor the ratio during a transition period and will continue to review the implications of these standards for financial markets, credit extension and economic growth, addressing unintended consequences as necessary. The BCBS thus agreed that the NSFR will be subject to an observation period and will include a review clause. In this context, EBA shouldTherefore, specific provisions requiring institutions to maintain stable funding should be introduced no later than 1 January 2015. It is essential to this purpose that, once and every time the Basel Committee's proposals on liquid reserves and on limits to unstable funding are finalized, EBA and the ESRB, based on reporting required by this Regulation, evaluate how a stable funding requirement should be designed. Based on this evaluation, the Commission should report to Council and European Parliament together with any appropriate proposals in order to introduce such a requirement by 20185.
Amendment 206 #
Proposal for a regulation
Recital 76 a (new)
Recital 76 a (new)
(76a) Once such appropriate measures are defined, it is essential that financial institutions anticipate in a smooth and timely fashion the transition to the standards, lest any delay should increase the costs of transition and undermine financial stability. It is therefore appropriate that competent authorities are empowered to levy charges in order to encourage a smooth transition. Competent authorities should ensure that the charges are defined so as to contribute to financial stability.
Amendment 209 #
Proposal for a regulation
Recital 83 a (new)
Recital 83 a (new)
(83a) The primary duty of the legal framework for credit institutions should be to ensure the operation of vital services to the economy while limiting the risk of moral hazard. The structural separation of retail and investment banking activities within a banking group would be a key tool to support this objective. Nothing in this regulation should therefore prevent the introduction of measures to effect such a separation. The Commission should analyse the options for achieving such separation in the Union and produce a report, accompanied by legislative proposals, to the European Parliament and Council.
Amendment 239 #
Proposal for a regulation
Article 3 – paragraph 1
Article 3 – paragraph 1
This Regulation shall not prevent institutions from holding own funds and their components in excess of, or applying measures that are stricter than those required by this Regulation. It shall also not prevent competent authorities to require higher level of minimum own fund requirements from institutions registered in their jurisdiction if these meet requirements specified in Article 126 of Directive 2012/.../EU of the European Parliament and of the Council of ... [on the access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms].
Amendment 245 #
Proposal for a regulation
Article 4 – paragraph 1 – point 14 a (new)
Article 4 – paragraph 1 – point 14 a (new)
(14a) 'marking to funding' means allocating assets into buckets of intended holding period against funding of equal maturity and using average price over holding horizon rather than current market price to calculate value.
Amendment 373 #
Proposal for a regulation
Article 25 – title
Article 25 – title
Capital instruments of mutuals, cooperative societies, savings banks or similar institutions in Common Equity Tier 1 items
Amendment 378 #
Proposal for a regulation
Article 25 – paragraph 1 – point a
Article 25 – paragraph 1 – point a
(a) the institution is of a type that is defined under applicable national law and which competent authorities consider to qualify as a mutual, cooperative society, savings bank or a similar institution for the purposes of this Part;
Amendment 382 #
Proposal for a regulation
Article 25 – paragraph 1 – point b
Article 25 – paragraph 1 – point b
(b) the conditions laid down in Articles 26 and 27 are met, taking into account their specific constitution and legal structure;
Amendment 384 #
Proposal for a regulation
Article 25 – paragraph 2 – subparagraph 1 – introductory part
Article 25 – paragraph 2 – subparagraph 1 – introductory part
EBA shall develop draft regulatory technical standards to specify the following with a view to encouraging the development of a robust and diverse banking sector in the EU with a variety of different liability structures:
Amendment 386 #
Proposal for a regulation
Article 25 – paragraph 2 – subparagraph 3
Article 25 – paragraph 2 – subparagraph 3
Power is delegated to the Commission to adopt the regulatory technical standards referred to in the first subparagraph in accordance with the procedure laid down in Articles 10 to 14 of Regulation (EU) No 1093/2010, while ensuring the diversity of the European banking system.
Amendment 399 #
Proposal for a regulation
Article 27 – title
Article 27 – title
Capital instruments issued by mutuals, cooperative societies, savings banks and similar institutions
Amendment 402 #
Proposal for a regulation
Article 27 – paragraph 1
Article 27 – paragraph 1
1. Capital instruments issued by mutuals, cooperative societies, savings banks and similar institutions shall qualify as Common Equity Tier 1 instruments only if the conditions laid down in Article 26 and this Article are met while ensuring the development of a banking system with diverse liability structures.
Amendment 472 #
Proposal for a regulation
Article 46 – paragraph 3 – point b – point i
Article 46 – paragraph 3 – point b – point i
Amendment 483 #
Proposal for a regulation
Article 46 – paragraph 3 – point b – point v
Article 46 – paragraph 3 – point b – point v
v) the institution draws up and reports to the competent authorities the consolidthe consolidated or aggregated balance sheet referred to in point (e) of Article 108(7) no less frequently than own funds requirements are required to be reportand demonstrates in an appropriate manner that there is neither multiple gearing of elements eligible for the calculation of own funds nor any inappropriate creation of own funds between the members of the institutional protection scheme and reports these documents to the competent authorities no less frequently than required under Article 95108(7);
Amendment 581 #
Proposal for a regulation
Article 87 – paragraph 4 – point b a (new)
Article 87 – paragraph 4 – point b a (new)
(ba) the risk weighted exposure amounts for credit risk for loans to SMEs (as defined in Title II Chapter 3 Section 2 Sub-section 2 Art.148 (4)) have to be calculated in accordance with Title II and then multiplied by 0,7619 (application of an SMEs Supporting Factor), irrespective of the fact that the institution uses the method set out in Chapter 2 or in Chapter 3 of Part Three, Title II;
Amendment 584 #
Proposal for a regulation
Article 87 a (new)
Article 87 a (new)
Article 87a For institutions deemed systemically risky by competent authorities or the ESRB, capital requirements as specified in Article 87, paragraph 1, shall be increased to: - 125% of the specified level if the institutions are deemed to pose moderate systemic risk -150% if the institutions are deemed to pose high systemic risk -200% if they are deemed to pose a grave systemic threat.
Amendment 585 #
Proposal for a regulation
Article 87 b (new)
Article 87 b (new)
Article 87b 1. Small institutions with balance sheets of less than Euro 10 bn at the end of previous accounting years shall not be subject to determinations of being systemically risky by the ESRB as specified under Article 87a. The same applies to development banks that fulfil a promotional mission authorized by government and law. 2. Institutions with balance sheets of more than Euro 100 bn shall automatically be deemed to at least pose moderate systemic risk as proposed under Article 87a. 3. Institutions with balance sheets larger than Euro 250 bn shall automatically be deemed to pose at least high systemic risk 4. Institutions with balance sheets in excess of Euro 1,000 bn shall automatically be deemed to pose a grave systemic threat.
Amendment 586 #
Proposal for a regulation
Article 87 c (new)
Article 87 c (new)
Article 87c The Commission shall propose definitions of these categories of systemic risk specified in Article 87a and the risk factors that go into their determination by the ESRB and competent authorities by 1 January 2013.
Amendment 601 #
Proposal for a regulation
Article 100 – paragraph 2 – subparagraph 1 a (new)
Article 100 – paragraph 2 – subparagraph 1 a (new)
Amendment 612 #
Proposal for a regulation
Article 109 – paragraph 4
Article 109 – paragraph 4
4. Exposures to Member States' central governments and central banks denominated and funded in the domestic currency of that central government and central bank shall be assigned a risk weight of 0 %. In its future legislative proposal, the European Commission shall apply a 0% risk weight to eurobonds issued with some form of joint and several guarantee by Euro zone Member States.
Amendment 622 #
Proposal for a regulation
Article 113 – paragraph 1 – point d a (new)
Article 113 – paragraph 1 – point d a (new)
(da) the European Stabilisation Mechanism;
Amendment 639 #
Proposal for a regulation
Article 117 – paragraph 2
Article 117 – paragraph 2
2. Exposures for which such a credit assessment is not available shall be assigned a 100 % risk weight or the risk weight of its central government, whichever is the higher, except for SMEs for which a reduced rate may be applicable as defined elsewhere in this legislative package and as expected to be contained in the recommendations of EBA due September 2012.
Amendment 642 #
Proposal for a regulation
Article 118 – paragraph 1 – introductory part
Article 118 – paragraph 1 – introductory part
Exposures that comply with the following criteria shall be assigned a risk weight of 750 %:
Amendment 657 #
Proposal for a regulation
Article 118 – paragraph 1 – point c a (new)
Article 118 – paragraph 1 – point c a (new)
(ca) the exposure has been made on the basis of proper due diligence based on customer specific information gleaned from a relationship with the customer and not available on standard credit scores and databases that can be bought in the market.
Amendment 679 #
Proposal for a regulation
Article 121 – paragraph 1 – introductory part
Article 121 – paragraph 1 – introductory part
1. Unless otherwise decided by the competent authorities in accordance with Article 119(2), exposures fully and completely secured by mortgages on commercial immovable property shall be treated as follows: subject to a counter- cyclical risk weight adjustment factor that will range between 150% and 80% depending on the stage of the property cycle in the member state and this factor will be used to adjust the risk weights arrived at by the use of the following articles. This risk weight will be levied by competent member state authorities in consultation with the ESRB:
Amendment 727 #
Proposal for a regulation
Article 140 – paragraph 3 a (new)
Article 140 – paragraph 3 a (new)
Amendment 728 #
Proposal for a regulation
Article 140 – paragraph 3 b (new)
Article 140 – paragraph 3 b (new)
3b. For financial institutions that get more than 50% of their revenue (on a consolidated basis) from outside their home country, EBA alone will develop such a portfolio and may consult with home/host supervisors if necessary but will make the decision on the capital multiplier on its own.
Amendment 921 #
Proposal for a regulation
Article 401 – paragraph 1
Article 401 – paragraph 1
1. Institutions shall at all times hold liquid assets, the sum of the values of which equals, or is greater than, the liquidity outflows less the liquidity inflows under stressed conditions so as to ensure that institutions maintain levels of liquidity buffers which are adequate to face any possible imbalance between liquidity inflows and outflows under gravely stressed conditions over a short period of timehirty days.
Amendment 931 #
Proposal for a regulation
Article 402 a (new)
Article 402 a (new)
Article 402a Within one year after the international liquidity standards are agreed, EBA and ESRB shall evaluate their effectiveness and impact, and report to the Commission. The report shall be accompanied by draft regulatory technical standards. The Commission shall adopt regulatory standards defining an LCR and an NSFR and adopt them within one year by delegated act.
Amendment 952 #
Proposal for a regulation
Article 404 – paragraph 1 – subparagraph 1 – point b
Article 404 – paragraph 1 – subparagraph 1 – point b
(b) transferable assets, including mortgage bonds, that are of extremely high liquidity and credit quality;
Amendment 1009 #
Proposal for a regulation
Article 404 – paragraph 2 – point a – point iii a (new)
Article 404 – paragraph 2 – point a – point iii a (new)
(iiia) bonds guaranteed by the central government of a Member State under a general programme;
Amendment 1067 #
Proposal for a regulation
Article 404 – paragraph 5
Article 404 – paragraph 5
5. Shares or units inheld through CIUs may be treated as liquid assets up to an absolute amount of 250 million EUR provided that the requirements in Article 127(3) are met and that the CIU, apart from derivatives to mitigate interest rate or credit risk, only invests in liquid assetse shares or units are liquid assets in accordance with the requirements of this article.
Amendment 1246 #
Proposal for a regulation
Article 414 – paragraph 2 – introductory part
Article 414 – paragraph 2 – introductory part
2. Where applicable, all items shall be presented in the following fivesix buckets according to the closer of their maturity date and the earliest date at which they can contractually be called:
Amendment 1247 #
Proposal for a regulation
Article 414 – paragraph 2 – point e a (new)
Article 414 – paragraph 2 – point e a (new)
(e a) after 36 months.
Amendment 1265 #
Proposal for a regulation
Article 416 – paragraph 1
Article 416 – paragraph 1
1. Institutions shall calculate their leverage ratio according to the methodology set out in paragraphs 2 to 10. A risk weight of 0% shall be attributed to lending to municipalities.
Amendment 1323 #
Proposal for a regulation
Article 435 – paragraph 1 – point h
Article 435 – paragraph 1 – point h
(h) the number, details, titles and job profiles of individuals being remunerated EUR 1 million or more per financial year, broken down into pay bands of EUR 500 000.
Amendment 1336 #
Proposal for a regulation
Article 436 – paragraph 2 – subparagraph 2
Article 436 – paragraph 2 – subparagraph 2
EBA shall submit those draft implementing technical standards to the Commission by 30 June1 January 20143.
Amendment 1469 #
Proposal for a regulation
Article 463 – paragraph 4
Article 463 – paragraph 4
4. Subject to the limit specified Article 464(3), instruments, and the related share premium accounts, that qualified as original own funds under national transposition measures for point (ca) of Article 57 and Article 154(8) and (9) of Directive 2006/48/EC shall qualify as Additional Tier 1 items, notwithstanding the conditions laid down in Article 49 not being met.
Amendment 1473 #
Proposal for a regulation
Article 463 – paragraph 5 a (new)
Article 463 – paragraph 5 a (new)
5a. Subject to the provisions of paragraph 7, instruments which, on the basis of the provisions of Article 154(9) of Directive 2006/48/EC, are recognised as capital within the meaning of Article 57(ca) of Directive 2006/48/EC shall qualify as Additional Tier 1 items, notwithstanding the conditions laid down in Article 464 and notwithstanding the conditions laid down in Article 49 not being met.
Amendment 1474 #
Proposal for a regulation
Article 463 – paragraph 5 b (new)
Article 463 – paragraph 5 b (new)
5b. Subject to the limit specified in Article 464(2), instruments which until 31 December 2010 were recognised unconditionally under national law as capital within the meaning of Article 57(a) of Directive 2006/48/EC and which are covered by Article 154(9) of Directive 2006/48/EC shall qualify as Core Tier 1 items, notwithstanding the conditions laid down in Articles 26 and 27 not being met.
Amendment 1551 #
Proposal for a regulation
Article 481 – paragraph 3 – subparagraph 1
Article 481 – paragraph 3 – subparagraph 1
By 31 December 20153, EBA shall report to the Commission on whether and how it would be appropriate to ensure that institutions use stable sources of funding, including an assessment of the impact on the business and risk profile of Union institutions or on financial markets or the economy and bank lending, with a particular focus on lending to small and medium enterprises and on trade financing, including lending under official export credit insurance schemes.
Amendment 1554 #
Proposal for a regulation
Article 481 – paragraph 3 – subparagraph 2
Article 481 – paragraph 3 – subparagraph 2
By 31 December 20164, the Commission shall, on the basis of these reports, submit a report, and if appropriate a legislative proposal to the European Parliament and Council.
Amendment 1560 #
Proposal for a regulation
Article 481 a (new)
Article 481 a (new)
Article 481 a In order to ensure a stable and common transition to liquidity standards, the competent authorities may levy prudential charges, to be set in proportion to the degree to which financial institutions' liquidity and stable funding ratios diverge from the regulatory technical standards on liquidity. In setting the charges, competent authorities shall have regard to market conditions.
Amendment 1569 #
Proposal for a regulation
Article 482 – paragraph 1
Article 482 – paragraph 1
1. The Commission shall submit by 31 December 20164 a report on the impact and effectiveness of the leverage ratio to the European Parliament and the Council. Where appropriate, the report shall be accompanied by a legislative proposal on the introduction of one or more levels for the leverage ratio that institutions would be required to meet, suggesting an adequate calibration for those levels and any appropriate adjustments to the capital measure and the total exposure measure as defined in Article 416.
Amendment 1571 #
Proposal for a regulation
Article 482 – paragraph 2 – introductory part
Article 482 – paragraph 2 – introductory part
2. For the purposes of paragraph 1, the EBA shall report to the Commission by 31 October 20164 on at least the following:
Amendment 1580 #
Proposal for a regulation
Article 482 – paragraph 2 – point g
Article 482 – paragraph 2 – point g
(g) whether 3%at would be an appropriate level for theway to introduce a risk weighted leverage ratio based on Tier 1 capital and, if not, what level would be the appropriate one;.
Amendment 1592 #
Proposal for a regulation
Article 482 – paragraph 3 – introductory part
Article 482 – paragraph 3 – introductory part
3. The report referred to in paragraph 2 shall cover at least the period from 1 January 2013 until 30 June 20164 and shall take account of at least the following:
Amendment 1599 #
Proposal for a regulation
Article 485 – title
Article 485 – title
Amendment 1608 #
Proposal for a regulation
Article 485 – paragraph 2 – point b a (new)
Article 485 – paragraph 2 – point b a (new)
(b a) an analysis of the effectiveness of the SMEs Supporting Factor with regard to Article 87
Amendment 1614 #
Proposal for a regulation
Article 486 b (new)
Article 486 b (new)
Article 486 b Options for structural separation of retail and investment banking activities By 31 July 2012 the Commission shall review and report on the options for achieving the structural separation of retail and investment banking activities within the Union and shall submit this report to the European Parliament and the Council, accompanied by a legislative proposal.
Amendment 1615 #
Proposal for a regulation
Article 486 a (new)
Article 486 a (new)
Article 486 a Reducing overreliance on external credit ratings By 31 December 2013, the Commission shall review and report on reducing the use of external ratings within the implementation of this Regulation and shall submit this report to the European Parliament and the Council, accompanied, where appropriate, by a legislative proposal in accordance with the Regulation 1060/2009 on credit rating agencies.