BETA

Activities of Kay SWINBURNE related to 2017/0230(COD)

Shadow reports (1)

REPORT on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) No 1093/2010 establishing a European Supervisory Authority (European Banking Authority); Regulation (EU) No 1094/2010 establishing a European Supervisory Authority (European Insurance and Occupational Pensions Authority); Regulation (EU) No 1095/2010 establishing a European Supervisory Authority (European Securities and Markets Authority); Regulation (EU) No 345/2013 on European venture capital funds; Regulation (EU) No 346/2013 on European social entrepreneurship funds; Regulation (EU) No 600/2014 on markets in financial instruments; Regulation (EU) 2015/760 on European long-term investment funds; Regulation (EU) 2016/1011 on indices used as benchmarks in financial instruments and financial contracts or to measure the performance of investment funds; Regulation (EU) 2017/1129 on the prospectus to be published when securities are offered to the public or admitted to trading on a regulated market; and (EU) Directive 2015/849 on the prevention of the use of the financial system for the purposes of money-laundering or terrorist financing PDF (1 MB) DOC (396 KB)

2016/11/22
Committee: ECON
Dossiers: 2017/0230(COD)
Documents: PDF(1 MB) DOC(396 KB)

Amendments (72)

Proposal for a regulation
Recital 11a

(11a) It is becoming increasingly important to promote consistent, systematic and effective monitoring and assessment of risks in relation to money- laundering and terrorist financing in the Union's financial system. Given the consequences for financial stability which may stem from abuses of the financial sector for money- laundering or terrorist financing purposes, and building on the work already completed by global experts in the Financial Action Task Force, as well as the experience already gained by EBA in protecting the banking sector from such abuses, EBA should take a leading coordinating role at Union level to protect the financial system from money- laundering and terrorist financing risks. Therefore, it is necessary to entrust EBA, in addition to its present competences, with the authority to act within the remit of Regulation (EU) No 1094/2010 and Regulation (EU) No 1095/2010 insofar as such authority relates to the prevention and combating of money- laundering and terrorist financing, where it concerns financial sector operators and the competent authorities supervising them, which are covered by those Regulations. Moreover, concentrating this mandate for the entire financial sector within EBA would optimise the use of its expertise and resources, and is without prejudice to the material obligations laid down in Directive (EU) 2015/849. This authority is to be exercised without prejudice to the competences of judicial authorities.

2018/10/30
Committee: ECON

Proposal for a regulation
Recital 11b

(11b) In order for EBA to exercise its mandate effectively it should make full use of all its powers and tools under the Regulation. In line with its new role, it is important that EBA collects all relevant information in relation to money- laundering and terrorist financing activities identified by the relevant Union and national authorities, without prejudice to the tasks assigned to authorities under Directive (EU) 2015/849. In full compliance with data protection rules, the EBA should store such information in a centralised database and foster cooperation among authorities by ensuring appropriate dissemination of relevant information. In addition EBA should carry out reviews of competent authorities, as well as risk assessment exercises relating to money- laundering and terrorist financing. Furthermore, EBA should also have a role cooperating and liaising with relevant third country authorities on these matters with a view to better coordinate action at Union level in material cases of anti-money laundering and terrorist financing having a cross-border and third country dimension.

2018/10/30
Committee: ECON

Proposal for a regulation
Recital 11c

(11c) In order to enhance the effectiveness of supervisory control of compliance in the area of money laundering and terrorist financing and to ensure greater coordination of the enforcement by national competent authorities of breaches of directly applicable Union law or its national transposing measures, EBA should have the power, where there ~~are indications~~is evidence of material breaches, to request competent authorities to investigate any possible breaches of the relevant rules, to consider taking decisions and imposing sanctions addressed to financial institutions requiring them to comply with their legal obligations. This power should only be used where EBA has ~~indications~~evidence of material breaches.

2018/10/30
Committee: ECON

Proposal for a regulation
Recital 15b

(15b) ~~For~~As a last resort and in order to carry~~ing~~ out its tasks and exercis~~ing~~e its powers, EBA should be able to take individual decisions addressed to financial sector operators in the context of the procedure for breach of Union law and of the procedure of binding mediation (even when the material rules are not directly applicable to financial sector operators,) after having taken a decision addressed to the competent authority. Where the material rules are laid down in Directives, EBA should apply the national legislation transposing those Directives. Where the relevant Union law is composed of Regulations and where, on the date of entry into force of this Regulation, those Regulations expressly grant options to Member States, EBA should apply the national legislation exercising those options.

2018/10/30
Committee: ECON

Proposal for a regulation
Recital 24a

(24a) To ensure that the appropriate level of expertise underpins decisions relating to anti- money laundering and terrorist financing measures, it is necessary to set up a committee composed of the ~~head~~senior experts of authorities and bodies in charge of compliance with anti-money laundering and terrorist financing legislation , which will examine and prepare decisions to be taken by EBA. In order to avoid duplication, this new committee will replace the existing anti-money laundering sub-committee which has been set up within the ESAs Joint Committee.

2018/10/30
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 6a

Regulation (EU) No 1093/2010
Article 9a – paragraph 1 – introductory part

1. TWithout prejudice to the competences of judicial authorities, the Authority shall take a leading role in promoting integrity, transparency and security in the financial system by means of adopting measures to prevent and combat money laundering and terrorist financing, including by:

2018/10/30
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 6a

Regulation (EU) No 1093/2010
Article 9a – paragraph 1 – point a

(a) collecting information from competent authorities relating to systemic weaknesses identified in the processes and procedures, governance arrangements, fit and proper assessments, business models and activities of financial sector operators to prevent money-laundering and terrorist financing as well as measures taken by competent authorities. Competent authorities shall provide all such information to the Authority in addition to any obligations under Article 35. The Authority shall coordinate closely with Financial Intelligence Units;

2018/10/30
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 6a

Regulation (EU) No 1093/2010
Article 9a – paragraph 2

2. TIn compliance with data protection rules, the Authority shall establish and keep up to date a central database of information collected pursuant to point (a) in paragraph 1. The Authority shall ensure that information is analysed and made available to competent authorities, on a need-to-know and confidential basis. A need to know basis is only applicable to a competent authority when the firm in question is active in that Member State via a branch or cross border service passport.

2018/10/30
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 6a

Regulation (EU) No 1093/2010
Article 9a – paragraph 7

7. The committee shall be chaired by the Chairperson of the Board of Supervisors and shall be composed of the ~~head~~senior experts of the authorities and bodies competent for ensuring compliance with the requirements of Directive (EU) 2015/849 by financial institutions. In addition, the Commission, the ESRB, the Supervisory Board of the European Central Bank, the European Insurance and Occupational Pensions Authority, and the European Securities and Markets Authority may each nominate a high-level representative to participate in the committee meetings as observers.

2018/10/30
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 6a

Regulation (EU) No 1093/2010
Article 9b – paragraph 1

1. In matters concerning the prevention of the use of the financial system for the purpose of money laundering and terrorist financing in accordance with Directive (EU) 2015/849, the Authority may, where it has ~~indications~~evidence of material breaches, request a competent authority as referred to in point (iia) of Article 4(2) to investigate possible breaches of Union law, and where such Union law is composed of Directives or explicitly grants options for Member States, breaches of national laws transposing Directives or exercising options granted to Member States by Union law, by a financial sector operator and to consider imposing sanctions on that operator in respect of such breaches. Where necessary, it may also request a competent authority as referred to in point (iia) of Article 4(2) to consider adopting an individual decision addressed to that financial sector operator requiring it to undertake all necessary action to comply with its obligations under directly applicable Union law, or under national laws transposing Directives or exercising options granted to Member States by Union law, including the cessation of any conduct.

2018/10/30
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 8 – point b

Regulation (EU) No 1093/2010
Article 17 – paragraph 6 – subparagraph 1

6. Without prejudice to the powers of the Commission pursuant to Article 258 TFEU, where a competent authority does not comply with the formal opinion referred to in paragraph 4 within the period of time specified therein, and where it is necessary to remedy in a timely manner such non-compliance in order to maintain or restore neutral conditions of competition in the market or ensure the orderly functioning and integrity of the financial system, the Authority may, as a measure of last resort and where the relevant requirements of the acts referred to in Article 1(2) are directly applicable to financial institutions or, in the context of matters relating to the prevention and combating of money- laundering and terrorist financing, to financial sector operators, adopt an individual decision addressed to a financial institution or a financial sector operator requiring it to take all necessary action to comply with its obligations under Union law, including the cessation of any conduct.

2018/10/30
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 8 – point b

Regulation (EU) No 1093/2010
Article 17 – paragraph 6 – subparagraph 2

In matters concerning the prevention of the use of the financial system for the purpose of money laundering and terrorist financing, where the relevant requirements of the acts referred to in Article 1(2) are not directly applicable to financial sector operators, the Authority may, as a last resort, adopt a decision requiring the competent authority to comply with the formal opinion referred to in paragraph 4 within the period of time specified therein. If the authority does not comply with that decision, the Authority may also adopt a decision in accordance with the first sub-paragraph. To that effect, the Authority shall apply all relevant Union law, and where that Union law is composed of Directives, the national legislation transposing those Directives. Where the relevant Union law is composed of Regulations and where currently those Regulations explicitly grant options for Member States, the Authority shall apply also the national legislation exercising those options.

2018/10/30
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 9 – point e

Regulation (EU) No 1093/2010
Article 19 – paragraph 4 – subparagraph 1

4. Without prejudice to the powers of the Commission pursuant to Article 258 TFEU, where a competent authority does not comply with the decision of the Authority, and thereby fails to ensure that a financial institution or, in the context of matters relating to the prevention and combating of money- laundering and terrorist financing, a financial sector operator complies with requirements directly applicable to it by virtue of the acts referred to in Article 1(2), the Authority may, as a last resort, adopt an individual decision addressed to that financial institution or financial sector operator requiring it to take all necessary action to comply with its obligations under Union law, including the cessation of any practice.

2018/10/30
Committee: ECON

Proposal for a regulation
Article 9a – paragraph 1 – point 7 – point a

Directive (EU) 2015/849
Article 48 – paragraph 1a – subparagraph 2 – final sentence

Financial supervisory authorities and where relevant judicial authorities, of the Member States shall also serve as a contact point for EBA.

2018/10/30
Committee: ECON

Proposal for a regulation
Recital 1

(1) Following the financial crisis and the recommendations of a group of high level experts led by Jacques de Larosière, the ~~the~~ Union has made important progress in creating not only stronger, but also more harmonised rules for the financial markets in the form of the Single Rule Book. The Union has also set up the European System of Financial Supervision ("ESFS"), built on a two-pillar system which combines micro- prudential supervision, coordinated by European Supervisory Authorities ("ESAs"), and macro-prudential supervision through the establishment of the European Systemic Risk Board ("ESRB"). The three ESAs namely the European Banking Authority ("EBA"), created by Regulation (EU) No 1093/2010 of the European Parliament and of the Council33 , the European Insurance and Occupational Pensions Authority ("EIOPA"), created by Regulation (EU) No 1094/2010 of the European Parliament and of the Council , and the European Securities and Markets Authority (ESMA), created by Regulation (EU) No 1095/2010 of the European Parliament and of the Council34 (collectively "the founding regulations") – became operational in January 2011. The overall objective of the ESAs is to sustainably reinforce the stability and effectiveness of the financial system throughout the Union and to enhance consumer and investor protection in cooperation with national competent authorities. __________________ 33 Regulation (EU) No 1093/2010 of the European Parliament and of the Council of 24 November 2010 establishing a European Supervisory Authority (European Banking Authority), amending Decision No 716/2009/EC and repealing Commission Decision 2009/78/EC (OJ L 331, 15.12.2010, p. 12). 34 Regulation (EU) No 1095/2010 of the European Parliament and of the Council of 24 November 2010 establishing a European Supervisory Authority (European Securities and Markets Authority), amending Decision No 716/2009/EC and repealing Commission Decision 2009/77/EC (OJ L 331, 15.12.2010, p. 84).

2018/09/11
Committee: ECON

Proposal for a regulation
Recital 17

(17) Integral to the ESAs work on convergence of supervisory practices is the promotion of a Union supervisory culture. However, the ESAs are not equipped with all the tools required to achieve this objective. It is necessary to enable the ESAs to set out the general supervisory objectives and priorities in a multiannual Strategic Supervisory Plan, intended to assist competent authorities in identifying and focussing on the most important areas of concern for EU-wide market integrity and financial stability, including with respect to prudential supervision of firms engaged in cross-border activities. The Strategic Supervisory Plan should be risk-based and take into account general economic and regulatory orientations for supervisory actions as well as relevant micro-prudential trends, potential risks and vulnerabilities identified by the ESAs in their reviews of competent authorities and from Union-wide and stress tests. The competent authorities should subsequently draw up annual work programmes to implement the Strategic Supervisory Plan, which convert the Union priorities and objectives into operational objectives for those authorities. The ESAs should be empowered to review the implementation of the annual work programs on day-to- day supervisio,n including, on a sample basis, supervisory measures taken in individual cases in order to ensure that the ESAs can achieve their objective of harmoising supervisory practicgeneral supervisory objectives and priorities.

2018/09/11
Committee: ECON

Proposal for a regulation
Recital 18

(18) The current supervisory practices of outsourcing, delegation and risks transfer (back-to-back business or fronting) from one licensed entity to another entity vary from one Member State to another. Those divergent regulatory approaches carry a risk of regulatory arbitrage across Member States ("race to the bottom"). Inefficient supervision of outsourced, delegated or transferred activities exposes the Union to financial stability risks. Those risks are particularly acute in relation to supervised entities outsourcing, delegating or transferring risk to third countries where supervisory authorities may lack the necessary tool to adequately and effectively supervise material activities and key functions. ESAs should have an active role in promoting supervisory convergence by ensuring a common understanding and supervisory practices of outsourcing, risk transfer and delegation of material activities and key functions in third countries, in accordance with Union law and in view of guidelines, recommendations and opinions that the ESAs may adopt. The ESAs should therefore have the necessary powers to effectively coordinate supervisory actions carried out by national supervisory authorities both when authorising or registering an undertaking and as part of an ongoing review of supervisory practices. In performing this coordination role, ESAs should particularly focus on situations that may lead to a circumvention of the rules and monitor financial institutions or financial market participants that intend to make an extensive use of outsourcing, delegation and risk transfer in third countries with the intention of benefitting from the EU passport while essentially performing substantial activities or functions outside the Uniondeleted

2018/09/11
Committee: ECON

Caroline NAGTEGAAL, Luděk NIEDERMAYER, Kay SWINBURNE

Proposal for a regulation
Recital 54 a (new)

(54a) Data used for regulated data benchmarks should be sourced either directly from a trading venue or from an approved reporting mechanism or from an intermediary, as long as this intermediary enjoys no discretion to alter the input data.

2018/09/11
Committee: ECON

Proposal for a regulation
Recital 55

(55) Due to the nature of the securities and issuers concerned, certain types of prospectuses drawn up according to Regulation (EU) 2017/1129 involve a cross-border dimension within the Union, a level of technical complexity and/or potential risks of regulatory arbitrage which are such that their centralised supervision by ESMA would achieve more effective and efficient results than their supervision at national level. Consolidating at the level of ESMA the approval of such prospectuses, as well as related supervisory and enforcement activities at the level of ESMA, should reduce compliance costs and administrative barriers while enhancing the quality, consistency and efficiency of supervision in the Union.

2018/09/11
Committee: ECON

Proposal for a regulation
Recital 56

(56) Private placements of non-equity securities are an important source of capital for issuers and are cross-border by nature. While a private placement with qualified investors does not require a prospectus, the subsequent admission to trading of the securities on a regulated market is subject to the publication of a prospectus under Regulation (EU) 2017/1129. The prospectus regime provides issuers with the flexibility to choose their home Member State where the denomination by unit of non-equity securities is in excess of 1000 EUR. As the non-equity securities concerned by private placements typically display a denomination by unit in excess of 1 000 EUR, this creates a potential for regulatory forum shopping. Entrusting ESMA with approving such wholesale non-equity prospectuses admitted to trading on a regulated market or its specific segment to which only qualified investors can have access to should achieve the double objective of ensuring a level playing field for issuers and a higher degree of efficiency by significantly streamlining approval procedures.

2018/09/11
Committee: ECON

Proposal for a regulation
Recital 57

(57) The approval of prospectuses relating to asset backed securities as well as the approval of prospectuses drawn up by specialist issuers, such as property companies, mineral companies, scientific research based companies or shipping companies, require national competent authorities to have highly specialized staff available, in most cases to deal with a fairly modest volume of prospectuses. Besides, certain non-financial information to be disclosed by specialist issuers is not set out in the delegated acts referred to in Article 13 of Regulation (EU) 2017/1129 but is left to the discretion of national competent authorities. This represents a potential source of inefficiency and regulatory arbitrage. Entrusting ESMA with the approval of these types of prospectuses should, on the one hand, ensure a level playing field in terms of information disclosure and eliminate the risk of regulatory arbitrage and, on the other hand, optimise the allocation of supervisory resources at Union level by establishing ESMA as the centre of expertise, thereby enhancing the efficiency of supervision of the prospectuses concerned.

2018/09/11
Committee: ECON

Proposal for a regulation
Recital 58

(58) Third country issuers which draw up a prospectus in accordance with Union law enjoy some flexibility as regards the choice of their home Member State for the purpose of prospectus approval, which carries the risk of creating supervisory forum shopping across Member States. Consolidating such approvals at the level of ESMA would ensure a fully harmonised approach vis-à-vis third country issuers and eliminate the potential for regulatory arbitrage. Third country issuers will thereby have ESMA as their single point of contact in the Union regardless of the Member State(s) where they offer their securities or request an admission to trading. This removes the need to determine a home Member State for such third country issuers.deleted

2018/09/11
Committee: ECON

Proposal for a regulation
Recital 64

(64) ESMA should scrutinise and approve all prospectuses of the types defined by this Regulation that are submitted for approval from the date of application of this Regulation. Prospectuses of the types defined by this Regulation that were approved by a competent authority before the date of application of this Regulation, or submitted for approval to a competent authority but not yet approved at that date, should continue to be supervised by that competent authority. To avoid any confusion, such supervision should cover in particular the finalisation of the scrutiny and approval procedure for those prospectuses not yet approved, as well as all approval and notification tasks applying to related supplements and final terms, where applicable.deleted

2018/09/11
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 3 – point a

Regulation (EU) No 1093/2010
Article 4 – point 1

(1) financial institutions’ means any undertaking that has its head office in the Union and is subject to regulation and supervision pursuant to the Union acts referred to in Article 1(2);

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 5 – point a – point i

Regulation (EU) 1093/2010
Article 8 – paragraph 1 – point aa

(aa) to develop and maintain an up to date Union supervisory handbook on the supervision of financial institutions in the Union which sets out supervisory best practices and high-quality methodologies and processes;;

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 5 – point c – point ii a (new)

Regulation (EU) No 1093/2010
Article 8 – paragraph 2 – point ha (new)

(iia) the following point (ha) is inserted: "(ha) in cases where the application date of specific provisions, as defined under provisions and requirements in the corresponding Directive or Regulation, is expected to cause adverse consequences, publish letters to allow for an appropriate, but time limited, delay to the application date."

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 11 – point a – point i

Regulation (EU) 1093/2010
Article 29 – paragraph 1 – point aa

~~(aa) issuing the Strategic Supervisory Plan in accordance with Article 29a;;~~deleted

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 12

Regulation (EU) No 1093/2010
Article 29a

~~(12) The following Article 29a is inserted: […]~~deleted

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 15

Regulation (EU) 1093/2010
Article 31a

~~(15) the following Article 31a is inserted: [...]~~deleted

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 16 – point a

Regulation (EU) 1093/2010
Article 32 – paragraph 2a – subparagraph 1

At least annually, the Authority shall consider whether it is appropriate to carry out Union-wide assessments referred to in paragraph 2 and shall inform the European Parliament, the Council and the Commission of its reasoning. ~~Where such Union-wide assessments are carried out and the Authority considers it appropriate to do so, it shall disclose the results for each participating financial institution.~~

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 16 – point b

Regulation (EU) No 1093/2010
Article 32 – paragraph 3a

3a. The Authority may require competent authorities to conduct specific reviews. It may request competent authorities to carry out on-site inspections, and may participate in such on-site inspections in accordance with Article 21 and subject to the conditions set out therein, in order to ensure comparability and reliability of methods, practices and results.;deleted

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 17 – point a

Regulation (EU) No 1093/2010
Article 33 – paragraph 2

2. The Authority shall assist the Commission in preparing equivalence decisions pertaining to regulatory and supervisory regimes in third countries following a specific request for advice from the Commission, on their own initiative, or at the request of a third country authority, or where required to do so by the acts referred to in Article 1(2).;

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 17 – point b

Regulation (EU) 1093/2010
Article 33 – paragraph 2a – subparagraph 1

The Authority shall monitor regulatory and supervisory developments ~~and enforcement practices and relevant market developments~~relevant to the initial equivalence decision in third countries for which equivalence decisions have been adopted by the Commission pursuant to the acts referred to in Article 1(2) in order to verify whether the criteria, on the basis of which those decisions have been taken and any conditions set out therein, are still fulfilled. The Authority shall submit a confidential report on its findings to ~~the Commission on an annual basis.~~ its Board of Supervisors, to the European Parliament, the Council, the Commission, the Board of Supervisors of EIOPA and ESMA, and to the authorities of the third country every three years or more frequently where appropriate or where requested by the European Parliament, the Council and the Commission. The report shall include an assessment of implications for financial stability, market integrity, investor protection and the functioning of the internal market.

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 17 – point b

Regulation (EU) No 1093/2010
Article 33 – paragraph 2a – subparagraph 2 – introductory part

Without prejudice to specific requirements set out in the acts referred to in Article 1(2) and subject to the conditions set out in the second sentence of paragraph 1, the Authority shall cooperate with the relevant competent authorities, and where appropriate, also with resolution authorities, of third countries whose legal and supervisory regimes have been recognised as equivalent. That cooperation shall be pursued on the basis of administrative arrangements concluded with the relevant authorities of those third countries. When negotiating such administrative arrangements, the Authority shall seek to include provisions on the following:

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 17 – point b

Regulation (EU) 1093/2010
Article 33 – paragraph 2a – subparagraph 2 – point b

(b) ~~to the extent necessary for the follow up of such decisions on equivalence~~ where relevant to the extent necessary for the follow-up of such decisions on equivalence, the procedures concerning the coordination of supervisory activities including, where necessary, participation in on- site inspections.

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 17 – point b

Where the Authority identifies developments in relation to the regulation, supervision or the enforcement practices in the third countries referred to in paragraph 2a that may impact the financial stability of the Union or of one or more of its Member States, market integrity or investor protection or the functioning of the internal market, it shall inform ~~the Commission~~its Board of Supervisors, the European Parliament, the Council, the Commission, the Board of Supervisors of EIOPA and ESMA, and the authorities of the third country on a confidential basis and without delay.

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 17 – point b

Regulation (EU) 1093/2010
Article 33 – paragraph 2c – subparagraph 2

The Authority may develop model administrative arrangements, with a view to establishing consistent, efficient and effective supervisory practices within the Union and to strengthening international supervisory coordination. In accordance with Article 16(3), the competent authorities shall ~~make every effort~~endeavour to follow such model arrangements.

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 30

Regulation (EU) 1093/2010
Article 45 – paragraph 1

1. The Executive/Management Board shall be composed of the Chairperson and ~~three full time members. The Chairperson shall assign clearly defined policy and managerial tasks to each of the full time~~six other members. One member shall be appointed by the Chairperson from among the senior management of the Authority. Three members shall be voting members~~. One~~ of the full time members shall be assigned responsibilities for budgetary matters and for matters relating to the work programme of the Authority ("Member in charge "). One of the full time members shall act as a Vice Chairperson and carry out the tasks of the Chairperson in his or her absence or reasonable impediment, in accordance with this Regulation.Board of Supervisors. Two external members shall be selected on the basis of merit, skills, knowledge of financial markets, and experience relevant to financial supervision and regulation. The Chairperson shall assign clearly defined policy and managerial tasks. Other than the Chairperson and external members, each member of the Management Board shall have an alternate who may replace him/her if he/she is prevented from attending. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 30

The ~~full time~~external members shall be selected on the basis of merit, skills, knowledge of financial institutions and markets, including consumer interests, and experience relevant to financial supervision and regulation. The ~~full time~~external members shall have extensive management experience. The selection shall be based on an open call for candidates, to be published in the Official Journal of the European Union, following which the Commission shall draw up a shortlist of qualified candidates. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 30

Regulation (EU) 1093/2010
Article 45 – paragraph 2 – subparagraph 2

The Commission shall submit the shortlist to the European Parliament for approval. Following the approval of that shortlist, the Council shall adopt a decision to appoint the ~~full time~~external members of the Executive Board ~~including the Member in charge. T~~. The composition of the Executive/Management Board shall be balanced and proportionate and shall reflect the Union as a whole. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 30

Regulation (EU) 1093/2010
Article 45 – paragraph 3

3. Where a ~~full time~~n external member of the Executive/Management Board no longer fulfils the conditions set out in Article 46 or has been found guilty of serious misconduct, the Council may, on a proposal from the Commission which has been approved by the European Parliament, adopt a decision to remove him or her from office. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 30

Regulation (EU) No 1093/2010
Article 45 – paragraph 4 – subparagraph 1 – introductory part

The term of office of the full time members shall be 5 years and shall be renewable once. In the course of the 9 months preceding the end of the 5-year term of office of the full time member, the Board of Supervisors shall evaluate:members elected by the Board of Supervisors shall be two- and-a-half years. That term may be extended once. Mandates shall be overlapping and an appropriate rotating arrangement shall apply. The term of office of the external members shall be 5 years and shall be renewable once. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 31

Regulation (EU) 1093/2010
Article 45a – paragraph 1

1. Decisions by the Executive/Management Board shall be adopted by simple majority of its members. Each member shall have one vote. In the event of a tie, the Chairperson shall have a casting vote. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 31

Regulation (EU) No 1093/2010
Article 45a – paragraph 2

~~2. The representative of the Commission shall participate in meetings of the Executive Board without the right to vote save in respect of matters referred to in Article 63.~~deleted (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 31

Regulation (EU) 1093/2010
Article 45a – paragraph 3

3. The Executive/Management Board shall adopt and make public its rules of procedure. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 31

Regulation (EU) No 1093/2010
Article 45a – paragraph 4 – subparagraph 1

Meetings of the Executive/Management Board shall be convened by the Chairperson at his own initiative or at the request of one of its members, and shall be chaired by the Chairperson. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 31

Regulation (EU) No 1093/2010
Article 45a – paragraph 4 – subparagraph 2

The Executive/Management Board shall meet prior to every meeting of the Board of Supervisors and as often as the Executive Board deems necessary. It shall meet at least five times a year. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 31

Regulation (EU) 1093/2010
Article 45a – paragraph 5

5. The members of the Executive/Management Board may, subject to the rules of procedure, be assisted by advisers or experts. The non- voting participants shall not attend any discussions within the Executive/Management Board relating to individual financial institutions.; (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) No 1093/2010
Article 47 – paragraph 1

1. The Executive/Management Board shall ensure that the Authority carries out its mission and performs the tasks assigned to it in accordance with this Regulation. It shall take all necessary measures, notably the adoption of internal administrative instructions and the publication of notices, to ensure the functioning of the Authority, in accordance with this Regulation.(Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) No 1093/2010
Article 47 – paragraph 2

2. The Executive/Management Board shall propose, for adoption by the Board of Supervisors, an annual and multi-annual work programme. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) No 1093/2010
Article 47 – paragraph 3 – subparagraph 1

The Executive/Management Board shall exercise its budgetary powers in accordance with Articles 63 and 64. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) No 1093/2010
Article 47 – paragraph 3 – subparagraph 2

For the purposes of Articles 17, 19, 22, 29a, 30, 31a, 32 and 35b to 35h, the Executive Board shall be competent to act and to take decisions. The Executive Board shall keep the Board of Supervisors informed of the decisions it takes.deleted (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) No 1093/2010
Article 47 – paragraph 3a

~~3a. The Executive Boar~~deleted (Proposed scha~~ll examine, give an opinion and make proposals on all matters to be decided by the Board of Supervisors.~~nges would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) No 1093/2010
Article 47 – paragraph 4

4. The Executive/Management Board shall adopt the Authority's staff policy plan and, pursuant to Article 68(2), the necessary implementing measures of the Staff Regulations of Officials of the European Communities ('the Staff Regulations’). (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) No 1093/2010
Article 47 – paragraph 5

5. The Executive/Management Board shall adopt the special provisions on right of access to the documents of the Authority, in accordance with Article 72. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) 1093/2010
Article 47 – paragraph 6

6. The Executive/Management Board shall propose an annual report on the activities of the Authority, including on the Chairperson’s duties, on the basis of the draft report referred to in Article 53(7) to the Board of Supervisors for approval. (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) 1093/2010
Article 47 – paragraph 7

7. The Executive/Management Board shall appoint and remove the members of the Board of Appeal in accordance with Article 58(3) and (5). (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

8. The external members of the Executive/Management Board shall make public all meetings held and any hospitality received. Expenses shall be recorded publicly in accordance with the Staff Regulations (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 1 – paragraph 1 – point 34

Regulation (EU) No 1093/2010
Article 47 – paragraph 9

9. The Member in charge shall have the following specific tasks: (a) programme of the Authority under the guidance of the Board of Supervisors and under the control of the Executive Board; (b) notably the adoption of internal administrative instructions and the publication of notices, to ensure the functioning of the Authority, in accordance with this Regulation; (c) programme, as referred to in Article 47(2); (d) 30 June of each year for the following year, as referred to in Article 47(2); (e) budget of the Authority pursuant to Article 63 and to implement the budget of the Authority pursuant to Article 64; (f) to include a section on the regulatory and supervisory activities of the Authority and a section on financial and administrative matters; (g) Authority’s staff, the powers laid down in Article 68 and to manage staff matters.;deleted to implement the annual work to take all necessary measures, to prepare a multi-annual work to prepare a work programme by to draw up a preliminary draft to prepare an annual draft report to exercise in respect to the (Proposed changes would also apply to the analogous ESMA and EIOPA Executive Board proposals)

2018/09/14
Committee: ECON

Proposal for a regulation
Article 6 – paragraph 1 – point 1 – point a

~~(g) the authorisation and supervision of data reporting service providers;~~deleted

2018/09/19
Committee: ECON

Proposal for a regulation
Article 6 – paragraph 1 – point 1 – point b

Regulation (EU) No 600/2014
Article 1 – paragraph 5a

5a. Measures made under Articles 40 and 42 also apply to in respect of management companies of undertakings for collective investment in transferable securities (UCITS) and UCITS investment companies authorised in accordance with Directive 2009/65/EC and tof managers of alternative investment funds (AIFMs) authorized in accordance with Directive 2011/61/EU .;

2018/09/19
Committee: ECON

Proposal for a regulation
Article 6 – paragraph 1 – point 2 – point a

Regulation (EU) No 600/2014
Article 2 – paragraph 1 – points (34), (35) and (36)

(a) points (34), (35) and (36) are replaced by the following: ‘(34) ‘approved publication arrangement’ or ‘APA’ means a person authorised under this Regulation to provide the service of publishing trade reports on behalf of investment firms pursuant to Articles 20 and 21; (35) ‘consolidated tape provider’ or ‘CTP’ means a person authorised under this Regulation to provide the service of collecting trade reports for financial instruments listed in Articles 6, 7, 10, 12 and 13, 20 and 21 from regulated markets, MTFs, OTFs and APAs and consolidating them into a continuous electronic live data stream providing price and volume data per financial instrument; (36) ‘approved reporting mechanism’ or ‘ARM’ means a person authorised under this Regulation to provide the service of reporting details of transactions to competent authorities or to ESMA on behalf of investment firms; ’;deleted

2018/09/19
Committee: ECON

Proposal for a regulation
Article 6 – paragraph 1 – point 4

Regulation (EU) No 600/2014
Article 26

~~(4) Article 26 is replaced by the following: [...]~~deleted

2018/09/19
Committee: ECON

Caroline NAGTEGAAL, Luděk NIEDERMAYER, Kay SWINBURNE

Proposal for a regulation
Article 8 – paragraph 1 – point -1 a (new)

Regulation (EU) No 2016/1011
Article 3 – paragraph 1 – point 24 – point a – introductory part

(1 a) In Article 3, paragraph 1, point (24), point (a), the introductory part is amended as follows: "(a) input data contributed entirely ~~and directly~~ from:"

2018/09/19
Committee: ECON

Caroline NAGTEGAAL, Luděk NIEDERMAYER, Kay SWINBURNE

Proposal for a regulation
Article 8 – paragraph 1 – point -1 b (new)

Regulation (EU) No 2016/1011
Article 3 – paragraph 1 – point 24 – point a – introductory part

(-1 b) In Article 3, paragraph 1, point (24), point (a), point (vii) is amended as follows: “(vii) a service provider to which the benchmark administrator has outsourced the data collection in accordance with Article 10, with the exception of Article 10(3)(f), provided that the service provider receives the data entirely ~~and directly~~ from an entity referred to in points (i) to (vi);”

2018/09/19
Committee: ECON

Proposal for a regulation
Article 8 – paragraph 1 – point 8 – point a

Regulation (EU) No 2016/1011
Article 30 – paragraph 2 – point a

(a) administrators authorised or registered in that third country comply with binding requirements which are equivalent to the requirements under this Regulation. When assessing the equivalence the Commission may take into account whether the legal framework and supervisory practice of that third country ensures compliance with the IOSCO principles for financial benchmarks or with the IOSCO principles for PRAs;deleted

2018/09/19
Committee: ECON

Proposal for a regulation
Article 8 – paragraph 1 – point 8 – point a

Regulation (EU) No 2016/1011
Article 30 – paragraph 2 – subparagraph 2

The Commission may subject the application of the implementing decision referred to in the first subparagraph to the effective fulfilment by that third country of any condition set out in that implementing decision on an ongoing basis and to the ability of ESMA to effectively exercise the monitoring responsibilities referred to in Article 33 of Regulation (EU) No 1095/2010.deleted

2018/09/19
Committee: ECON

Proposal for a regulation
Article 8 – paragraph 1 – point 10

Regulation (EU) No 2016/1011
Article 33

~~(10) Article 33 is replaced by the following: [...]~~deleted

2018/09/19
Committee: ECON

Proposal for a regulation
Article 8 – paragraph 1 – point 12

Regulation (EU) No 2016/1011
Article 40

(12) Article 40 is replaced by the following: ‘1. For the purposes of this Regulation, ESMA shall be the competent authority for: (a) administrators of critical benchmarks as referred to in paragraphs (1) and (2) of Article 20; (b) administrators of the benchmarks referred to in Articles 30 and 32; (c) entities that apply for the endorsement or have endorsed a benchmark provided in a third country in accordance with Article 33; (d) supervised contributors to critical benchmarks as referred to in Article 20(1); (e) benchmarks referred to in Articles 30, 32 and 33. 2. designate the relevant competent authority responsible for carrying out the duties under this Regulation concerning administrators and supervised entities and shall inform the Commission and ESMA thereof. 3. more than one competent authority in accordance with paragraph 2 shall clearly determine the respective roles of those competent authorities and shall designate a single authority to be responsible for coordinating the cooperation and the exchange of information with the Commission, ESMA and other Member States’ competent authorities. 4. a list of the competent authorities designated in accordance with paragraphs 1 to 3.;’deleted administrators or other supervised supervised contributors to the Each Member State shall A Member State that designates ESMA shall publish on its website

2018/09/19
Committee: ECON

Proposal for a regulation
Article 8 – paragraph 1 – point 17

Regulation (EU) No 2016/1011
Article 46

~~(17) Article 46 is~~ deleted~~; […]~~

2018/09/19
Committee: ECON

Caroline NAGTEGAAL, Luděk NIEDERMAYER, Kay SWINBURNE

Proposal for a regulation
Article 8 – paragraph 1 – point 19 a (new)

Regulation (EU) No 2016/1011
Article 51 – paragraph 4 a (new)

(19 a) In Article 51, the following paragraph is inserted: "4a. An existing benchmark designated as critical by an implementing act adopted by the Commission in accordance with Article 20 that does not meet the requirements to obtain an authorisation in accordance with Article 34 of this Regulation by 1 January 2020 may, if its discontinuation affects the continuity of contracts that reference it, be used until 31 December 2021.";

2018/09/19
Committee: ECON

Proposal for a regulation
Article 9

~~[...]~~deleted

2018/09/19
Committee: ECON