When a CSD participant enters into resolution, the challenge for the CSD and for financial regulators is to strike the right balance between, on the one hand, the need to preserve the safety and soundness of the CSD and to avoid any contagion to other participants in the CSD, and, on the other hand, the need to maintain access by the firm in resolution to critical CSD services to facilitate the resolution process. Continue reading
30 Nov 2016 – On 30 September, the European Securities Markets Authority (ESMA) issued draft technical standards under EU Regulation 2015/2365 on the securities financing transactions (SFTR) for public consultation. Commenting on the standards, ECSDA made two recommendations from a CSD perspective: Continue reading
30 Sept 2016 – Since late 2015, there has been some uncertainty as regards the treatment of CSDs under asset management legislation (AIFMD and UCITS) due to guidance issued by ESMA alluding to “custody” services of CSDs. The call for evidence on asset segregation and custody services issued by the European Securities and Markets Authority (ESMA) on 15 July 2016 seeks to clarify the matter.