Tag: CSDR

Report on CSDR Review consultation

Report on CSDR Review consultation

On 1 July 2021, the European Commission issued its Report on the outcome of the consultation on the CSDR Review. This Report summarises the main areas to be made subject to the future EC proposal and speaks about the areas where actions are not needed.

Areas that the EC  may include in the CSDR REFIT:

• Settlement discipline: possible amendments to the settlement discipline framework, in particular the mandatory buy-in rules, to make it more proportionate – subject to an impact assessment. The EC recognises that clarifications to settlement penalties regime are long-awaited;

• Supervision;

• Domestic and cross-border provision of services;

• Banking-type ancillary services;

• Third country CSDs;

• Technological innovation.

 

The EC Proposal of CSDR REFIT is planned for Q4 2021/Q1 2022.

We invite you to consult the full Report here.

Keler is granted the CSDR licence

Keler is granted the CSDR licence

On 16 December 2020, KELER, the central depository of Hungary, was granted an authorisation under the Central Securities Depositories Regulation (CSDR) and can now offer its clients its services supporting an efficient and secure securities market as a central securities depository operating under unified European regulations.

Please see the full release.

The list of CSDs authorised under the CSDR is provided on the CSD Facts page of the website.

EC issues consultation on CSDR review and Settlement Discipline

EC issues consultation on CSDR review and Settlement Discipline

On Tuesday 8 December, the European Commission issued the public consultation on the CSDR review and Settlement Discipline Regulation.

The consultation covers the following topics:

  1. CSDs authorisation & review and evaluation process (Art. 16 & 54 CSDR)
    – Including Question 2 on the insertion of an end date for the grandfathering clause of CSDR
  2. Cross-border provision of services in the EU (Art. 23(3) to 23(7))
  3. Internalised settlement (Art. 9)
  4. CSDR and technological innovation
  5. Authorisation to provide banking ancillary services (Art. 54)
  6. Scope (Art. 2(1)(8))
  7. Settlement Discipline
  8. Framework for third country CSDs (Art. 25)
  9. Other areas to be potentially considered in the CSDR review (one open question)

The consultation runs until 2 February 2021.

Please find the full document here.

ESMA suggests to postpone Settlement Discipline Standards until 1 February 2022

ESMA suggests to postpone Settlement Discipline Standards until 1 February 2022

On 26 August 2020, ESMA released its Final Report CSDR RTS on Settlement Discipline that provides explanations for the proposal to postpone the entry into force of the RTS on settlement discipline until 1 February 2022.

It is sent to the European Commission, and ESMA is submitting the draft RTS presented in Annex IV for endorsement in the form of a Commission Delegated Regulation, i.e. a legally binding instrument applicable in all Member States of the European Union. Following the endorsement of the draft RTS by the European Commission, the Commission Delegated Regulation will then be subject to the non-objection of the European Parliament and of the Council.

Read the full report.

LuxCSD receives the CSDR licence

LuxCSD receives the CSDR licence

On 15 April, LuxCSD, the Luxembourg central securities depository (CSD) member of ECSDA obtained a licence to operate under the Central Securities Depositories Regulation (CSDR).

Please see the release.

The list of CSDs authorised under the CSDR is provided on the CSD Facts page of the website.

ESMA requests the Commission to postpone Settlement Discipline to 1 Feb.2021

ESMA requests the Commission to postpone Settlement Discipline to 1 Feb.2021

On 4 February, the European Securities Market Authority, ESMA, has published the Final Report “CSDR RTS on Settlement Discipline – postponed entry into force”.

The report provides explanations for the proposal of delay of the implementation of the RTS on settlement discipline, initially foreseen on 13 September 2020.

ESMA acknowledges the need for relevant stakeholders to be provided with more time to prepare the implementation of the Settlement Discipline.

This is due in particular to:

  • New developments needed for the go live of the T2S penalty mechanism (22 November 2020)
  • Necessary IT system changes for the updating of ISO messages (22 November 2020)
  • Market testing
  • Adjustments to legal arrangements between the parties concerned (see Article 20 of RTS)
  • Developments related to the implementation of the mandatory buy-in process, foreseen by the CSDR settlement discipline

Considering all the above-mentioned elements, ESMA officially proposes (see Annex II of the report) the postponement of the date of entry into force of the RTS on settlement discipline until 1 February 2021.

Next steps:

  • This amendment to the RTS will be submitted to the European Commission for review and endorsement.
  • This will be followed by the non-objection period by the European Parliament and Council before the publication in the EU Official Journal and subsequently entry into force.