On 5 October 2021, the European Central Securities Depositories Association (ECSDA) publishes the updated version of the ECSDA CSDR Settlement Fails Penalties Framework.
The Framework is the effort of compliance with the Regulation and harmonisation of settlement penalties mechanisms across CSDs subject to CSDR or regulation alike and constitutes a market practice focusing on the settlement fails related requirements in the Central Securities Depositories (CSDs) Regulation and its Regulatory Technical Standards on Settlement Discipline, aiming at improving “the safety and efficiency of securities settlement”.
The current version of the document provides the changes in comparison with the previous one highlighted in grey and the assumptions pending ESMA and EC feedback in yellow.
ECSDA also makes public operational details of CSDs Settlement Discipline implementation via a questionnaire, regularly updated.
On 8 June 2020, the European Central Securities Depositories Association (ECSDA) writes to request a postponement in the implementation of Settlement Discipline Regime (SDR), and Settlement penalties in particular, possibly by one year beyond the date of 1 February 2021.
We acknowledge that the European Commission recently adopted a decision to amend the date of entry into force of the Central Securities Depositories Delegated Regulation on Settlement Discipline (Regulation 2018/1229). In this letter, we aim to alert you about a set of new elements which affect the SDR timeline and might not yet have been considered by the Commission. We hope these elements will be taken into account during the scrutiny period of the amendment.
The letter calls for a holistic approach on the implementation timeline of the regulatory and mandatory projects. The approach may lead to the postponement of the mentioned projects by one year.
The ECSDA CSDR Penalties Framework Workshop will take place on Thursday, 13 February at Clearstream, Mergenthalerallee 61, 65760 Eschborn (Frankfurt), Germany.
On 3 July 2019, ECSDA published the updated version of the draft ECSDA CSDR Settlement Discipline Penalties Framework. The updated version of document can be found here.
The main chapters in the ECSDA Draft CSDR Settlement Discipline Penalties Framework include:
On Monday 18 February ECSDA had a dialogue with stakeholders on the ECSDA CSDR Penalties Framework. Updated version 17 April 2020
The workshop gave the opportunity to various industry associations to provide valuable input and questions that ECSDA will take into consideration for the next version of its framework document.
On 29 January, ECSDA published the updated version of the ECSDA CSDR Penalties Framework.
This version of the ECSDA Framework is based on the comments received during the public consultation in the summer 2018, further deep reflection among CSD experts and includes the confirmation of some working assumptions by relevant European authorities.
The “ECSDA CSDR Penalties Framework”, is the effort of compliance with the CSD Regulation. It aims at harmonisation of settlement penalties mechanisms across CSDs subject to CSDR or (potentially) equivalent regulation. It intends to provide a clear, safe and efficient Framework for settlement penalties solutions of CSDs, both the ones that will be using T2S penalties mechanism and other CSDs.
This updated version of the document will be presented and discussed with the main stakeholders on 18 February in Frankfurt. If you have comments on the Framework and an interest to attend the event, please let us know and we will check, if the capacity allows us to invite you to join.
Today, ECSDA makes available the draft version of its future ECSDA Settlement Fail Penalties Framework (the Framework). The document aims at creating a harmonised and coherent set of rules and considerations for creation and operation of the Settlement Discipline Cash Penalties mechanisms by all European CSDs subject to the CSD Regulation (Regulation (EU) 909/2014) or equivalent provisions. It intends to provide a clear, safe and efficient Framework for settlement penalties mechanisms of the CSDs that have joined and that have not yet joined T2S platform. The draft version of the Framework is based on numerous assumptions which need to be confirmed by the authorities and other relevant stakeholders. It is intended to evolve pursuant to clarification of assumptions, dialogue with relevant stakeholders and further ECSDA work. Preliminary or partial views will be appreciated as soon as possible.
The open consultation on the early draft framework is running until 17 August at the latest. Please send us your views, comments and proposals to info@ecsda.eu.
We thank you in advance for your attention and possible contribution to improving the ECSDA Settlement Fail Penalties Framework further.