Activities of Petr JEŽEK related to 2017/0090(COD)
Plenary speeches (1)
Clearing obligation, reporting requirements, risk-mitigation techniques and trade repositories (debate)
Shadow reports (1)
REPORT on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) No 648/2012 as regards the clearing obligation, the suspension of the clearing obligation, the reporting requirements, the risk-mitigation techniques for OTC derivatives contracts not cleared by a central counterparty, the registration and supervision of trade repositories and the requirements for trade repositories PDF (671 KB) DOC (97 KB)
Amendments (27)
Amendment 51 #
Proposal for a regulation
Recital 12
Recital 12
(12) Intragroup transactions involving non-financial counterparties represent a relatively small fraction of all OTC derivative transactions and are used primarily for internal hedging within groups. Those transactions therefore do not significantly contribute to systemic risk and interconnectedness, yet the obligation to report those transactions imposes important costs and burdens on non- financial counterparties. Intragroup transactions where at least one of the counterparties is a non-financial counterparty should therefore be exempted from the reporting obligation, regardless of the place of establishment of a non- financial counterparty.
Amendment 62 #
Proposal for a regulation
Recital 16 a (new)
Recital 16 a (new)
(16a) Post trade risk reduction services can serve to reduce counterparty exposures as well as to reduce operational and counterparty risks from a build-up of market participants' gross outstanding positions. In order to ensure that these benefits may be fully realised, it is appropriate to exempt certain post trade risk reduction services from the clearing obligation, which would also align the provisions under this Regulation with those under Regulation (EU) No 600/20141a. _________________ 1aRegulation (EU) No 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Regulation (EU) No 648/2012 (OJ L 173 12.6.2014, p. 84).
Amendment 64 #
Proposal for a regulation
Recital 16 b (new)
Recital 16 b (new)
(16b) In order to avoid international regulatory divergence and limit the build- up of systemic risk, and bearing in mind the particular nature of such derivatives' trades, the mandatory exchange of variation margins on physically settled foreign exchange forwards and physically settled foreign exchange swaps should only apply to transactions between the most systemic counterparties
Amendment 71 #
Proposal for a regulation
Recital 24
Recital 24
(24) Regulation (EU) No 648/2012 establishes that the clearing obligation should not apply to pension scheme arrangements (PSAs) until a suitable technical solution is developed by CCPs for the transfer of non-cash collateral as variation margins. As no viable solution facilitating PSAs to centrally clear has been developed so far, that temporary derogation should be extended to apply for a further three years. Central clearing should however remain the ultimate aim considering that current regulatory and market developments enable market participants to develop suitable technical solutions within that time period. With the assistance of ESMA, EBA, the European Insurance and Occupational Pensions Authority (‘EIOPA’) and ESRB, the Commission should monitor the progress made by CCPs, clearing members and PSAs towards viable solutions facilitating the participation of PSAs in central clearing and prepare a report on that progress. That report should also cover the solutions and the related costs for PSAs, thereby taking into account regulatory and market developments such as changes to the type of financial counterparty that is subject to the clearing obligation. In order to cater for developments not foreseen at the time of adoption of The Commission should be empowered to extend that derogation for additional two years, if it considers that a solution is withisn regulation, the Commission should be empowered to extend that derogation for additional two years, after having carefully assessed the need for such an extensionach of the stakeholders. The exemption should be continuous from the date of entry into force of Regulation (EU) No 648/2012 and should also apply retrospectively to all OTC derivative contracts executed after 16 August 2018 and before the date of entry into force of this Regulation, if later.
Amendment 78 #
Proposal for a regulation
Article 1 – paragraph 1 – point -1 (new)
Article 1 – paragraph 1 – point -1 (new)
Regulation (EU) No 648/2012
Article 1 – paragraph 4
Article 1 – paragraph 4
(-1) In Article 1, paragraph 4 is replaced by the following: "4. This Regulation shall not apply to: (a)the members of the ESCB and other central banks and Member States’' bodies performing similar functions and other Union public bodies charged with or intervening in the management of the public debt; (b) the Bank for International Settlements.; (c) the centralmultilateral development banks, and public bodies charged with or intervening in the management of the public debt in the following countries: (i) Japan; (ii) United States of America; (iii) Australia; (iv) Canada; (v) Hong Kong; (vi) Mexico; (vii) Singapore; (viii) Switzerland. s listed in Article 117(2) of Regulation (EU) No 575/2013." Or. en (http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32012R0648)
Amendment 83 #
Proposal for a regulation
Article 1 – paragraph 1 – point 1
Article 1 – paragraph 1 – point 1
Regulation (EU) No 648/2012
Article 2 – point 8
Article 2 – point 8
(1) In Article 2, point (8) is replaced by the following: ‘(8) “financial counterparty” means an investment firm authorised in accordance with Directive 2014/65/EC of the European Parliament and of the Council31 , a credit institution authorised in accordance with Regulation (EU) No 575/2013, an insurance of reinsurance undertaking authorised in accordance with Directive 2009/138/EC of the European Parliament and of the Council32 , a UCITS authorised in accordance with Directive 2009/65/EC, an institution for occupational retirement provision within the meaning of Article 6(a) of Directive 2003/41/EC, an AIF as defined in Article 4(1)(a) of directive 2011/61/EU, and a central securities depository authorised in accordance with Regulation (EU) No 909/2014 of the European Parliament and of the Council33 and a securitisation special purpose entity as defined in Article 4(1)(66) of Regulation (EU) No 575/2013 of the European Parliament and of the Council34;’. _________________ 31 Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (OJ L 173 12.6.2014, p. 349). 32 Directive 2009/138/EC of the European Parliament and of the Council of 25 November 2009 on the taking-up and pursuit of the business of Insurance and Reinsurance (Solvency II) (OJ L 335, 17.12.2009, p. 1). 33 Regulation (EU) No 909/2014 of the European Parliament and of the Council of 23 July 2014 on improving securities settlement in the European Union and on central securities depositories and amending Directives 98/26/EC and 2014/65/EU and Regulation (EU) No 236/2012 (OJ L 257 28.8.2014, p. 1). 34Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms (OJ L 176, 27.6.2013, p. 1).
Amendment 85 #
Proposal for a regulation
Article 1 – paragraph 1 – point 1 a (new)
Article 1 – paragraph 1 – point 1 a (new)
Regulation (EU) No 648/2012
Article 2 – point 8 a (new)
Article 2 – point 8 a (new)
(1a) In Article 2, after point 8 the following point is inserted: ‘(8a) “portfolio compression” means portfolio compression as defined in Article 2(1) of Regulation (EU) 600/2014;’.
Amendment 87 #
Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point -a (new)
Article 1 – paragraph 1 – point 2 – point -a (new)
Regulation (EU) No 648/2012
Article 4 – paragraph 1 – introductory part
Article 4 – paragraph 1 – introductory part
Amendment 89 #
Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point b
Article 1 – paragraph 1 – point 2 – point b
Regulation (EU) No 648/2012
Article 4 – paragraph 1 – point b
Article 4 – paragraph 1 – point b
‘(b) they are entered into or novated either: (i) on, or after, the date from which the clearing obligation takes effect; or (ii) on, or after, the date from which both counterparties meet the criteria set out in paragraph (a).’;
Amendment 123 #
Proposal for a regulation
Article 1 – paragraph 1 – point 4 a (new)
Article 1 – paragraph 1 – point 4 a (new)
Regulation (EU) No 648/2012
Article 5 – paragraph 2 a (new)
Article 5 – paragraph 2 a (new)
(4a) In Article 5 after paragraph 2, the following paragraph is inserted: 2a. In the draft regulatory technical standards referred to in paragraph 2, ESMA may submit to the Commission for endorsement an exemption from the clearing obligation for a period of three years following the entry into force of those regulatory technical standards for intragroup transactions with a counterparty established in a third country jurisdiction for which the Commission has not yet adopted an implementing act as referred to in Article 13(2) in respect of that third country, or for which the Commission has adopted an implementing act confirming partial equivalence which does not cover those OTC derivatives which will become subject to the clearing obligation or that otherwise does not address certain types of counterparty.
Amendment 124 #
Proposal for a regulation
Article 1 – paragraph 1 – point 4 b (new)
Article 1 – paragraph 1 – point 4 b (new)
Regulation (EU) No 648/2012
Article 5 – paragraph 2 b (new)
Article 5 – paragraph 2 b (new)
(4b) In Article 5 after paragraph 2, the following paragraph is inserted: 2b. By [2 years following the date of entry into force of the regulatory technical standards referred to in paragraph 2a (new)], ESMA shall carry out a public consultation in order to assess whether an absence of a clearing obligation for intragroup transactions for which no implementing act on equivalence exists is detrimental to the financial stability of the Union; If ESMA determines that the benefits of an absence of the clearing obligation for these transactions significantly outweighs the impact on financial stability, ESMA may submit to the Commission for endorsement draft regulatory technical standards extending the three-year period referred to in paragraph 2a once by three years and once by two years.
Amendment 138 #
Proposal for a regulation
Article 1 – paragraph 1 – point 6
Article 1 – paragraph 1 – point 6
Regulation (EU) No 648/2012
Article 6b – paragraph 1 a (new)
Article 6b – paragraph 1 a (new)
1a. Under the conditions laid down in paragraph 1, competent authorities may request that ESMA submits a suspension request to the Commission. Where competent authorities request that ESMA submits a suspension request, they shall provide reasons and submit evidence that at least one of the conditions laid down in the first subparagraph of paragraph 1 is fulfilled. ESMA shall, within 48 hours of the request referred to in the first subparagraph and based on the reasons and evidence provided by the competent authority, either request that the Commission suspend the clearing obligation referred to in Article 4(1), or reject the request. Where ESMA rejects the request, it shall provide reasons in writing to the competent authority concerned and maintain a record of the request.
Amendment 140 #
Proposal for a regulation
Article 1 – paragraph 1 – point 6
Article 1 – paragraph 1 – point 6
Regulation (EU) No 648/2012
Article 6b – paragraph 2
Article 6b – paragraph 2
2. The requests referred to in paragraph 1 and paragraph 1a shall not be made public.
Amendment 143 #
Proposal for a regulation
Article 1 – paragraph 1 – point 6
Article 1 – paragraph 1 – point 6
Regulation (EU) No 648/2012
Article 6b – paragraph 3
Article 6b – paragraph 3
3. The Commission shall, within 48 hours of the request referred to in paragraph 1 and based on the reasons and evidence provided by ESMA, either suspend the clearing obligation for the specific class of OTC derivative or for the specific type of counterparty referred to in paragraph 1, or reject the requested suspension. Where the Commission rejects the request made by ESMA, it shall provide reasons in writing and maintain a record of the request.
Amendment 197 #
Proposal for a regulation
Article 1 – paragraph 1 – point 9 – point b
Article 1 – paragraph 1 – point 9 – point b
Regulation (EU) No 648/2012
Article 11 – paragraph 15 – subparagraph 2 – first sentence
Article 11 – paragraph 15 – subparagraph 2 – first sentence
The ESAs shall submit those common draft regulatory technical standards to the Commission by [PO please insert the date 912 months after the entry into force of this Regulation].;
Amendment 198 #
Proposal for a regulation
Article 1 – paragraph 1 – point 9 a (new)
Article 1 – paragraph 1 – point 9 a (new)
Regulation (EU) No 648/2012
Article 11 – paragraph 15 a (new)
Article 11 – paragraph 15 a (new)
(9a) In Article 11, after paragraph 4 the following paragraph is inserted: 15a. By ... [two years following the entry into force of the regulatory technical standards referred to in Article 11(15)], the ESAs shall carry out a public consultation in order to assess the impact on financial stability within the Union of applying the obligations referred to in Article 36(2) of Commission Delegated Regulation 2016/2251 to intragroup transactions for which no implementing act on equivalence exists. If the ESAs determine that the benefits of an absence of the clearing obligation for these transactions significantly outweigh the impact on financial stability, the ESAs may submit to the Commission for endorsement draft regulatory technical standards extending the three-year period referred to in Article 36(2) of Commission Delegated Regulation 2016/2251 once by three years and once by two years.
Amendment 215 #
Proposal for a regulation
Article 1 – paragraph 1 – point 12 – point b
Article 1 – paragraph 1 – point 12 – point b
Regulation (EU) No 648/2012
Article 56 – paragraph 3 – subparagraph 2
Article 56 – paragraph 3 – subparagraph 2
ESMA shall submit those draft regulatory technical standards to the Commission by [PO please insert the date 912 months after the entry into force of this Regulation].
Amendment 232 #
Proposal for a regulation
Article 1 – paragraph 1 – point 16
Article 1 – paragraph 1 – point 16
Regulation (EU) No 648/2012
Article 78 – paragraph 10 – subparagraph 2
Article 78 – paragraph 10 – subparagraph 2
ESMA shall submit those draft regulatory technical standards to the Commission by [PO please insert the date 912 months after the entry into force of this Regulation].
Amendment 235 #
Proposal for a regulation
Article 1 – paragraph 1 – point 17 – point c
Article 1 – paragraph 1 – point 17 – point c
Regulation (EU) No 648/2012
Article 81 – paragraph 5 – subparagraph 2
Article 81 – paragraph 5 – subparagraph 2
ESMA shall submit those draft regulatory technical standards to the Commission by [PO please insert the date 912 months after the entry into force of this Regulation].
Amendment 241 #
Proposal for a regulation
Article 1 – paragraph 1 – point 19 – point b
Article 1 – paragraph 1 – point 19 – point b
Regulation (EU) No 648/2012
Article 85 – paragraph 2 – subparagraph 1
Article 85 – paragraph 2 – subparagraph 1
By [PO please add date of entry into force + 2 years... [one year following the date of entry into force of this amending Regulation] and every year thereafter until ... [three years following the date of entry into force of this amending Regulation], the Commission shall prepare a report assessing whether viable technical solutions have been developed for the transfer by PSAs of cash and non-cash collateral as variation margins and the need for any measures to facilitate those technical solutions.
Amendment 246 #
Proposal for a regulation
Article 1 – paragraph 1 – point 19 – point b
Article 1 – paragraph 1 – point 19 – point b
Regulation (EU) No 648/2012
Article 85 – paragraph 2 – subparagraph 2 – introductory part
Article 85 – paragraph 2 – subparagraph 2 – introductory part
ESMA shall, by [PO please add date of entry into force + 18 months... [six months following the date of entry into force of this amending Regulation], and every year thereafter until ... [three years following the date of entry into force of this amending Regulation], in cooperation with EIOPA, EBA and the ESRB, submit a report to the Commission, assessing the following:
Amendment 248 #
Proposal for a regulation
Article 1 – paragraph 1 – point 19 – point b
Article 1 – paragraph 1 – point 19 – point b
Regulation (EU) No 648/2012
Article 85 – paragraph 2 – subparagraph 3
Article 85 – paragraph 2 – subparagraph 3
Amendment 252 #
Proposal for a regulation
Article 1 – paragraph 1 – point 19 – point b a (new)
Article 1 – paragraph 1 – point 19 – point b a (new)
Regulation (EU) No 648/2012
Article 85 – paragraph 2a (new)
Article 85 – paragraph 2a (new)
(ba) paragraph 2a is inserted: 2 a. ESMA shall by [date of entry into force of this amending Regulation+ 12 months] submit a report to the Commission which assesses whether the list of financial instruments that are considered highly liquid with minimal credit and market risk, in accordance with Article 47, could be extended and whether this list could include money market funds as defined in Regulation (EU) 2017/1131.
Amendment 255 #
Proposal for a regulation
Article 1 – paragraph 1 – point 19 – point c
Article 1 – paragraph 1 – point 19 – point c
Regulation (EU) No 648/2012
Article 85 – paragraph 3
Article 85 – paragraph 3
3. By [PO please add 6 months before the date referred to in paragraph 1] ESMA shall report to the Commission on the following: (a) whether viable technical solutions have been developed that facilitate the participaAfter the three-year period referred to in Article 89(1) the Commission shall: (a) submit a proposal for a binding solution oif PSAs in central clearing and the impact of those solutions on the level of central clearing by PSAs, taking into account the report referred to in paragraph 2; (b) the impact of this Regulation on the level of clearing by non-financial counterparties and the distribution of clearing within the non-financial counterparty class, especially with regard to the appropriateness of the clearing thresholds referred to in Article 10(4); (c) the impact of this Regulation on the level of clearing by financial counterparties other thit considers that no solution has been found by stakeholders; (b) adopt a delegated act in accordance with Article 82 to extend the three-year period referred to in Article 89(1) once, by two years, if it considers that a solution is within reach of the stakeholders and those subject to Article 4a(2) and the distribution of clearing within that financial counterparty class, especially with regard to the appropriateness of the clearing thresholds referred to in Article 10(4); (d) transaction data reported to trade repositories, the accessibility of those data and the quality of the information received from trade repositories in accordance with Article 81; (e) counterparties.;at additional time is needed for its finalization; (c) let the exemption lapse, while encouraging stakeholders to implement their solution beforehand if it considers that a solution has been found. the improvement of the quality of the accessibility of clearing by
Amendment 269 #
Proposal for a regulation
Article 2 – paragraph 1 a (new)
Article 2 – paragraph 1 a (new)
This Regulation shall apply from [3 months following the entry into force of this amending Regulation].
Amendment 271 #
Proposal for a regulation
Article 2 – paragraph 2
Article 2 – paragraph 2
Notwithstanding the subparagraph 1a, the following shall apply: Article 1(3), Article 1(7)(d), and paragraphs 8, 10, and 11 of Article 1 shall apply from [PO please add the date 6 months after the entry into force] and Article 1(2)(c), Article 1(7)(e), Article 1(9), points (b) and (c) of Article 1(12) and Article 1(16) shall apply from [PO please add the date 18 months after the entry into force].
Amendment 272 #
Proposal for a regulation
Article 2 – paragraph 2 a (new)
Article 2 – paragraph 2 a (new)
If this Regulation enters into force after 16 August 2018, then Article 89(1) shall apply retrospectively to all OTC derivative contracts executed by PSAs after 16 August 2018 and before the date of entry into force of this Regulation.