Activities of Marco VALLI related to 2013/0314(COD)
Plenary speeches (2)
Indices used as benchmarks in financial instruments and financial contracts (A8-0131/2015 - Cora van Nieuwenhuizen) IT
Indices used as benchmarks in financial instruments and financial contracts (A8-0131/2015 - Cora van Nieuwenhuizen) IT
Amendments (72)
Amendment 292 #
Proposal for a regulation
Article 1 – paragraph 1
Article 1 – paragraph 1
This Regulation introduces a common framework to ensurhance the accuracy and integrity of indices used as benchmarks in both financial instruments and financial contracts in the Union and ensure that there is a clear separation between the two. The Regulation thereby contributes to the proper functioning of the internal market while achieving a high level of consumer and investor protection.
Amendment 302 #
Proposal for a regulation
Article 2 – paragraph 2 – point b
Article 2 – paragraph 2 – point b
Amendment 317 #
Proposal for a regulation
Article 2 – paragraph 3 – subparagraph 1
Article 2 – paragraph 3 – subparagraph 1
Amendment 319 #
Proposal for a regulation
Article 2 – paragraph 3 – subparagraph 2
Article 2 – paragraph 3 – subparagraph 2
Amendment 357 #
Proposal for a regulation
Article 3 – paragraph 1 – point 21
Article 3 – paragraph 1 – point 21
(21) ‘critical benchmark’ means a benchmark, the majority of contributors to which are supervised entities and that reference financial instruments having a notional value of at least 500 billion euro. A benchmark of less than 500 billion euro may be deemed critical by the competent authorities if the supply or cessation of that benchmark could have an adverse impact on financial stability and on the real economy;
Amendment 359 #
Proposal for a regulation
Article 4 – paragraph 1
Article 4 – paragraph 1
1. This Regulation shall not apply to an administra contributor in respect of a benchmark provided by him where that administrator is unaware and could not reasonably have been aware that that benchmark is used for the purposes referred to in point (2) of Article 3(1). This exemption shall not apply to administrators who have control over the provision of benchmarks, as referred to in Article 3(1)(4) of this Regulation.
Amendment 361 #
Proposal for a regulation
Article 4 – paragraph 2
Article 4 – paragraph 2
Amendment 362 #
Proposal for a regulation
Article 5 – title
Article 5 – title
Governance requirements and handling of conflicts of interest
Amendment 374 #
Proposal for a regulation
Article 6 – paragraph 1
Article 6 – paragraph 1
1. Administrators shall notbe prohibited from outsourceing functions in the provision of a benchmark in such a way as to impair materially, so as not to impair the administrator’s control over the provision of the benchmark or the ability of the relevant competent authority to supervise the benchmark.
Amendment 375 #
Proposal for a regulation
Article 6 – paragraph 2
Article 6 – paragraph 2
Amendment 377 #
Proposal for a regulation
Article 6 – paragraph 3
Article 6 – paragraph 3
Amendment 391 #
Proposal for a regulation
Article 7 – paragraph 1 – subparagraph 1 – point c
Article 7 – paragraph 1 – subparagraph 1 – point c
(c) Where the input data of a benchmark is not transaction data and a contributor is a party to more than 50% of value of transactions in the market which that the benchmark intends to measure, the administrator shallThe administrator shall always verify that the input data represents a market subject to competitive supply and demand forces. Where the administrator finds that the input data does not represent a market subject to competitive supply and demand forces, it shall either change the input data, the contributors or the methodology to ensure that the input data represents a market subject to competitive supply and demand forces, or cease to provide that benchmark (‘Market impact’).
Amendment 392 #
Proposal for a regulation
Article 7 – paragraph 1 – subparagraph 1 – point d
Article 7 – paragraph 1 – subparagraph 1 – point d
(d) The administrator shall use a methodology for the determination of the benchmark that is robust and reliable and that has clear rules identifying how and when discretion may be exercised in the determination of that benchmark. The methodology that is to be employed shall be communicated to and approved by the ESMA prior to its use (‘Robust and reliable methodology’).
Amendment 395 #
Proposal for a regulation
Article 7 – paragraph 1 – subparagraph 1 – point e
Article 7 – paragraph 1 – subparagraph 1 – point e
(e) The administrator shall develop, operate and administer the benchmark data and methodology transparently. The administrator shall post the benchmark data and methodology online in a clear and straightforward manner, so that they may be accessed and used by all market operators (‘Transparency’).
Amendment 396 #
Proposal for a regulation
Article 7 – paragraph 1 – subparagraph 1 a (new)
Article 7 – paragraph 1 – subparagraph 1 a (new)
(1a) The ESMA shall draft technical standards for the application of a uniform methodology at EU level.
Amendment 408 #
Proposal for a regulation
Article 9 – paragraph 1
Article 9 – paragraph 1
1. The administrator shall adopt a code of conduct for each benchmark clearly specifying the administrator’s and contributors’ responsibilities and obligations with respect to the provision of the benchmark which shall include a clear description of the input data to be provided, and at least the elements set out in Section D of Annex I.the control systems the contributor intends to establish and the arrangements for handling any conflicts of interest;
Amendment 412 #
Proposal for a regulation
Article 9 – paragraph 3 – subparagraph 2
Article 9 – paragraph 3 – subparagraph 2
Amendment 416 #
Proposal for a regulation
Article 10
Article 10
Amendment 418 #
Proposal for a regulation
Article 11 – paragraph 4 – subparagraph 2
Article 11 – paragraph 4 – subparagraph 2
Amendment 420 #
Proposal for a regulation
Title 3
Title 3
Amendment 421 #
Proposal for a regulation
Title 3 – chapter 1 – title
Title 3 – chapter 1 – title
Benchmark sectors
Amendment 423 #
Proposal for a regulation
Article 12 – title
Article 12 – title
Specific requirements for different types of benchmarks and sectors
Amendment 438 #
Proposal for a regulation
Article 13 – paragraph 1 – subparagraph 1
Article 13 – paragraph 1 – subparagraph 1
The Commission shall adopt a list of benchmarks located within the Union which are critical benchmarks, in accordance with the definition laid dow. Under Article 3(1)(21) of this Regulation, ‘critical benchmark’ means a benchmark, the majority of contributors to which are supervised entities and that reference financial instruments having a notional value of at least 500 billion euro. A benchmark of less than 500 billion euro may be deemed critical by the competent authorities if the supply or cessation of that benchmark could have an adverse impact on fin Article 3(21). ancial stability and on the real economy;
Amendment 448 #
Proposal for a regulation
Article 13 – paragraph 2
Article 13 – paragraph 2
2. Within 5 working days from the date of application of the decision including a critical benchmark in the list referred to in paragraph 1of this Article, the administrator of that critical benchmark shall notify the code of conduct to the relevant competent authority. The relevant and ESMA. The competent authority shall verify within 3015 working days whether the content of the code of conduct complies with the requirements of this Regulation. In case the relevant competent authority finds elements which do not comply with the requirements of this Regulation, it shall inform the administrator. The administrator shall adjust the code of conduct to ensure that it complies with the requirements of this Regulation within 3015 days of such a request.
Amendment 459 #
Proposal for a regulation
Article 14 – paragraph 1 – introductory part
Article 14 – paragraph 1 – introductory part
1. Where contributors, comprising at least 20% of the or more contributors to a criticalny benchmark have ceased contributing, the competent authority of the administrator of a critical benchmark shall have the power to:
Amendment 494 #
Proposal for a regulation
Article 14 – paragraph 4 – point b
Article 14 – paragraph 4 – point b
(b) judges that an acceptableequivalent substitute benchmark is available and users of the critical benchmark can switch to this substitute at minimal costs which shall be evidenced by at least a written report by the administrator detailing the means of transition to a substitute benchmark and the ability and costs to users of transferring to this benchmark.
Amendment 507 #
Proposal for a regulation
Article 15 – paragraph 1 – point a
Article 15 – paragraph 1 – point a
(a) clearly and unambiguously defines the market or economic reality measured by thetype of benchmark, be it a financial or a commodity benchmark, and the circumstances in which such measurement may become unreliable, in addition, specifies the financial or economic variables measured by the benchmark;
Amendment 509 #
Proposal for a regulation
Article 15 – paragraph 1 – point c
Article 15 – paragraph 1 – point c
(c) lays down technical specifications that clearly and unambiguously identify the elements of the calculation in relation to which discretion may be exercised, the criteria applicable to the exercise of such discretion and the persons by whom, and the criteria and procedures, used to determine the benchmark and the rules governing the discretion is exercised, and how such discretion may be subsequently evaluated by administrators and contributors;
Amendment 510 #
Proposal for a regulation
Article 15 – paragraph 1 – point e
Article 15 – paragraph 1 – point e
Amendment 515 #
Proposal for a regulation
Article 16 – paragraph 1
Article 16 – paragraph 1
1. An administrator shall publish the input data and the methodologies used to determine the benchmark immediately after publication of the benchmark except where publication would have serious adverse consequences for the contributors or adversely affect the reliability or integrity of the benchmark. In such cases publication may be delayed for a period that significantly diminishes these consequences. Any personal data included in input data shall not be published.
Amendment 524 #
Proposal for a regulation
Article 17 – paragraph 2
Article 17 – paragraph 2
2. Supervised entities that issue or own financial instruments or are party to financial contracts that reference a benchmark shall produce robust written plans setting out the actions that they would take in the event that any benchmark materially changes or ceases to be produced. The supervised entities shall be obliged to provide the relevant competent authority with these plans on request. The plans shall, in addition, be made accessible to the public.
Amendment 536 #
Proposal for a regulation
Article 18 – paragraph 2
Article 18 – paragraph 2
2. Where the supervised entity considers, on the basis of the assessment under paragraph 1, that the benchmark is not suitable for the consumer, the supervised entity shall warn the consumer in wrimake that fact known without delay, stating withe reasons in writing.
Amendment 538 #
Proposal for a regulation
Article 19 – title
Article 19 – title
Use of robust benchmarks
Amendment 552 #
Proposal for a regulation
Article 20 – paragraph 2 – subparagraph 1 – introductory part
Article 20 – paragraph 2 – subparagraph 1 – introductory part
The Commission mayshall adopt a decision stating that the legal framework and supervisory practice of a third country ensures that:
Amendment 583 #
Proposal for a regulation
Article 23 – paragraph 2 – point a
Article 23 – paragraph 2 – point a
(a) within 3015 working days of any agreement entered into by a supervised entity to use an index provided by that administrator as a reference to a financial instrument or financial contract or to measure the performance of an investment fund;
Amendment 585 #
Proposal for a regulation
Article 23 – paragraph 2 – point b
Article 23 – paragraph 2 – point b
(b) within 3015 working days of the administrator giving its consent in accordance with paragraph 2 of Article 25 to the referencing of the index in the financial instrument referred to in paragraph 1 of Article 25.
Amendment 591 #
Proposal for a regulation
Article 23 – paragraph 4
Article 23 – paragraph 4
4. Within 157 working days of receipt of the application, the relevant competent authority shall assess whether the application is complete and shall notify the applicant accordingly. If the application is incomplete, then the applicant shallmust submit the additional information required by the relevant competent authority within 7 working days.
Amendment 594 #
Proposal for a regulation
Article 23 – paragraph 5
Article 23 – paragraph 5
5. Within 4530 working days of receipt of a complete application, the relevant competent authority shall, examine the application and adopt a decision to authorise or refuse authorisation of the applicant administrator. Within five5 working days of the adoption of a decision whether to authorise or refuse authorisation, the competent authority shall notify it to the administrator concerned. Where the competent authority refuses to authorise the applicant administrator, it shall, without delay, give reasons for its decision in writing.
Amendment 603 #
Proposal for a regulation
Article 24 – paragraph 1 – introductory part
Article 24 – paragraph 1 – introductory part
1. The competent authority shallmay withdraw or suspend the authorisation or registration of an administrator where the administrator:
Amendment 609 #
Proposal for a regulation
Article 24 – paragraph 1 – point c
Article 24 – paragraph 1 – point c
(c) no longer meets the conditions under which it was authorised or registered; or
Amendment 617 #
Proposal for a regulation
Article 25 – paragraph 1
Article 25 – paragraph 1
1. Whenever a competent authority becomes aware that an index is being used as a reference to a financial instrument, or that a request for admission to trading has been made to a trading venue supervised by that competent authority in respect of a financial instrument that references an index, that competent authority shall notify ESMA within 105 working days.
Amendment 620 #
Proposal for a regulation
Article 25 – paragraph 2
Article 25 – paragraph 2
2. Within 105 working days of any notification ESMA shall notify the relevant administrator of the benchmark providing full details of its use and requesting the administrator to confirm that it consents to this use of the benchmarkshall give such notification in writing within 105 working days.
Amendment 622 #
Proposal for a regulation
Article 25 – paragraph 3
Article 25 – paragraph 3
Amendment 626 #
Proposal for a regulation
Article 26 – paragraph 1
Article 26 – paragraph 1
1. In accordance with Article 28 of Regulation (EU) No 1095/2010 a competent authority may delegate its tasks under this Regulation, wholly or in part, to the competent authority of another Member State. Delegation of tasks shall not affect the responsibility of the delegating competent authority and the competent authorities shall notify ESMA of any proposed delegation 630 days prior to such delegation taking effect.
Amendment 627 #
Proposal for a regulation
Article 26 – paragraph 2
Article 26 – paragraph 2
Amendment 628 #
Proposal for a regulation
Article 27 – paragraph 1 – introductory part
Article 27 – paragraph 1 – introductory part
1. The competent authority may disclose information received from another competent authority only if:
Amendment 629 #
Proposal for a regulation
Article 27 – paragraph 1 – point a
Article 27 – paragraph 1 – point a
Amendment 630 #
Proposal for a regulation
Article 27 – paragraph 1 – point b
Article 27 – paragraph 1 – point b
(b) where such disclosure is necessary for legal proceedings.
Amendment 637 #
Proposal for a regulation
Article 29 – paragraph 1
Article 29 – paragraph 1
1. For administrators and supervised contributors, each Member State shall designate thea relevant competent authority responsible for carrying out the duties resulting from this Regulation and shall inform the Commission and ESMA thereof.
Amendment 638 #
Proposal for a regulation
Article 29 – paragraph 2
Article 29 – paragraph 2
Amendment 640 #
Proposal for a regulation
Article 30 – paragraph 1 – point b
Article 30 – paragraph 1 – point b
(b) require or demand information from any person including those who are successively involved in the transmission of orders or conduct of the operations concerned, as well as their principals, and if necessary, to summon and question any such person with a view to obtain informationvolved in the supply and transmission of data;
Amendment 643 #
Proposal for a regulation
Article 30 – paragraph 1 – point d
Article 30 – paragraph 1 – point d
(d) carry out on-site inspections or investigations, at sites other than the private residences of natural persons
Amendment 644 #
Proposal for a regulation
Article 30 – paragraph 1 – point e
Article 30 – paragraph 1 – point e
(e) enter premises of natural and legal persons in order to seize documents and other data in any form, where a reasonable suspicion exists that documents and other data related to the subject-matter of the inspection or investigation may be relevant to prove a breach of this Regulation. Where prior authorisation is needed from the judicial authority of the Member State concerned, in accordance with national law, such power shall only be used after having obtained that prior authorisation;
Amendment 645 #
Proposal for a regulation
Article 30 – paragraph 1 a (new)
Article 30 – paragraph 1 a (new)
1a. Where prior authorisation is needed from the judicial authority of the Member State concerned, in accordance with national law, such power shall only be used after having obtained that prior authorisation;
Amendment 650 #
Proposal for a regulation
Article 31 – paragraph 1 – introductory part
Article 31 – paragraph 1 – introductory part
1. Without prejudice to the supervisory powers of competent authorities in accordance with Article 34, Member States shall, in conformity with national law, provide for competent authorities to have the power to take appropriate administrative measures and impose administrative measures and sanctions at least for:in the event of a breach of this Regulation;
Amendment 652 #
Proposal for a regulation
Article 31 – paragraph 1 – point a
Article 31 – paragraph 1 – point a
Amendment 654 #
Proposal for a regulation
Article 31 – paragraph 1 – point b
Article 31 – paragraph 1 – point b
Amendment 656 #
Proposal for a regulation
Article 31 – paragraph 2 – introductory part
Article 31 – paragraph 2 – introductory part
2. In case of a breach referred to in paragraph 1, Member States shall, in conformity with national law, confer on competent authorities the power to apply at least the following administrative measures and sanctions:
Amendment 658 #
Proposal for a regulation
Article 31 – paragraph 2 – point f – introductory part
Article 31 – paragraph 2 – point f – introductory part
(f) the imposition of maximum administrative pecuniary sanctions of at least threfive times the amount of the profits gained or losses avoided because of the breachinfringement where those can be determined; or
Amendment 659 #
Proposal for a regulation
Article 31 – paragraph 2 – point f – point 1
Article 31 – paragraph 2 – point f – point 1
Amendment 660 #
Proposal for a regulation
Article 31 – paragraph 2 – point f – point 2
Article 31 – paragraph 2 – point f – point 2
Amendment 662 #
Proposal for a regulation
Article 31 – paragraph 3
Article 31 – paragraph 3
Amendment 663 #
Proposal for a regulation
Article 31 – paragraph 4 – subparagraph 1 a (new)
Article 31 – paragraph 4 – subparagraph 1 a (new)
Administrators and supervised entities shall be held liable under civil law, in accordance with national provisions, where, either intentionally or through negligence, they have caused measurable harm to natural or legal persons by acting in breach of this Regulation and influencing the benchmark.
Amendment 672 #
Proposal for a regulation
Article 33 – paragraph 2
Article 33 – paragraph 2
Amendment 677 #
Proposal for a regulation
Article 34 – paragraph 1
Article 34 – paragraph 1
1. Within 3015 working days from the entry into force of the decision referred to in Article 13(1) determining a benchmark as critical benchmark, the competent authority shall establish a college of competent authorities.
Amendment 680 #
Proposal for a regulation
Article 34 – paragraph 3 – subparagraph 1
Article 34 – paragraph 3 – subparagraph 1
Competent authorities of other Member States shall have the right to be member of the college where, if that critical benchmark were to cease to be provided, it would have a significant adverse impact on the financial stability, or the orderly functioning of markets, or consumers, or the real economy of those Member States
Amendment 682 #
Proposal for a regulation
Article 34 – paragraph 3 – subparagraph 2
Article 34 – paragraph 3 – subparagraph 2
Where a competent authority intends to become a member of a college pursuant to the first subparagraph, it shall submit a request to the competent authority of the administrator containing evidence that the requirements of that provision are fulfilled. The relevant competent authority of the administrator shall consider the request and notify the requesting authority within 20 working10 days of receipt of the request whether or not it considers those requirements to be fulfilled. Where it considers those requirements not to be fulfilled, the requesting authority may refer the matter to ESMA in accordance with paragraph 10.
Amendment 710 #
Proposal for a regulation
Article 36
Article 36
Amendment 717 #
Proposal for a regulation
Article 39 – paragraph 1
Article 39 – paragraph 1
1. An administrator providing a benchmark on [the date of entry into force of this Regulation]intending to produce a benchmark shall apply for authorisation under Article 23 within [246 months after the date of application].
Amendment 724 #
Proposal for a regulation
Article 39 – paragraph 4
Article 39 – paragraph 4
Amendment 729 #
Proposal for a regulation
Article 40 – paragraph 1 – introductory part
Article 40 – paragraph 1 – introductory part
By 1 July 20187, the Commission shall review and report to the European Parliament and the Council on this Regulation and in particular:
Amendment 735 #
Proposal for a regulation
Article 41 – paragraph 3
Article 41 – paragraph 3