12 Amendments of Paul TANG related to 2016/0365(COD)
Amendment 374 #
Proposal for a regulation
Article 12 – paragraph 5 a (new)
Article 12 – paragraph 5 a (new)
5a. Once established, the single European supervisor for CCPs shall take all decisions referred to in paragraph 1 with respect to the CCPs under its direct supervision after consultation with the supervisory college.
Amendment 523 #
Proposal for a regulation
Article 31 – paragraph 2 a (new)
Article 31 – paragraph 2 a (new)
2a. The resolution authority shall define the amount of the resolution cash call to be included in the operating rules, which shall at the minimum be equivalent to the clearing member’s contribution to the default fund.
Amendment 574 #
Proposal for a regulation
Article 61 – paragraph 2 – point a
Article 61 – paragraph 2 – point a
(a) the treatment that shareholders, creditors and clearing participamembers or their clients would have received had the resolution authority not taken resolution action in relation to the CCP the resolution authority considered that the conditions for resolution pursuant to Article 22(1) were met, and they had instead been subject to the enforcement of possible outstanding obligations pursuant to the CCP's recovery plan orand other arrangements in its operating rules orand the CCP had been wound up under normal insolvency proceedings, properly taking into account any plausible adverse effects of systemic instability and market turmoil, including fire sales, replacement costs and the breakdown of entire segments of the financial market on the positions of the stakeholders in question;
Amendment 577 #
Proposal for a regulation
Article 61 – paragraph 3
Article 61 – paragraph 3
3. For the purposes of calculating the treatments referred to in paragraph 2(a), the valuation referred to in paragraph 1 shall disregard any provision of extraordinary public financial support to the CCP under resolution and the CCP’s own pricing methodology shall be disregarded should this methodology fail to reflect the effective market conditions.
Amendment 579 #
Proposal for a regulation
Article 61 – paragraph 5 – subparagraph 1
Article 61 – paragraph 5 – subparagraph 1
ESMA, taking into account any regulatory technical standards developed in accordance with Article 74(4) of Directive 2014/59/EU, shall develop draft regulatory technical standards specifying the methodology for carrying out the valuation referred to in paragraph 1, including, in particular, the calculation of the losses that would have been realistically incurred if the CCP had been put into liquidation, including fire sales, replacement costs, and the breakdown of entire segments of the financial market on the position of the stakeholders in question.
Amendment 585 #
Proposal for a regulation
Title 5 a (new)
Title 5 a (new)
The CCP - Single Resolution Fund
Amendment 586 #
Proposal for a regulation
Article 73 a (new)
Article 73 a (new)
Article 73a General provisions 1. The CCP-Single Resolution Fund (‘CCP-SRF’) is hereby established. 2. Before a Single Resolution Board for CCPs (CCP-SRB) is established, its revenues shall accumulate for up to 10 years to be used by the SRB as an additional financial backstop to the SRF for the activities within its mandate 3. Once the Single Resolution Board for CCPs is established, it shall use the CCP-SRF only for the purpose of ensuring the efficient application of the resolution tools and exercise of the resolution powers referred to in Chapter III and in accordance with the resolution objectives and the principles governing resolution referred to in Articles 21 and 23 of this Regulation. Under no circumstances shall the Union budget or the national budgets be held liable for expenses or losses of the CCP-SRF. 4. The owner of the CCP-SRF shall be the Single Resolution Board. Once established, the CCP-SRB becomes the sole owner of the CCP-SRF. 5. Contributions shall be raised in accordance with articles 73b and 73c.
Amendment 587 #
Proposal for a regulation
Article 73 b (new)
Article 73 b (new)
Article 73b Target level The target level of the CCP-SRF is 0.25 percent of Union GDP. Any capital returns on this fund that accrue beyond the target level are to be used towards the Union Budget.
Amendment 588 #
Proposal for a regulation
Article 73 c (new)
Article 73 c (new)
Article 73c Contributions The contributions shall (a) consist of a levy on average margin requirements posted by clearing members to CCPs in the previous month; (b) always be set at a positive non-zero rate until the target level is reached; and (c) be collected monthly. The Commission shall be empowered to adopt a delegated act in accordance with Article 73f defining the contributions to the CCP-SRF and their collection, using as basis any margin posted to any CCPs in the Union and any margin posted by clearing members in the Union to CPPs outside the Union where no comparable levy falls due, allowing for differentiated rates taking into account, among others, competitiveness and cross border effects. This delegated act is to be reviewed every five years at the latest.
Amendment 589 #
Proposal for a regulation
Article 73 d (new)
Article 73 d (new)
Article 73d Administration and investments 1. Until a specific CCP-SRB is established, the Single Resolution Board, and afterwards, the CCP-SRB shall administer the CCP-SRF in application of Commission Delegated Regulation (EU) 2016/451 on general principles and criteria for the investment strategy and rules for the administration of the Single Resolution Fund. 2. The amounts received from a CCP under resolution or a bridge institution, the interests and other earnings on investments and any other earnings shall only benefit the CCP-SRF. 3. The Commission shall be empowered to adopt delegated acts further specifying the rules referred to in paragraph 1.
Amendment 590 #
Proposal for a regulation
Article 73 e (new)
Article 73 e (new)
Article 73e Mission and use of the CCP-SRF 1. Within the resolution scheme, when applying the resolution tools to entities referred to in point 1 of Article 2, the Board may use the CCP-SRF only to the extent necessary to ensure the effective application of the resolution tools only where the following conditions are met: (a) the financial support is necessary to meet the resolution objectives; (b) the financial support is used as a last resort after having assessed and exploited all resolution tools other than government financial stabilisation tools according to article 45 of this Regulation to the maximum extent practicable whilst maintaining financial stability, as determined by the CCP-SRB; (c) the financial support complies with the Union State aid framework; and only for the following purposes: (a) to guarantee the liabilities of the CCP under resolution, its subsidiaries, or a bridge institution; (b) to make contributions to a bridge institution; (c) to make contributions to the CCP under resolution in lieu of the write-down or conversion tool; (d) to take any combination of the actions referred to in points (a) to (c).
Amendment 591 #
Proposal for a regulation
Chapter VII a (new) – Article 73 f (new)
Chapter VII a (new) – Article 73 f (new)
VIIa. POWERS OF EXECUTION Article 73f Exercise of the delegation 1. The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article. 2. The delegation of power referred to in Article 73c shall be conferred for an indeterminate period of time from the relevant dates referred to in Article 83. 3. The delegation of power referred to in Article 73c may be revoked at any time by the European Parliament or by the Council. A decision of revocation shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force. 4. As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council. 5. A delegated act adopted pursuant to Article 73c shall enter into force only if no objection has been expressed either by the European Parliament or the Council within a period of three months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by three months at the initiative of the European Parliament or the Council. 6. The Commission shall not adopt delegated acts where the scrutiny time of the European Parliament is reduced through recess to less than five months, including any extension.