Activities of Arlene McCARTHY related to 2013/2021(INI)
Plenary speeches (1)
Laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (debate)
Reports (1)
REPORT on reforming the structure of the EU banking sector PDF (197 KB) DOC (112 KB)
Amendments (9)
Amendment 129 #
Motion for a resolution
Paragraph 2
Paragraph 2
2. Takes the view that while current proposals for reforms of EU banking sector rules (including the Capital Requirements Directive and Regulation, the Recovery and Resolution Directive, the Single Supervisory Mechanism, the Deposit Guarantee Schemes Directive and shadow banking initiatives) are vital, a more fundamental reform of the banking structure is essential, and complementary to the other proposals, as it would further address issues such as risk-taking incentives, complexity, intra-group subsidies, resolvability and systemic risk;
Amendment 200 #
Motion for a resolution
Paragraph 7
Paragraph 7
7. Considers that an effective banking system must deliver a change in banking culture and practice in order to reduce complexity, enhance competition, limit interconnectedness between risky market- related activities and commercial activities, improve corporate governance, create a responsible remuneration system, allow effective bank resolution and recovery, reinforce bank capital and deliver credit to the real economy;
Amendment 257 #
Motion for a resolution
Paragraph 9
Paragraph 9
9. Urges the Commission to come forward with a proposal for such mandatory separation through the establishment of a thorough, transparent and credible ‘cring fence’ aroundteria for the protection of bank activities that are vital for the real economy, such as those relating to credit functions, payment systems and deposits; takes the view that in the event of a bank failure, the ring fence must ensure that the retail entity must continues business unaffected by operational problems, financial losses, funding shortages or reputational damage resulting from the resolution or insolvency of the investment entity;
Amendment 262 #
Motion for a resolution
Paragraph 9 a (new)
Paragraph 9 a (new)
9a. Encourages the Commission to explore bank models that increase transparency, improve competition, facilitate supervision and regulatory intervention and reduce contagion risk in case of a crisis.
Amendment 278 #
Motion for a resolution
Paragraph 10 a (new)
Paragraph 10 a (new)
10a. In the case where there is no separate investment banking entity, it might be possible for a deposit-taking bank to conduct limited trading activities to the benefit of its non-financial clients proving that: i) These trading activities are limited to simple financial instruments undertaken with / on behalf of non-financial clients, ii) The amount of trading activities within the deposit-taking bank is capped as a % of total balance sheet. The amount of the threshold should be precisely assessed in the impact assessment.
Amendment 283 #
Motion for a resolution
Paragraph 11
Paragraph 11
11. Urges the Commission to ensure that where banks undertake trading activities, to be understood as but not limited to market making, underwriting, proprietary trading and credit to leveraged investment funds, the risks and costs associated with those activities are borne by their trading arm and not by their ring-fenced retail armdeposit-taking activities;
Amendment 316 #
Motion for a resolution
Paragraph 12 – point b
Paragraph 12 – point b
(b) limits on the extent to which the two entities are reliant on each other for funding and/or resources; in particular, there should be no legal basis for shifting capital and liquidity from ring-fenced entities to otherbetween deposit- taking and investment banking entities inof the group;
Amendment 329 #
Motion for a resolution
Paragraph 12 – point d
Paragraph 12 – point d
(d) net and gross large exposure limits for intra-group transactions between ring- fenced and non-ring-fenceddeposit taking activities and investment/trading activities, which are at least as strict as those for third-party exposure, including strict limits on the exposure of ring-fenceddeposit taking activities to the investment entity's riskier activities;
Amendment 388 #
Motion for a resolution
Paragraph 16 a (new)
Paragraph 16 a (new)
16a. Urges the Commission to assist in reaching an agreement on the proposed Deposit Guarantee Scheme Directive and to increase consumer protection by introducing depositor preference.