8 Amendments of Eoin RYAN related to 2008/0191(COD)
Amendment 52 #
Proposal for a directive – amending act
Recital 15 a (new)
Recital 15 a (new)
(15a) It is important to distinguish between those securitisations where the interests of the originator or sponsor and the interests of investors are aligned and those where they are not aligned. Relevant regulation, including that relating to penalties for non-compliance, should differentiate between these two types of securitisation.
Amendment 107 #
Proposal for a directive – amending act
Article 1 – point 19 – point a
Article 1 – point 19 – point a
Directive 2006/48/EC
Article 111 – paragraph 1 – subparagraph 3
Article 111 – paragraph 1 – subparagraph 3
Amendment 148 #
Proposal for a directive – amending act
Article 1 – point 27
Article 1 – point 27
Directive 2006/48/EC
Article 122a – paragraph 1 a (new)
Article 122a – paragraph 1 a (new)
1a. For this purpose, retention of net economic interest shall mean either: (a) retention of not less than 10% of the nominal value of each of the tranches sold or transferred to the investors; or (b) retention, including by way of originators interest of not less than 10% of the nominal value of the securitised exposures (c) retention of exposures, equivalent to not less than 10% of the nominal amount of the securitised exposures, where these might otherwise have been securitised in the securitisation; or (d) retention of the first loss tranche, and if necessary, other tranches having the same or more severe risk profile and not maturing any earlier than those transferred or sold to investors, so that the retention equals in total not less than 5% of the risk weighted exposure value of the securitised exposures.
Amendment 203 #
Proposal for a directive – amending act
Article 1 – point 27
Article 1 – point 27
Directive 2006/48/EC
Article 122a – paragraph 4 – point g
Article 122a – paragraph 4 – point g
(g) all the structural features of the securitisation that can materially impact the performance of the credit institution's securitisation position. To this end, cs. Credit institutions shall prior to investing and regularly thereafter perform and record appropriate stress tests, such stress tests to be conducted independentlregularly perform stress tests appropriate to their securitisation positions. Credit institutions may rely on stress tests performed or models developed by of the ECAI or ECAIs who have rated the securitisation and to be based on all relevant information provided by the originator for this purposer providers provided that they can demonstrate, when requested, that they understand the methodology, assumptions and results.
Amendment 210 #
Proposal for a directive – amending act
Article 1 – point 27
Article 1 – point 27
Directive 2006/48/EC
Article 122a – paragraph 5 – save for last sentence
Article 122a – paragraph 5 – save for last sentence
5. Credit institutions shall establish formal procedure, other than originators, or sponsors or original lenders, shall establish formal procedures appropriate to their trading book and non-trading book and commensurate with the risk profile of their investment in securitised positions to monitor on an ongoing basis and in timely manner performance information on the exposures underlying their securitisation positions. Where relevantappropriate, this shall include, at a minimum: the exposure type, the length of time the exposures have been held by the originator including the percentage held by the originator for less than 2 years, the percentage of loans more than 30, 60 and 90 days past due, default rates, prepayment rates, loans in foreclosure, collateral type and occupancy, frequency distribution of credit scores or other measures of credit worthiness across underlying exposures, industry and geographical diversification, frequency distribution of loan to value ratios with band widths that facilitate adequate sensitivity analysis. Where the underlying exposures are themselves securitisation positions, the requirements to monitor and be able to access information shall apply appropriate policies shall be in place to monitor the exposures underlying these securitisation positions.
Amendment 211 #
Proposal for a directive – amending act
Article 1 – point 27
Article 1 – point 27
Directive 2006/48/EC
Article 122a – paragraph 5 – last sentence
Article 122a – paragraph 5 – last sentence
Where the requirements in paragraph 4 and in this paragraph are not met, credit institutions shall apply a risk weight of 1250% to these securitisation positions under Annex IX, part 4 in any material respect, by reason of negligence or omission by the credit institution, competent authorities shall impose a proportionate penalty upon the credit institution, which in the case of a penalty by way of capital charge shall not exceed 150% of the risk weight (capped at 1250%) which would, but for this paragraph apply to the relevant securitisation positions under Annex IX, part 4. The competent authority allow a credit institution a period to rectify a breach before imposition of a penalty.
Amendment 236 #
Proposal for a directive – amending act
Article 1 – point 27
Article 1 – point 27
Directive 2006/48/EC
Article 122a – paragraph 10 – second sentence
Article 122a – paragraph 10 – second sentence
Amendment 239 #
Proposal for a directive – amending act
Article 1 – point 27
Article 1 – point 27
Directive 2006/48/EC
Article 122a – paragraph 10 – subparagraph 1 a (new)
Article 122a – paragraph 10 – subparagraph 1 a (new)
If the Commission’s report referred to above concludes that Article 122a is no longer appropriate, it shall present, to the European Parliament and the Council, a proposal to amend it.