[ParlTrack]

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 2 – paragraph 1 – point 8

(8) ‘corporate debt’ means debt instruments issued by an undertakings which is effectively engaged in producing ~~or trading in~~and/or financing the manufacturing, trading or providing of goods orand non- financial services to the market. For the purpose of this definition, it should be understood, that debt instrument such as trade receivables, auto loans and leases, equipment loans and leases, SME loans of such undertakings are eligible provided they otherwise comply with the conditions set out in this Regulation;

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 8 – paragraph 1 – point d

(d) reverse repurchase a~~greements;~~ nd repurchase agreements provided that the cash received is not reinvested and the aggregate exposure to repurchase agreements does not exceed 10% of the assets of a MMF; Or. en Justification

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 8 – paragraph 1 – point d a (new)

(da) units or shares of other MMFs;

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 8 – paragraph 2 – point d

(d) entering into securities lending agreements or securities borrowing agreements, ~~and repurchase agreements,~~ or any other agreement that would encumber the assets of the MMF;

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 9 – paragraph 2

2. Standard MMFs shall be allowed to invest in a money market instrument ~~that undergoes regular yield adjustments in line with money market conditions every 397 days or on a more frequent basis while not having a residual maturity exce~~with a residual maturity until the legal redemption date not exceeding 2 years provided that the time remaining until the next interest rate reset date is less or equal to 397 days. This feature corresponds either to a two-year floating rate security or to a two-year fixed rate security coupled with an interest rate hedging ~~2 years.~~ arrangement that reset to a money market rate (or index). Or. en Justification

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 13 – paragraph 5 a (new)

5 a. A MMF may borrow or enter into repurchase agreements, provided that all of the following conditions are met: (a) the repurchase agreement is used on a temporary basis, for a maximum of 7 business days, and not for investment purposes; (b) the sum of repurchase agreements shall not exceed 10%; (c) cash collateral received should only be: - placed on deposit with entities prescribed in Article 50(f) of the UCITS Directive; - invested in high-quality government bonds; - used for the purpose of reverse repo transactions provided the transactions are with credit institutions subject to prudential supervision and the UCITS is able to recall at any time the full amount of cash on accrued basis; - invested in short-term money market funds as defined in the Guidelines on a Common Definition of European Money Market Funds. Re-invested cash collateral shall be diversified in accordance with the diversification requirements applicable to non-cash collateral. The prospectus shall clearly inform investors of the collateral policy of the UCITS, including, in the case of cash collateral, re-investment policy (including the risks arising from the re-investment policy).

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 13 a (new)

Article 13 a Eligible MMFs 1. A MMF may acquire the units of other MMFs provided that no more than 10 % of the assets of the MMF whose acquisition is contemplated, can, according to their fund rules or instruments of incorporation, be invested in aggregate in units of other MMFs; 2. A MMF may acquire the units of other MMFs, provided that no more than 10 % of its assets are invested in units of a single MMF. Member States may raise that limit to a maximum of 20 %. This restriction does not apply to non-UCITS MMFs marketed solely through employee savings schemes and to a specific category of investor that is subject to divestment restrictions. 3. Member States may, where a MMF has acquired units of another MMF, provide that the assets of the respective MMF are not required to be combined for the purposes of the diversification limits laid down in Articles 14, 21 and 22. 4. Where a MMF invests in the units of other MMF that are managed, directly or by delegation, by the same management company or by any other company with which the management company is linked by common management or control, or by a substantial direct or indirect holding, that management company or other company shall not charge subscription or redemption fees on account of the MMFs' investment in the units of such other MMF. 5. A MMF that invests a substantial proportion of its assets in other MMFs shall disclose in its prospectus the maximum level of the management fees that may be charged both to the MMF itself and to the other MMFs in which it intends to invest. It shall indicate in its annual report the maximum proportion of management fees charged both to the MMF itself and to the other MMFs in which it invests. 6. Short-term MMFs may only invest in units of other short-term MMFs and Standard MMFs may invest in units of both short-term MMFs and Standard MMFs; UCITS MMFs may only invest in units of other UCITS MMFs and AIF MMFs may invest in both UCITS and AIF MMFs. 7. A MMF that invests exclusively its assets in one or several other MMFs authorised under this Regulation is assumed to be in compliance with the provisions laid down in this Regulation.

2015/01/12
Committee: ECON

Petr JEŽEK, Philippe DE BACKER, Sylvie GOULARD

Proposal for a regulation
Article 14 – paragraph 1 – introductory part

1. A MMF shall invest no more than 510% of its assets in any of the following:

2015/01/12
Committee: ECON

Petr JEŽEK, Philippe DE BACKER, Sylvie GOULARD

Proposal for a regulation
Article 14 – paragraph 5 – introductory part

5. Notwithstanding the individual limits laid down in paragraphs 1 and 3, a MMF shall not combine, where this would lead to investment of more than 105% of its assets in a single body, any of the following:.

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 21 – paragraph 1 – introductory part

A short-term MMF shall comply ~~at all times~~ with all of the following portfolio requirements:

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 21 – paragraph 1 – point d

(d) at least 20% of its assets shall be comprised of up to weekly maturing assets. A short-term MMF shall not acquire any asset other than a weekly maturing asset when such acquisition would result in the short-term MMF investing less than 20% of its portfolio in weekly maturing assets.

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 21 – paragraph 1 – point d a (new)

(da) investment in units of other short- term MMFs may be included in the daily or weekly maturing assets up to a maximum of 5%.

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 21 – paragraph 1 a (new)

If the limits are temporarily not reached for reasons beyond the control of a MMF or as a result of the exercise of redemption rights, that MMF shall adopt as a priority objective for its acquiring transactions the remedying of that situation, taking due account of the interests of its unit-holders;

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 22 – paragraph 1 – introductory part

1. A standard MMF shall comply ~~at all times~~ with all of the following requirements:

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 22 – paragraph 1 – introductory part

1. A standard MMF shall comply ~~at all times~~ with all of the following requirements:

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 22 – paragraph 1 – point a

(a) its portfolio shall have ~~at all times~~ a WAM of no more than 6 months;

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 22 – paragraph 1 – point b

(b) its portfolio shall have ~~at all times~~ a WAL of no more than 12 month;

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 22 – paragraph 1 – point d

(d) at least 2015% of its assets shall be comprised of up to weekly maturing assets. A standard MMF shall not acquire any asset other than a weekly maturing asset when such acquisition would result in the standard MMF investing less than 2015% of its portfolio in weekly maturing assets.

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 22 – paragraph 1 a (new)

1 a. If the limits are temporarily not reached for reasons beyond the control of a MMF or as a result of the exercise of redemption rights, that MMF shall adopt as a priority objective for its acquiring transactions the remedying of that situation, taking due account of the interests of its unit-holders.

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 22 – paragraph 2

~~2. A standard MMF may invest up to 10% of its assets in money market instruments issued by a single body.~~deleted

2015/01/12
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 25 – paragraph 2

2. In addition, in the case of CNAV MMFs, the stress tests shall estimate for different scenarios the difference between the constant NAV per unit or share and the NAV per unit or share~~, including the impact of the difference on the NAV buffer~~.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 26 – paragraph 5

5. In addition to the marking to market method referred to in paragraphs 2 and 3 and marking to model method referred to in paragraph 4, the assets of a CNAV MMF may also be valued by using the amortised cost method.deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 – title

Calculation of NAV ~~per unit or share~~

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 – paragraph 1 – subparagraph 1

1. The ‘Net Asset Value (NAV) ~~per unit or share’~~ shall be calculated as the difference between the sum of all assets of a MMF and the sum of all liabilities of the MMF valued in accordance with the mark to market and mark to model methods~~, divided by the number of outstanding units or shares of the MMF~~.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 – paragraph 1 – subparagraph 2

~~The NAV per unit or share shall be calculated for each MMF, irrespective of whether it is a CNAV MMF or not.~~deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 – paragraph 2

2. The NAV ~~per unit or share shall be rounded to the nearest basis point or its equivalent when the NAV is published in a currency unit~~of a MMF shall be calculated at least daily.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 – paragraph 3

~~3. The NAV per unit or share of a MMF shall be calculated at least daily.~~deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 – paragraph 4

4. The ‘constant NAV per unit or share’ shall be calculated as the difference between the sum of all assets of a CNAV MMF and the sum of all liabilities of a CNAV MMF valued in accordance with the amortised cost method, divided by the number of outstanding units or shares of the CNAV MMF.deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 – paragraph 6

~~6. The difference between the constant NAV per unit or share and NAV per unit or share of a CNAV MMF shall be continuously monitor~~deleted.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 a (new)

Article 27 a Calculation of NAV per share or unit 1. The 'Net Asset Value (NAV) per unit or share' shall be calculated as the NAV divided by the number of outstanding units or shares of the MMF. The NAV per unit or share shall be calculated for each MMF 2. The NAV per unit or share shall be rounded to the nearest basis point or its equivalent when the NAV is published in a currency unit. 3. The NAV per unit or share of a MMF shall be calculated at least daily.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 27 b (new)

Article 27 b Calculation of adjusted number of units or shares 1. Notwithstanding article 27a, CNAV MMFs are allowed to display a constant NAV per unit or share, provided the number of outstanding investor units or shares is adjusted in line with the development of the NAV after each calculation. 2. Any decrease of the NAV calculated in accordance with article 27 should be reflected by a proportional decrease of the number of units or shares in each investor's portfolio. Adjustments of the number of units or shares shall apply on the same day than the calculation of the NAV. 3. A decrease of an investor's number of shares shall mean the redemption of units or shares for the benefit of the MMF. 4. The number of units or shares in an investor's portfolio shall be rounded to the nearest basis point. Or. en Justification

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 28 – paragraph 2

2. By way of derogation from paragraph 1, the units or shares of a CNAV MMF shall be issued or redeemed at a price that is equal to the MMF's constant NAV per unit or share provided the number of outstanding investor units or shares is adjusted as described in article 27b.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – title

~~Additional~~Specific requirements for CNAV MMFs

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – paragraph 1

1. A MMF shall not use the amortised cost method for valuation, or advertise a constant NAV per unit or share, or round the constant NAV per unit or share to the nearest percentage point or its equivalent when the NAV is published in a currency unit unless it has been explicitly authorised as a CNAV MMF.deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – paragraph 2 – introductory part

2. A CNAV MMF shall satisfy ~~all~~ the following ~~additional~~specific requirements:

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – paragraph 2 – point a

(a) ~~it has established a NAV buffer in accordance with the requirements in Article 30;~~CNAV MMFs shall fulfil disclosure requirements towards investors including key investor information, prospectus and marketing materials explaining in a clear, concise and understandable way the functioning of the product.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – paragraph 2 – point b

(b) ~~the competent authority of the CNAV MMF is satisfied with a detailed plan by the CNAV MMF specifying the modalities of the use of the buffer in accordance with Article 31;~~CNAV MMFs shall communicate to each investor the number of outstanding units or shares held and the corresponding monetary amount on a daily basis.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – paragraph 2 – point c

(c) ~~the competent authority of the CNAV MMF is satisfied with the CNAV MMF's arrangements to replenish the buffer and with the financial strength of the entity expected to fund the replenishment~~CNAV MMFs may only take the form of Short Term MMFs;

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – paragraph 2 – point d

(d) tThe rules or instruments of incorporation of the CNAV MMF ~~provide clear procedures for the conversion of the CNAV MMF into a MMF that is not allowed to use the amortised cost accounting or the rounding methods;~~s should state clearly that the CNAV MMF cannot receive external support.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – paragraph 2 – point f

(f) the CNAV MMF has established clear and effective communication tools towards investors that ensure prompt information in relation to any use or replenishment of the NAV buffer and the conversion of the CNAV MMF;deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 29 – paragraph 2 – point g

~~(g) the rules or instruments of incorporation of the CNAV MMF state clearly that the CNAV MMF cannot receive external support other than through the NAV buffer.~~deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 30

~~[...]~~deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 30 a (new)

Article 30 a Variable Shares In order for variable shares to comply with this Regulation, all investors to whom variable shares apply must be made aware that: (a) the number of shares they hold and the total monetary value of their holdings may fluctuate; (b) the total value of their holding will decrease if a number of shares are redeemed or cancelled for the benefit of the MMF; (c) variable shares may result in losses to the investors at the time of redemption.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 31

1. The NAV buffer shall only be used in case of subscriptions and redemptions to equalise the difference between the constant NAV per unit or share and the NAV per unit or share. 2. For the purposes of paragraph 1, in case of subscriptions: (a) where the constant NAV at which a unit or share is subscribed is higher than the NAV per unit or share, the positive difference shall be credited to the reserve account; (b) where the constant NAV at which a unit or share is subscribed is lower than the NAV, the negative difference shall be debited from the reserve account. 3. For the purposes of paragraph 1, in case of redemptions: (a) where the constant NAV at which a unit or share is redeemed is higher than the NAV per unit or share, the negative difference shall be debited from the reserve account; (b) where the constant NAV at which a unit or share is redeemed is lower than the NAV per unit or share, the positive difference shall be credited to the reserve account.Article 31 deleted Use of the NAV buffer

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 32

1. A CNAV MMF shall establish and implement an escalation procedure that ensures that the negative difference between the constant NAV per unit or share and the NAV per unit or share is considered by persons competent to act for the fund in a timely manner. 2. The escalation procedure shall require that: (a) where the negative difference reaches 10 basis points or its equivalent when the NAV is published in a currency unit, the senior management of the manager of the CNAV MMF be informed; (b) where the negative difference reaches 15 basis points or its equivalent when the NAV is published in a currency unit, the board of directors of the manager of the CNAV MMF, the competent authorities of the CNAV MMF and ESMA be informed; (c) the competent persons assess the cause of the negative difference and take appropriate action to reduce the negative effects.Article 32 deleted Escalation procedure

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 33

1. Whenever the amount of the NAV buffer falls below 3% it shall be replenished. 2. When the NAV buffer has not been replenished and for one month the amount of the NAV buffer stays below the 3% referred to in Article 30(1) by 10 basis points the MMF shall automatically cease to be a CNAV MMF and be prohibited from using the amortised cost or rounding methods. The CNAV MMF shall inform immediately each investor thereof in writing and in a clear and comprehensible way.Article 33 deleted Replenishment of the NAV buffer

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 34

1. The competent authority of the CNAV MMF shall be immediately notified of any decrease below 3% in the amount of the NAV buffer. 2. The competent authority of the CNAV MMF and ESMA shall be immediately notified when the amount of the NAV buffer decreases by 10 basis points below the 3% referred to in Article 30(1). 3. Following the notification referred to in paragraph 1, the competent authority shall closely monitor the CNAV MMF. 4. Following the notification in paragraph 2, the competent authority shall control that the NAV buffer has been replenished or the MMF has ceased to hold itself as a CNAV MMF and informed accordingly its investors.Article 34 deleted Powers of the competent authority concerning the NAV buffer

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 37 – paragraph 5

5. In addition to the information to be provided in accordance with paragraphs 1 to 4, a CNAV MMF shall explain clearly to investors and potential investors the use of the amortised cost method and/or of rounding. A CNAV MMF shall indicate the amount of its NAV buffer, the procedure to equalise the constant NAV per unit or share and the NAV per unit or share and shall state clearly the role of the buffer and the risks related to it. The CNAV MMF shall clearly indicate the modalities of replenishing the NAV buffer and the entity expected to fund the replenishment. It shall make available to investors all information concerning compliance with the conditions set out in Article 29(2)(a) to (g)valuation method and the procedure to adjust the number of units or shares in line with the fluctuations of the NAV.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 38 – paragraph 1

1. For each MMF managed, the manager of the MMF shall report information to the competent authority of the MMF, at least on a ~~quarter~~monthly basis. The manager shall upon request provide the information also to the competent authority of the manager if different from the competent authority of the MMF.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 38 – paragraph 2 – subparagraph 1 – point c

~~(c) the size and the evolution of the NAV buffer;~~deleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD

Proposal for a regulation
Article 43 – paragraph 1

1. Within the ~~six~~eighteen months following the date of entry into force of this Regulation, an existing UCITS or AIF that invests in short term assets and has as distinct or cumulative objectives offering returns in line with money market rates or preserving the value of the investment shall submit an application to its competent authority together with all documents and evidence necessary to demonstrate the compliance with this Regulation.

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 43 – paragraph 3

3. By way of derogation from the first sentence of Article 30(1), an existing UCITS or AIF that meets the criteria for the definition of a CNAV MMF set out in Article 2(10) shall establish a NAV buffer of at least (a) 1% of the total value of the CNAV MMF's assets, within one year from the entry into force of this Regulation; (b) 2% of the total value of the CNAV MMF's assets, within two years from the entry into force of this Regulation; (c) 3% of the total value of the CNAV MMF's assets, within three years from the date of entry into force of this Regulationdeleted

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 45 – paragraph 1 – introductory part

By three years after the entry into force of this Regulation, the Commission shall review the adequacy of this Regulation from a prudential and economic point of view. In particular the review shall consider the operation of the CNAV buffer and the operation of the CNAV buffer to those CNAV MMFs that, in future, might concentrate their portfolios on debt issued or guaranteed by the Member States. The review shall:

2015/01/09
Committee: ECON

Petr JEŽEK, Sylvie GOULARD, Philippe DE BACKER

Proposal for a regulation
Article 45 – paragraph 1 – point e a (new)

(ea) Analyse the impact on the real economy and financial stability of the changes required by this Regulation.

2015/01/09
Committee: ECON

Activities of Sylvie GOULARD related to 2013/0306(COD)

Plenary speeches (1)

Amendments (54)

ParlTrack - 2011-2024