Aggregated News From Investment Management Regulators

ESMA publishes final report on FRANDT commercial terms for clearing services

Report/Flag

Please complete the required fields.



The European Securities and Markets Authority (ESMA), the EU’s securities markets regulator has published its final report with technical advice to the European Commission (EC) on the fair, reasonable, non-discriminatory and transparent (FRANDT) commercial terms for the provision of clearing services.

ESMA’s technical advice details how to specify the conditions under which the commercial terms for the provision of clearing services are to be considered FRANDT. The final report containing ESMA’s technical advice takes into account the feedback received, aiming to strike a balance between improving clearing client’s access to clearing services and ensuring such services are provided on FRANDT compliant terms, while ensuring the requirements are proportionate and within the mandate received.

 

The requirements covered in this technical advice have been carefully designed to address clearing clients and clearing service providers’ concerns and aims to:

 

·         facilitate comparability of the information disclosed;

·         address the process of onboarding clearing clients;

·         standardise the information disclosed to clients bilaterally; and

·         encourage further standardisation of contractual terms.

 

As part of a broader effort to facilitate access to clearing, the EMIR review (Refit), has introduced the requirement for clearing members and clients who provide clearing services to do so under FRANDT terms by June 2021. The EC is mandated to develop a delegated act to define the requirements for such FRANDT terms and tasked ESMA in June 2019 with producing technical advice on the FRANDT terms as input for the development of the delegated act.

 

The final report on the technical advice has been sent to the EC.

Source link

Regulator Information

Abbreviation: ESMA
Jurisdiction: ESMA

Recent Articles

Taxonomy Article 8: The AMF informs issuers about the phased application of reporting requirements

Companies subject to the new reporting obligations The requirement to deliver sustainability indicators under Article 8 of the Taxonomy Regulation will apply, as of 01/01/2022, to companies subject t

IIROC Re-elects five Board Directors

View the Press Release from the Investment Industry Regulatory Organization of Canada (IIROC CA) here: Source link

DLG Bonds / Direct Line Group PLC (Clone of FCA authorised firms and UK registered companies)

Fraudsters are using the details of firms we authorise to try to convince people that they work for a genuine, authorised firm. Find out...

Certification Examination Results for August 2021

See the Details published by the Cyprus Securities and Exchange Commission (CySEC CY) here: Source link

Get the latest from Regulatory.News in your inbox!

×