ESMA welcomes industry comment on SFTR
15 March 2016 Paris
Image: Shutterstock
The European Securities Markets Authority (ESMA) has released a discussion paper on the level two measures of the Securities Financing Transactions Regulation (SFTR).
The window for responses will close on 22 April, at which point ESMA will consider the feedback and publish a consultation paper early in Q3 2016.
ESMA's final report and the draft technical standards will be submitted to the European Commission for endorsement by 13 January 2017.
The SFTR, which came into effect in February, aims to to enhance the transparency of securities financing markets.
The rules follow the Financial Stability Board's framework under which details of securities financing transactions (SFTs) can be efficiently reported to trade repositories.
The three main features include the introduction of mandatory reporting for all SFTs, excluding those concluded with central banks, to trade repositories.
The reporting requirements will be implemented at a regional level between 12 to 21 months after the SFTR comes into force.
Investment funds must also disclose information on the use of SFTs and total return swaps to investors in their regular reports and in their pre-contractual documents.
The window for responses will close on 22 April, at which point ESMA will consider the feedback and publish a consultation paper early in Q3 2016.
ESMA's final report and the draft technical standards will be submitted to the European Commission for endorsement by 13 January 2017.
The SFTR, which came into effect in February, aims to to enhance the transparency of securities financing markets.
The rules follow the Financial Stability Board's framework under which details of securities financing transactions (SFTs) can be efficiently reported to trade repositories.
The three main features include the introduction of mandatory reporting for all SFTs, excluding those concluded with central banks, to trade repositories.
The reporting requirements will be implemented at a regional level between 12 to 21 months after the SFTR comes into force.
Investment funds must also disclose information on the use of SFTs and total return swaps to investors in their regular reports and in their pre-contractual documents.
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