Commission Regulatory Technical Standards on Colleges for Central Counterparties

The European Commission has published regulatory technical standards (RTS) on colleges for central counterparties (CCPs) as required under EMIR.

The RTS address issues relating to:

• The conditions for the determination of the most relevant currencies for the participation of central banks of issue in the college
• The operational organisation of the college
• Participation in the college
• Governance of the college
• Exchange of information among authorities
• Conditions to the voluntary delegation and sharing of tasks in the college

The Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal.

ESMA Guidelines and Recommendations on Interoperability Arrangements under EMIR

ESMA has published Guidelines and Recommendations for establishing consistent, efficient and effective assessments of interoperability arrangements under EMIR. The guidelines define what national competent authorities (NCAs) should analyse in assessing an interoperability arrangement.

The guidelines do not introduce new requirements for CCPs in addition to the ones specified in EMIR or the relevant technical standards. They specify how those requirements should be met for the purpose of establishing robust and stable interoperability arrangements.

The guidelines focus on the risks that might arise from interoperability arrangements and outline the areas on which CCPs should focus, and which NCAs should verify, to mitigate those risks.

The guidelines will become effective on 10 July 2013. NCAs must notify ESMA whether they comply or intend to comply with the guidelines, giving reasons for any non-compliance before 10 August 2013. Financial market participants are not required to report to ESMA whether they comply with the guidelines.

Delay in Registration of Trade Repositories

ESMA has indicated on its EMIR webpage that the first trade repositories (TRs) are not likely to be registered before August 2013. The effective date for the EMIR trade reporting obligation depends on the actual date of registration of the first TR(s).

ESMA Updated Q&A on the Implementation of EMIR

ESMA has updated its Q&A on the implementation of EMIR. To access the updated Q&A, please click here.

Contributed by Niall Crowley