European supervisors have been busy reaching Mifid branch supervision agreements
PARIS – The Committee of European Securities Regulators (Cesr) has reported its progress on regulatory co-operation regarding the supervision of branches, as part of its efforts to oversee the European Union’s Markets in Financial Instruments Directive (Mifid).
Sixteen agreements for the supervision of branches have been made by Cesr members since Mifid’s implementation across the EU on November 1, 2007. Cesr highlights this as an important step towards transparent supervision and regulatory co-operation.
Jean-Paul Servais, chairman of Cesr’s Mifid Level 3 expert group, says: “Less than a year after implementation, Cesr can be proud of the progress that has been made in promoting supervisory co-operation – the results prove the framework works. I am aware negotiations are ongoing to conclude further agreements and it is vital we keep up the momentum to ensure effective and consistent supervision of Mifid.”
According to Cesr, co-operation can either be in the form of joint supervision through common oversight programmes, or via requests for assistance based on allocation of supervisory tasks. The second approach is generalised, while the first is tailored for specifically important branch operations.
Standing requests for assistance have so far been concluded between regulators in Germany, the UK, Ireland, Belgium, Luxembourg, Austria, Hungary, Greece, the Czech Republic and Slovakia, in addition to three common oversight programmes between the UK’s Financial Services Authority and German regulator BaFin.
More on Regulation
Greater flexibility welcomed, but problems may remain for mortgage lenders
FCA investigating delays and handling of mis-selling cases
China is one of only two Asian countries with G-Sibs – but unlike Japan its banks can sidestep TLAC
Banks face loss of attractive source of dollar funding
Sign up for Risk.net email alerts
Sponsored video: Elseware
Oxford professor David Vines argues that the carrot is as important as the stick
Sponsored webinar: IBM
Watch highlights of this year's London conference
There are no comments submitted yet. Do you have an interesting opinion? Then be the first to post a comment.