EBA欧洲银行-2014-10-24-BSG-Opinion-JC-CP-2014-04_3页_189kb

EBA Banking Stakeholder Group Summary on Consultation Paper JC/CP/2014/04

Core Content

The EBA Banking Stakeholder Group (BSG) has provided feedback on the Consultation Paper JC/CP/2014/04, which outlines Draft Regulatory Technical Standards (RTS) on Risk Concentration and Intra-Group Transactions under Article 21a(1a) of the Financial Conglomerates Directive (FCD). The BSG supports the objective of harmonizing supervisory rules across the European Union (EU) to ensure fair competition and efficient cross-border operations for financial conglomerates. They also emphasize the importance of facilitating data sharing among European supervisors and avoiding redundant reporting for banks.

Main Comments and Views

1. Clarification of Definitions

The BSG believes that the RTS should provide more precise definitions for "significant" risk concentrations and intra-group transactions to ensure consistent application across the EU. They suggest the following:

• Intra-group transactions: The threshold for significant intra-group transactions is already defined in Article 8(2) of the FICOD (at least 5% of the total capital requirements at the financial conglomerate level). The RTS should align with this threshold.
• Risk concentrations: For banking-led conglomerates, the RTS could refer to the large exposure threshold in Article 392 of the Capital Requirements Regulation (CRR) (10% of the regulatory capital at the conglomerate level). For insurance-led conglomerates, it should align with the definition of significant risk concentrations under Article 244 of Directive 2009/138/EC (Solvency 2 directive).
• Qualitative information: The BSG recommends that financial conglomerates include qualitative information on other significant intra-group and risk concentration exposures in their annual risk or internal control reports to supervisory authorities.

2. Alignment with Sectoral Regulations

The BSG emphasizes the importance of aligning the definitions and reporting requirements in the RTS with existing sectoral regulations to avoid inconsistencies:

• The definitions of concentration risk and intra-group exposures in the RTS should be consistent with those in sectoral regulations, as required by Articles 7(5) and 8(5) of the FICOD.
• Reporting requirements for financial conglomerates should be based on existing sectoral supervisory reports to ensure coherence and reduce duplication.

3. Liquidity and Currency Risk Exclusions

The BSG raises concerns about the inclusion of liquidity and currency risk concentrations in the RTS. They argue that:

• The RTS does not provide sufficient clarification on how these risks should be assessed at the level of a financial conglomerate.
• There are no definitions or metrics provided for measuring liquidity and currency risk concentrations.
• Therefore, the BSG recommends removing liquidity and currency risks from the scope of the RTS unless further clarifications are made on the specific issues and measurement methods related to these risks.

Key Information

• The BSG supports the harmonization of supervisory rules across the EU.
• They advocate for consistency with existing sectoral regulations to avoid duplication and ensure coherent application.
• The inclusion of liquidity and currency risks in the RTS is questioned due to lack of clarity and defined metrics.
• The BSG proposes that qualitative information be included in annual reports to cover any additional significant exposures not covered by quantitative thresholds.