FSB全球金融稳定委员会-FSB-Continuity-of-Access-to-FMIs-for-firms-in-resolution_-streamlined-information-collection-to-support-resolution-planning_21页_347kb

FSB Continuity of Access to FMIs for Firms in Resolution Summary

Core Content

The Financial Stability Board (FSB) has developed a questionnaire to streamline the collection of baseline information regarding the continuity of access to financial market infrastructures (FMIs) for firms in resolution. This initiative is part of the FSB's broader Guidance on Continuity of Access to FMIs for a Firm in Resolution (2017), which aims to ensure that firms in resolution can continue to access essential financial services without causing systemic disruption.

The questionnaire is designed to support resolution planning by enabling authorities and firms to better understand how FMIs can support resolution actions. It outlines a structured approach to collecting, sharing, and updating information on legal structure, contractual provisions, pre-resolution actions, resolution actions, and operational arrangements.

The FSB encourages public availability of questionnaire responses, with the option to exclude confidential information or publish summaries if necessary. FMIs are also encouraged to review and update their responses annually or upon material changes to their rulebooks or contractual agreements.

Main Views and Key Information

Objective

• To streamline information collection and reduce duplication in the process of gathering data on FMI continuity of access during resolution.
• To support resolution planning by ensuring consistent and transparent information sharing between FMIs, firms, and authorities.

Key Aspects of the Questionnaire

• Five main parts:

  1. Legal entity and general contract/service information
  2. Rulebook / Contractual provisions regarding termination
  3. Prior to resolution, during signs of distress at the participant
  4. During and after resolution
  5. Arrangements and operational processes to facilitate continued access in resolution

• Three levels of access:

  • Membership/participation (valid contract with the FMI)
  • Ability to send new transactions
  • Ability to use ancillary services

• Critical functions and services:

  • Critical functions are essential activities that, if disrupted, could harm financial stability or the real economy.
  • Critical FMI services include clearing, payment, securities settlement, custody, and related services necessary for the continuation of critical functions.

• Termination and Suspension:

  • FMIs must have discretionary rights to terminate, suspend, or restrict participation based on objective criteria or judgement.
  • Forward-looking indicators may be used to trigger such actions.
  • Legal restrictions on termination must be reflected in the FMI’s rules or contractual arrangements.
  • Cross-default provisions may apply, potentially leading to the default of a member due to an affiliate’s insolvency.

• Stress Management and Communication:

  • FMIs must have management and monitoring processes to identify signs of distress in participants or affiliates.
  • Communication protocols should be established to notify relevant parties (e.g., resolution authorities, settlement agents) and may be based on legal obligations or existing mechanisms.
  • Self-reporting requirements may be imposed on stressed participants to provide evidence of their operational and financial capacity.

• Post-Resolution Actions:

  • Actions taken by FMIs during and after resolution should be aligned with the resolution strategy and tools applied to the firm.
  • Bridge institutions may be used to preserve critical functions during the search for a third-party purchaser.
  • Residual assets not sold are subject to ordinary insolvency proceedings.

• Transparency and Feedback:

  • The questionnaire is a living document and will be reviewed and updated in 2021 based on experience.
  • Feedback from FMIs, banks, and other stakeholders is encouraged to improve the process and the questionnaire itself.

Key Definitions

• FMI (Financial Market Infrastructure): A multilateral system used for recording, clearing, or settling financial transactions. Includes payment systems, CSDs, SSSs, and CCPs.
• Critical functions: Activities that, if disrupted, would impact financial stability or the real economy.
• Critical FMI services: Services that are essential for the continuation of critical functions.
• FMI intermediary: An entity that provides services to enable firms' access to FMIs.
• Resolution: The exercise of resolution powers by authorities in a firm's jurisdiction.
• Bridge institution: A temporary entity set up to maintain a failing bank’s critical functions while seeking a buyer.

Tentative Timeline

Conclusion

The FSB questionnaire is a key tool to enhance transparency and coordination among FMIs, firms, and resolution authorities. It aims to reduce information duplication, support resolution planning, and ensure the continuity of essential financial services during and after resolution. The questionnaire is not exhaustive, and additional FMI-specific information may be required for resolution planning. The process is iterative, with opportunities for feedback and refinement in the coming years.