There have been many developments in national and European financial markets regulation during the past month. Among other things, the European framework for recovery and resolution of credit institutions and investment firms has been implemented in the Netherlands. Also, the European Commission has proposed a review of the current prospectus regime. In addition, supervisory authorities have published a large number of consultation documents, draft rules and other information since the last edition of In context.
Framework for recovery and resolution of credit institutions and investment firms implemented
The European rules for the recovery and resolution of credit institutions and investment firms have been implemented in the Netherlands. The implementing Act, Decree and Regulation took effect on 26 November. They contain rules on recovery and resolution plans, the national resolution fund and the powers of the Dutch Central Bank.
Implementation of the Directive on Deposit Guarantee Schemes
The European rules on Deposit Guarantee Schemes have been implemented in the Netherlands. Deposit guarantee schemes are now funded ex-ante: this means that banks will pay quarterly contributions to the DGS funds.
Other amendments include:
European deposit insurance scheme
The European Commission proposed a euro-area wide deposit insurance scheme for bank deposits last month. This scheme will fully insure national deposit guarantee schemes as of 2024. The Commission has set out further measures to reduce remaining risks in the banking sector in parallel.
Dutch regulations – other amendments
AFM provides clarity on publication of quarterly figures
One of the proposals included in the Bill implementing the amended Transparency Directive is that listed companies will no longer be required to publish their quarterly figures. Although this Bill is expected to enter into force after 1 January, the AFM explains on its website that no quarterly figures will have to be published as from that date.
European Commission proposes overhaul of prospectus rules
The European Commission has published its proposal for a review of the current prospectus regime. According to the Commission, the new rules will make it easier and cheaper for smaller companies to access capital markets. Also, the rules will be simplified for all companies that wish to issue shares or debt. Finally, the Commission wants to improve prospectuses for investors by introducing a retail investor-friendly summary.
The proposal will make the following changes:
The proposal now goes to the European Parliament and the Council of the European Union for discussion and adoption. The current regime will remain in force for prospectuses approved before the date of entry into application of the proposed Regulation.
Technical standards for approval and publication of prospectuses and dissemination of advertisements
The European Commission has also adopted a Delegated Regulation containing technical standards for the approval and publication of prospectuses and the dissemination of advertisements. This regulation supplements the Prospectus Directive and amends the Prospectus Regulation. It will enter into force on the twentieth day following its publication in the Official Journal
European Securities and Markets Authority – publications
European Banking Authority – publications
Joint Committee – publications
European Central Bank – publications
International Organization of Securities Commissions – publications
Basel Committee on Banking Supervision – publications
7 July 2020
15 June 2020
12 June 2020
27 May 2020
22 May 2020
19 May 2020
19 May 2020
19 May 2020
1 May 2020
24 April 2020
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