In June of the previous year, the EBA published a roadmap showing the “way to go” in implementing the new regime for investment firms, referred to as the IFR&IFD. Now, approximately two months before the “go-live” date, we take a look at what is coming in the next months. The Investment Firms Regulation becomes applicable on June 26th, 2021 and EU Member States are required to publish measures necessary to comply with the Investment Firms Directive by the same date.
Our insights
Amongst the turmoil of the ravaging pandemic, the Bank of England published a report on transforming data collection from the UK financial sector, laying out the principles for reshaping data transformation over the next decade.
Highlights of March
On the 18th of March, EBA published the second phase of the 3.0 reporting framework.
The 3.0 reporting framework is comprised of amendments that are linked to the CRD V and CRR II package, BRDD2 and IFR, and is expected to become applicable from 30th June 2021.
The EBA 3.0 “Phase 2” release covers MREL, AE, GS-II IMPRAC and REM frameworks.
Within the euro area, the non-banking sector currently accounts for 55% of the financial sector, compared to 14% thirteen years ago- in 2008. Whereas the foremost regulatory focus has been on the importance of supervision over the banking and insurance sectors, non-banking entities have become significant players and contributors to the financial landscape as a whole. This, coupled with drivers of change, such as innovation sweeping through the financial landscape and the increasing number of digitally provided services, has triggered regulatory changes to encompass these trends. As a result, investment firms within the EU will fall under regulations specified by the Investment Firms Regulation and Directive (IFR&IFD) from 26 June 2021.
We are happy to announce that we were among the 10 shortlisted finalists in Digital Innovation Challenge organized by the European Commission!
Business Reporting – Advisory Group has been shortlisted in the G20 TechSprint initiative organized by Saudi G20 Presidency and BIS Innovation Hub, also supported by the Monetary Authority of Singapore, the Financial Stability Board, API Exchange and the RegTech for Regulators Accelerator. 128 teams from 35 countries applied and we are among 20 finalists.
Starting from 31 December 2020 as a reference date, all insurance undertakings regulated under the Solvency II directive will submit their reports using the Solvency II 2.5.0 framework version recently published by EIOPA.
The Central Bank of Hungary has announced that starting on 12 October 2020, XBRL format will become mandatory for all prudential reports created according to European taxonomies as published by the European Banking Authority and the Single Resolution Board. The XBRL format was expected to become obligatory at the beginning of 2020 but due to Covid-19 pandemic this was postponed giving the banking sector more time to prepare for XBRL reporting.