Regulatory Alerts2020-04-10
Communications - Communication of 27 March 2020 - Circular No. 288/2015 - Supervisory provisions for financial intermediaries
The Bank of Italy issued this communication to clarify that financial intermediaries registered under Article 106 of the TUB must continue applying the supervisory provisions for securitization operations set forth in Circular No. 288/2015. This requirement persists until national legislation identifies the competent authority for controls under EU Regulations 2017/2402 and 2017/2401. Consequently, these intermediaries must maintain using version 2.8 of the Data Point Model for prudential reporting instead of the updated version 2.9.
Circular No. 288/2015 "Supervisory provisions for financial intermediaries" - Supervisory reporting on securitizations
From January 1, 2019, the new European regulatory framework on securitizations became applicable, consisting of Regulation 2017/2402 (which introduced new rules on securitization transactions) and Regulation 2017/2401 (which regulated their prudential treatment for banks and investment firms).
Pending the identification, through legislative provisions, of the national competent authority for the controls provided for by the two Regulations with reference to financial intermediaries registered in the register referred to in Article 106 of the TUB, the Bank of Italy has not modified the rules on securitization transactions contained in Circular No. 288 (Title IV, Chapter 8). Financial intermediaries registered in the register referred to in Article 106 of the TUB involved in various capacities (e.g., sponsor, originator, etc.) in securitization transactions will therefore continue to apply what is provided for in Circular No. 288, namely the provisions of the CRR without the modifications introduced by the two Regulations of 2017.
With reference to the "Exposures to securitizations" detection schemes in the "Own Funds" module of prudential supervisory reporting (CoRep), financial intermediaries will continue to use version 2.8 of the Data Point Model (DPM) signal scheme, rather than the new one (2.9) which takes into account the new regulatory framework.