Regulatory Alerts2026-01-13
Final Report - Guidelines on stress test scenarios under the MMF Regulation
The European Securities and Markets Authority issued updated guidelines establishing common reference parameters for stress test scenarios that Money Market Fund managers must conduct under the MMF Regulation. These 2025 updates calibrate adverse scenarios to reflect severe tail risks stemming from geopolitical uncertainty, trade tensions, and inflationary pressures affecting liquidity, credit, and interest rate factors. Managers are required to incorporate these new parameters into their quarterly reports to National Competent Authorities two months after the publication of the guidelines in all EU official languages.
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