The European Central Bank (ECB) will start publishing compounded €STR average rates and a compounded index based on the euro short-term rate (€STR) on 15 April 2021. Publication will take place on each TARGET2 business day at 09:15 CET and will include compounded €STR average rates for tenors of 1 week, 1 month, 3 months, 6 months and 12 months, as well as a compounded €STR index enabling the derivation of compounded rates for any non-standard tenor. The ECB is responding to market feedback in favour of having compounded rates based on the €STR published regularly by a trusted authority. Continue reading…

by František Nonnemann

European Union member states are obliged to transpose the Directive on the protection of persons who report breaches of Union into law by 17th December 2021. It will be the first general whistleblowing regulation in many member states and, therefore, relevant case law will be very important for interpretation. The European Court of Human Rights (ECHR) recently ruled over a whistleblowing case connected with the publication of the suspicions made by the employee. This decision sums-up six crucial principles for whistleblower protection, respectively for the whole whistleblowing process. The question of whether and when the whistleblower is obliged to use internal whistleblowing channels, and the obligation of the whistleblower to verify his/her suspicions as much as possible prior to the publication of the suspicious notice were examined. Continue reading…

The campaign, ‘In confidence, with confidence’, encourages individuals working in financial services to report potential wrongdoing to the Financial Conduct Authority (FCA), and reminds them of the confidentiality processes in place. As part of the campaign, the FCA has published materials for firms to share with employees, as well as using its events to highlight the campaign. It has also produced a digital toolkit for industry bodies, consumer groups and whistleblowing groups to encourage individuals to have confidence to step forward. Whistleblowers that report to the FCA will have a dedicated case manager. They can meet with the FCA to discuss their concerns and can receive optional regular updates throughout the investigation. Every report the FCA receives is reviewed and the FCA will protect individual whistleblowers’ identities.  Continue reading…

The FCA has announced the dates that panel bank submissions for all LIBOR settings will cease, after which representative LIBOR rates will no longer be available. This is an important step towards the end of LIBOR, and the Bank of England and FCA urge market participants to continue to take the necessary action to ensure they are ready. The FCA has confirmed that all LIBOR settings will either cease to be provided by any administrator or no longer be representative immediately after 31 December 2021, in the case of all sterling, euro, Swiss franc, Japanese yen settings, and the 1-week and 2-month US dollar settings; and immediately after 30 June 2023, in the case of the remaining US dollar settings. Continue reading…

Modern organisations now realise that cybersecurity is a crucial concern. Cyberattacks have grown in frequency and sophistication, with 3,813 data breaches reported in the first half of 2019, which was an increase of 54% over the previous year. And in light of COVID-19-related changes in workforce structure and an unplanned shift to remote work environments that might not be supported with the right infrastructure, companies became even more vulnerable to attack in 2020. While enterprises know that cybersecurity protection is essential to safeguard their companies, many envision cybersecurity protocols as a compliance-focused approach to address industry and governmental regulations, rather than looking at them from a risk analysis level. Continue reading…

EU Commissioner Didier Reynders recently spoke at the 2021 Transatlantic Conference. The participation of President Biden to the European Council showed how deep the alliance between the European Union and the United States is. We have a common willingness to work together to address the key challenges of our times: from the pandemic to the green transition. The recent visit of US Special Presidential Envoy for Climate, John Kerry, was a chance to discuss how to achieve our common objectives of a greener and cleaner future for all citizens. The U.S. trillion dollar recovery package focuses on green investment. It has similar priorities to the prior established European Green Deal. The digital transition requires the same commitment.
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As the deadline to apply for a payment deferral ends on 31 March 2021, the FCA wants to reassure consumers in financial difficulty that support will continue to be available under the Tailored Support Guidance (TSG). Payment deferrals allowed firms to deal with unprecedented demand for short-term support very quickly. As the crisis evolves and demand for payments deferrals reduces, tailored support provides a longer-term framework for firms to offer a wider range of options which are tailored to a consumer’s individual needs and circumstances. The FCA has published finalised guidance for firms, to ensure that mortgage customers whose homes may be repossessed are treated fairly and appropriately, particularly where there are risks of harm to customers who are vulnerable, including as a result of coronavirus. Continue reading…

The European Securities and Markets Authority (ESMA), the EU’s securities markets regulator, has submitted its response to the European Commission’s (EC) targeted consultation on the European Single Access Point (ESAP). ESMA recommends a phased approach, which should prioritise financial and non-financial information of public companies. Steven Maijoor, Chair, said: “A single access point for information about companies is one of the key missing components of the Capital Markets Union. ESMA is fully supportive of the ambition to set up the ESAP as it will increase investor trust in companies across the EU and lower the costs of capital. ESMA is ready to take up a central role in setting up and running the ESAP as suggested by the CMU High Level Forum and the European Parliament.”

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