ESAs recommendations for private securitisations
The European Supervisory Authorities published a Joint Committee Report on 17 May 2021 pursuant to Article 44 of the Securitisation Regulation (SECR) (EU) 2017/2402 as part of its revision. The Report includes a number of recommendations for consideration by the European Commission in the context of the upcoming review of the SECR.
Specifically, there are two recommendations that are noticeable for private ABS transactions:
- “The definition of private securitisations. The current definition of private securitisations is considered too far reaching on its associated disclosure requirements. A more precise legal definition for private securitisations should be specified in the level 1 text to clearly identify those private securitisations that should comply with the disclosure requirements.
- Reporting to a securitisation repository for private securitisations. The European Commission should specify in the level 1 text that, in the case of private securitisations that are required to comply with the disclosure requirements, reporting entities should also make this information available by means of a securitisation repository. Given the trend in increasing issuances of private securitisations and from a data quality perspective, this approach will ensure that the data submission to a securitisation repository for private securitisations is complete, consistent and subject to validation rules. From a supervisory perspective, this will also facilitate the supervision of the information for competent authorities.”
European DataWarehouse has already implemented a dedicated solution in EDITOR for private ABS deal reporting and a limited time offer is currently available for private ABS deals until EDW is authorised as a Securitisation Repository by ESMA.
Please contact the EDW team for more information by calling +49 (0) 69 50986 9017 or send an email to firstname.lastname@example.org.