What changed, Regulation (EU) No 648/2012

− **2.** The register shall include:(a) the classes of OTC derivatives that are subject to the clearing obligation pursuant to Article 4;▼M13(b) the CCPs that are authorised in accordance with Article 17 or recognised in accordance with Article 25 and the date of authorisation or recognition respectiv…
− **2.** The college shall consist of:▼M13(a) the Chair or any of the independent members of the CCP Supervisory Committee referred to in points (a) and (b) of Article 24a(2);▼B(b) the CCP’s competent authority;▼M13(c) the competent authorities responsible for the supervision of the clearing members o…
− **2.** ESMA, after consulting the authorities referred to in paragraph 3, may recognise a CCP established in a third country that has applied for recognition to provide certain clearing services or activities where:(a) the Commission has adopted an implementing act in accordance with paragraph 6;(b)…
− **3.** When assessing whether the conditions referred to in points (a) to (d) of paragraph 2 are met, ESMA shall consult:▼B(a) the competent authority of a Member State in which the CCP provides or intends to provide clearing services and which has been selected by the CCP;(b) the competent authorit…
− **7.** ESMA shall establish effective cooperation arrangements with the relevant competent authorities of third countries whose legal and supervisory frameworks have been recognised as equivalent to this Regulation in accordance with paragraph 6. Such arrangements shall specify at least:(a) the mech…
− **2.** A CCP shall calculate the hypothetical capital (KCCP) as follows:where:EBRMi=exposure value before risk mitigation that is equal to the exposure value of the CCP to clearing member i arising from all the contracts and transactions with that clearing member, calculated without taking into acco…
− For the purposes of the calculation laid down in Article 50a(2), the following shall apply:
− (a) a CCP shall calculate the value of the exposures it has to its clearing members as follows: (i) for exposures arising from contracts and transactions listed in Article 301(1)(a) and (d) of Regulation (EU) No 575/2013 it shall calculate them in accordance with the mark-to-market method laid down …
− (b) for institutions that fall under the scope of Regulation (EU) No 575/2013 the netting sets are the same as those defined in Part Three, Title II of that Regulation;
− (c) when calculating the values referred to in point (a), the CCP shall subtract from its exposures the collateral posted by its clearing members, appropriately reduced by the supervisory volatility adjustments in accordance with the Financial Collateral Comprehensive Method specified in Article 224…
− (e) where a CCP has exposures to one or more CCPs it shall treat any such exposures as if they were exposures to clearing members and include any margin or pre-funded contributions received from those CCPs in the calculation of KCCP;
− (f) where a CCP has in place a binding contractual arrangement with its clearing members that allows it to use all or part of the initial margin received from its clearing members as if they were pre-funded contributions, the CCP shall consider that initial margin as prefunded contributions for the …
− (h) when applying the Mark-to-Market Method as set out in Article 274 of Regulation (EU) No 575/2013, a CCP shall replace the formula in point (c)(ii) of Article 298(1) of that Regulation with the following: where the numerator of NGR is calculated in accordance with Article 274(1) of that Regulatio…
− (i) where a CCP cannot calculate the value of NGR as set out in point (c)(ii) of Article 298(1) of Regulation (EU) No 575/2013, it shall: (i) notify those of its clearing members which are institutions and their competent authorities about its inability to calculate NGR and the reasons why it is una…
− (j) where, at the end of the period specified in point (ii) of point (i), the CCP would still be unable to calculate the value of NGR, it shall do the following: (i) stop calculating KCCP; (ii) notify those of its clearing members which are institutions and their competent authorities that it has st…
− (k) for the purpose of calculating the potential future exposure for options and swaptions in accordance with the Mark-to-Market Method specified in Article 274 of Regulation (EU) No 575/2013, a CCP shall multiply the notional amount of the contract by the absolute value of the option's delta (*δV*/…
− (l) where a CCP has more than one default fund, it shall carry out the calculation laid down in Article 50a(2) for each default fund separately.
− **1.** For the purposes of Article 308 of Regulation (EU) No 575/2013, a CCP shall report the following information to those of its clearing members which are institutions and to their competent authorities:(a) the hypothetical capital (KCCP);(b) the sum of pre-funded contributions (DFCM);(c) the am…
− (c) a CCP shall calculate the concentration factor (β) in accordance with the following formula: where: | PCEred,i | = | the reduced figure for potential future credit exposure for all contracts and transaction of a CCP with clearing member *i*; |
− | --- | --- | --- | | PCEred,1 | = | the reduced figure for potential future credit exposure for all contracts and transaction of a CCP with the clearing member that has the largest PCEred value; |
− | --- | --- | --- | | PCEred,2 | = | the reduced figure for potential future credit exposure for all contracts and transaction of a CCP with the clearing member that has the second largest PCEred value. |
− | --- | --- | --- |
− **5a.** Until 15 months after the date of entry into force of the latest of the regulatory technical standards referred to in Articles 16, 25, 26, 29, 34, 41, 42, 44, 45, 47 and 49, or until a decision is made under Article 14 on the authorisation of the CCP, whichever is earlier, that CCP shall app…
− Until 15 months after the date of entry into force of the latest of the regulatory technical standards referred to in Articles 16, 26, 29, 34, 41, 42, 44, 45, 47 and 49, or until a decision is made under Article 25 on the recognition of the CCP, whichever is earlier, that CCP shall apply the treatme…
− Until the deadlines defined in the first two subparagraphs of this paragraph, and subject to the fourth subparagraph of this paragraph, where a CCP neither has a default fund nor has in place a binding arrangement with its clearing members that allows it to use all or part of the initial margin rece…
− The deadlines referred to in the first and second subparagraphs of this paragraph may be extended by six months in accordance with a Commission implementing act adopted pursuant to Article 497(3) of Regulation (EU) No 575/2013.
+ **3a.** Without being obliged to contract, clearing members and clients which provide clearing services, whether directly or indirectly, shall provide those services under fair, reasonable, non-discriminatory and transparent commercial terms. Such clearing members and clients shall take all reasonab…
+ Clearing members and clients shall be permitted to control the risks related to the clearing services offered.
+ The Commission is empowered to adopt delegated acts in accordance with Article 82 to supplement this Regulation by specifying the conditions under which the commercial terms referred to in the first subparagraph of this paragraph are to be considered to be fair, reasonable, non-discriminatory and tr…
+ (a) fairness and transparency requirements with respect to fees, prices, discount policies and other general contractual terms and conditions regarding the price list, without prejudice to the confidentiality of contractual arrangements with individual counterparties;
+ (b) factors that constitute reasonable commercial terms to ensure unbiased and rational contractual arrangements;
+ (c) requirements that facilitate clearing services on a fair and non-discriminatory basis, having regard to related costs and risks, so that any differences in prices charged are proportionate to costs, risks and benefits; and
+ (d) risk control criteria for the clearing member or client related to the clearing services offered.
+ **2.** The register shall include:(a) the classes of OTC derivatives that are subject to the clearing obligation pursuant to Article 4;▼M14(b) the CCPs that are authorised in accordance with Article 17 or recognised in accordance with Article 25 and the date of authorisation or recognition respectiv…
+ **2.** The college shall consist of:▼M14(a) the Chair or any of the independent members of the CCP Supervisory Committee referred to in points (a) and (b) of Article 24a(2);▼B(b) the CCP’s competent authority;▼M14(c) the competent authorities responsible for the supervision of the clearing members o…
+ **2.** ESMA, after consulting the authorities referred to in paragraph 3, may recognise a CCP established in a third country that has applied for recognition to provide certain clearing services or activities where:(a) the Commission has adopted an implementing act in accordance with paragraph 6;(b)…
+ **3.** When assessing whether the conditions referred to in points (a) to (d) of paragraph 2 are met, ESMA shall consult:▼B(a) the competent authority of a Member State in which the CCP provides or intends to provide clearing services and which has been selected by the CCP;(b) the competent authorit…
+ **7.** ESMA shall establish effective cooperation arrangements with the relevant competent authorities of third countries whose legal and supervisory frameworks have been recognised as equivalent to this Regulation in accordance with paragraph 6. Such arrangements shall specify at least:(a) the mech…
+ **2.** A CCP shall calculate the hypothetical capital as follows:where:KCCP=the hypothetical capital;i=the index denoting the clearing member;EADi=the exposure amount of the CCP to clearing member i, including the clearing member's own transactions with the CCP, the client transactions guaranteed by…
+ For the purpose of calculating KCCP referred to in Article 50a(2), the following provisions shall apply:
+ (a) CCPs shall calculate the value of the exposures they have to their clearing members as follows: (i) for exposures arising from contracts and transactions listed in points (a) and (c) of Article 301(1) of Regulation (EU) No 575/2013, CCPs shall calculate the value in accordance with the method se…
+ | --- | --- | --- | | i | = | the index denoting the clearing member; |
+ | --- | --- | --- | | EBRMi | = | the exposure value before risk mitigation that is equal to the exposure value of the CCP to clearing member i arising from all the contracts and transactions with that clearing member, calculated without taking into account the collateral posted by that clearing mem…
+ | --- | --- | --- | | IMi | = | the initial margin posted with the CCP by clearing member i; |
+ | --- | --- | --- | | DFi | = | the pre-funded default fund contribution of clearing member i. |
+ | --- | --- | --- | All values in this formula shall relate to the valuation at the end of the day before the margin called on the final margin call of that day is exchanged; (iii) for situations referred to in the third sentence of the second subparagraph of Article 301(1) of Regulation (EU) No 575…
+ (b) for institutions that fall under the scope of Regulation (EU) No 575/2013 the netting sets are the same as those defined in point (4) of Article 272 of that Regulation;
+ (c) a CCP that has exposures to one or more CCPs shall treat those exposures as if they were exposures to clearing members and include any margin or pre-funded contributions received from those CCPs in the calculation of KCCP;
+ (d) a CCP that has in place a binding contractual arrangement with its clearing members that allows that CCP to use all or part of the initial margin received from its clearing members as if they were pre-funded contributions shall consider that initial margin as pre-funded contributions for the pur…
+ (e) where collateral is held against an account containing more than one of the types of contracts and transactions referred to in Article 301(1) of Regulation (EU) No 575/2013, CCPs shall allocate the initial margin provided by their clearing members or clients, as applicable, in proportion to the …
+ (f) CCPs that have more than one default fund shall carry out the calculation for each default fund separately;
+ (g) where a clearing member provides client clearing services, and the transactions and collateral of the clearing member's clients are held in sub-accounts which are separate from those of the clearing member's proprietary business, CCPs shall carry out the calculation of EADi for each sub-account …
+ (h) for the purposes of point (f), where DFi is not split between the clients' sub-accounts and the clearing member's proprietary business sub-accounts, CCPs shall allocate DFi per sub-account according to the respective fraction the initial margin of that sub-account has in relation to the total in…
+ (i) CCPs shall not carry out the calculation in accordance with Article 50a(2) where the default fund covers cash transactions only.
+ For the purposes of point (a)(ii) of this Article, the CCP shall use the method specified in Article 223 of Regulation (EU) No 575/2013 with supervisory volatility adjustments set out in Article 224 of that Regulation to calculate the exposure value.
+ **1.** For the purposes of Article 308 of Regulation (EU) No 575/2013, a CCP shall report the following information to those of its clearing members which are institutions and to their competent authorities:(a) the hypothetical capital (KCCP);(b) the sum of pre-funded contributions (DFCM);(c) the am…