05 March 2021
The European Banking Authority (EBA) published today its final draft Implementing Technical Standards (ITS) on the supervisory reporting and disclosures of investment firms. These final draft ITS, which are part of the phase 1 mandates of the EBA roadmap on investment firms, will ensure a proportionate implementation of the new prudential framework for investment firms taking into account the different activities, sizes and complexity of investments firms.
The implementing technical standards included in this package set out the main aspects of the new reporting framework in relation to the calculation of own funds, levels of minimum capital, concentration risk, liquidity requirements and the level of activity in respect of small and non-interconnected investment firms.
The ITS propose a different set of templates to cover small and non-interconnected investment firms, and to include information that is proportionate to their size and complexity.
In addition, the ITS includes a standardised set of templates for the disclosures of own funds. The EBA is issuing a single set of standards with integrated Pillar 3 disclosures and supervisory reporting requirements and standardised formats and definitions with a view to improving consistency between reporting and disclosures requirements, which will facilitate compliance with both requirements.
The disclosure requirements will be applicable from 26 June 2021.
The first reporting reference date is September 2021 (for quarterly reports) and December 2021 (for annual reports).
The EBA has developed these draft ITS according to Article 54(3) and Article 49(2) of the IFR - (EU) 2019/2033 - which mandates the EBA to develop a reporting framework and a disclosure requirements for investment firms.
The Investment Firms Prudential Package consists of the Directive (EU) 2019/2034 and the Regulation (EU) 2019/2033, which were published in the Official Journal on 5 December 2019 and establish a new prudential framework for investment firms authorised under MIFID