The EC’s Capital Markets Union has
been lauded by many. But which elements of its
recently-published proposals will have the biggest
|Which area of the CMU action
plan will have the biggest impact?
On September 30 the European Commission (EC) put meat on the
bones of its well-regarded, but hitherto vague, Capital Markets
Union (CMU). In publishing its action plan, the EC finally
clarified the areas of the capital markets it seeks to grow,
and offered initial outlines as to how it plans to do it.
Measures including a regulation setting out the criteria for
simple, transparent and standardised (STS) securitisation, and
a proposal to amend the Capital Requirements Regulation (CRR)
to provide capital relief to banks issuing, and investment
firms holding, STS notes are both noteworthy. The EC also
published an adjustment to the Solvency II delegated
regulation, to make it easier for insurers to invest in...