POLL: CMU’s greatest impact

Author: Tom Young | Published: 30 Oct 2015

The EC’s Capital Markets Union has been lauded by many. But which elements of its recently-published proposals will have the biggest effect?

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...