Domestic: Measures set to be implemented for Irish-authorised GBP-denominated liability driven investment.
European: The European Securities and Markets Authority published commentary on draft regulatory standard under the amended ELTIF Regulations and provided feedback to its call for evidence on shortening the settlement cycle along with data on exposures of AIFs to commercial real estate markets. The Financial Stability Board published a consultation report on liquidity preparedness for margin and collateral calls.
Cross-border notifications
New EU regulations are updating cross border notifications for AIFMs, AIFs, UCITS Management Companies and UCITS. They come into effect in April, June and July 2024 and are being implemented by the Central Bank of Ireland.
Macroprudential measures for Irish-authorised GBP-denominated LDI funds
The Central Bank of Ireland (CBI) announced the introduction of macroprudential measures for Irish-authorised GBP-denominated liability driven investment (LDI) funds. The measures will apply to AIFMs of AIFs that are domiciled in Ireland, authorised under domestic legislation. The CBI will also apply the measures to Irish authorised AIFs with non-Irish AIFMs under the relevant domestic funds legislation. The CBI is providing a three-month implementation period for existing funds as of 29 April.
ELTIF RTS
On 19 April 2024, ESMA published an opinion on draft regulatory technical standards (RTS) under the revised ELTIF Regulation (ELTIF 2.0) aiming at striking an appropriate balance between the protection of retail investors and financial stability objectives and the important contribution that ELTIFs should make to the capital market union objectives.
ESMA’s T+1 feedback report
ESMA published feedback received to its call for evidence on shortening the settlement cycle. ESMA intends to deliver its final assessment to the European Parliament and to the Council before 17 January 2025.
FSB consultation on NBFI liquidity measures for margin and collateral calls
The Financial Stability Board (FSB) published a consultation report on liquidity preparedness for margin and collateral calls. The report sets out eight proposed policy recommendations to enhance the liquidity preparedness of non-bank market participants for margin and collateral calls in centrally and non-centrally cleared derivatives and securities markets (including securities financing such as repo).
AIF exposures to commercial real estate
ESMA published data on exposures of AIFs to commercial real estate markets in the EU as of 31 December 2022.
For more information on these topics please contact any member of A&L Goodbody's Asset Management & Investment Funds team.
Date published: 21 May 2024
