in force 2019-01-01 MODIFIED+14 −18§
Amended by Regulation (EU) 2017/2402 32017R2402 · Regulation (EU) No 462/2013 32013R0462
applies from: unchanged
In paragraph 4, the phrase describing the credit rating market the Commission must review was changed from referring to structured finance instruments to referring to securitisation instruments.
The rest of the provision, including all other paragraphs and reporting deadlines, remains the same in both versions.
Cited: Art. 39, v2 · Art. 39, v1
text before / after
02009R1060-20150621 → 02009R1060-20190101
Article 39
Reports
1. By 7 December 2012, the Commission shall make an assessment of the application of this Regulation, including an assessment of the reliance on credit ratings in the Community, the impact on the level of concentration in the credit rating market, the cost and benefit of impacts of the Regulation and of the appropriateness of the remuneration of the credit rating agency by the rated entity (issuer-pays model), and submit a report thereon to the European Parliament and the Council.
2. By 7 December 2010, the Commission shall, in the light of discussions with the competent authorities, assess the application of Title III of this Regulation, in particular of the cooperation of the competent authorities, the legal status of CESR and supervisory practices. The Commission shall present a report on those matters to the European Parliament and to the Council, accompanied, where appropriate, by proposals for a review of that Title.
That report shall include a reference to the Commission proposal of 12 November 2008 for a regulation on credit rating agencies and to the report of the Committee on Economic and Monetary Affairs of the European Parliament of 23 March 2009 relating to that proposal.
3. By 1 July 2011, the Commission shall, in the light of developments in the regulatory and supervisory framework for credit rating agencies in third countries, present a report to the European Parliament and to the Council concerning the effects of those developments and of the transitional provisions referred to in Article 40 on the stability of financial markets in the Union.
4. The Commission shall, after obtaining technical advice from ESMA, review the situation in the credit rating market for structured finance securitisation instruments, in particular the credit rating market for re-securitisations. Following that review, the Commission shall, by 1 July 2016, submit a report to the European Parliament and to the Council, accompanied by a legislative proposal if appropriate, assessing, in particular:
(a) the availability of sufficient choice in order to comply with the requirements set out in Articles 6b and 8c;
(b) whether it is appropriate to shorten or extend the maximum duration of the contractual relationship referred to in Article 6b(1) and the minimum period before the credit rating agency may re-enter into a contract with an issuer or a related third party for the issuing of credit ratings on re-securitisations referred to in Article 6b(3);
(c) whether it is appropriate to amend the exemption referred to in the second subparagraph of Article 6b(2).
5. The Commission shall, after obtaining technical advice from ESMA, review the situation in the credit rating market. Following that review, the Commission shall, by 1 January 2016, submit a report to the European Parliament and to the Council, accompanied by a legislative proposal if appropriate, assessing, in particular:
(a) whether there is a need to extend the scope of the obligations referred to in Article 8b to include any other financial credit products;
(b) whether the requirements referred to in Articles 6, 6a and 7 have sufficiently mitigated conflicts of interest;
(c) whether the scope of the rotation mechanism referred to in Article 6b should be extended to other asset classes and whether it is appropriate to use differentiated lengths of periods across asset classes;
(d) the appropriateness of existing and alternative remuneration models;
(e) whether there is a need to implement other measures to foster competition in the credit rating market;
(f) the appropriateness of additional initiatives to promote competition in the credit rating market against the background of the evolution of the structure of the sector;
(g) whether there is a need to propose measures to address contractual over-reliance on credit ratings;
(h) the market concentration levels, the risks arising from high concentration, and the impact on the overall stability of the financial sector.
6. The Commission shall, at least annually, inform the European Parliament and the Council of any new equivalence decisions referred to in Article 5(6) that have been adopted during the reporting period.