in force 2024-07-09 INSERTED+1,601 −0§
Amended by Regulation (EU) 2024/1623 32024R1623
applies from: unknown (an inserted provision states its own application date only in prose)
A new Article 506e has been inserted, requiring EBA to submit a report to the Commission covering the conditions for portfolio guarantees to qualify as securitisation, the regulatory treatment applicable to such guarantees when they do not qualify as securitisation, the application of certain securitisation-related chapters when they do qualify, and the application of Article 234 to single guarantees leading to tranching.
The article further specifies matters EBA must assess within that report, including when portfolio guarantees give rise to a tranched transfer of risk, relevant eligibility criteria, and application of specified chapters, and states that the Commission may submit a legislative proposal based on that report.
Cited: Art. 506e, v2
text before / after
inserted text (02013R0575-20240709)
Article 506e Recognition of capped or floored unfunded credit protection 1. By 10 July 2026, EBA shall submit a report to the Commission on the following: (a) the conditions that guarantees featuring caps or floors determined at the level of a portfolio of exposures (portfolio guarantees) need to meet to qualify as a securitisation; (b) the regulatory treatment applicable under Part Three, Title II, Chapter 4, to portfolio guarantees where those do not qualify as a securitisation; (c) the application of the requirements set out in Part Three, Title II, Chapter 5, of this Regulation and in Chapter 2 of Regulation (EU) 2017/2402 for portfolio guarantees where those guarantees qualify as a securitisation; (d) the application of Article 234 for single guarantees that lead to tranching. 2. In the report referred to in paragraph 1, EBA shall assess in particular the following: (a) in relation to paragraph 1, point (a), the conditions under which portfolio guarantees give rise to a tranched transfer of risk; (b) in relation to paragraph 1, point (b): (i) the relevant eligibility criteria of portfolio guarantees under Part Three, Title II, Chapter 4; (ii) the application of the requirements set out in Part Three, Title II, Chapter 4; (c) in relation to paragraph 1, point (d), the application of the requirements set out in Chapter 2 of Regulation (EU) 2017/2402 and in Part Three, Title II, Chapter 5, of this Regulation. On the basis of that report, the Commission shall, where appropriate, submit to the European Parliament and to the Council a legislative proposal by 31 December 2027.