Key Benefits:
Publics concerned: credit institutions, financing companies, investment companies outside portfolio management companies, holding financial companies, parent financing companies, joint holding company.
Purpose: Consolidated prudential monitoring.
Entry into force: this order will enter into force on the day after the date of its publication.
Notice: this draft decision, taken on the basis of theArticle L. 613-20-1 of the Monetary and Financial Coderepeals the bulk of the Banking and Financial Regulation Committee regulation 2000-03 of 6 September 2000 relating to consolidated prudential surveillance and supplementary monitoring. The latter's provisions on consolidated monitoring have become obsolete since the entry into force of Regulation (EU) No. 575/2013 of 26 June 2013. The provisions on the supplementary monitoring of financial conglomerates are now contained in the November 3, 2014 decision on prudential oversight of financial conglomerates.
This draft decision, composed of eight articles, takes up only two sets of provisions of the current Regulation No. 2000-03, i.e. provisions relating to the definition of a consolidating entity within the mutualist groups, on the one hand, and the provisions necessary for the transfer of Article 111 of Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 concerning the prudential requirements of Part IV institutions
References: the provisions of this Order are available on the website Légifrance (http://www.legifrance.gouv.fr).
Minister of Finance and Public Accounts,
Having regard to Directive 2013/36/EU of the European Parliament and the Council of 26 June 2013 on access to the activity of credit institutions and prudential supervision of credit institutions and investment companies amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC;
Having regard to Regulation (EU) No. 575/2013 of the European Parliament and of the Council of 26 June 2013 concerning prudential requirements for credit institutions and investment companies and amending Regulation (EU) No. 648/2012;
Vu le monetary and financial codeincluding articles L. 611-7 and L. 613-20-1;
In view of the advisory committee on financial legislation and regulations dated 8 October 2014;
Considering the advice of the National Standards Assessment Board dated 10 October 2014;
Considering the opinion of the Autorité des marchés financiers dated 14 October 2014,
Stop it!
Are subject to the provisions of this Order:
1° Credit institutions within the meaning of I of Article L.511-1 of the Monetary and Financial Code ;
2° Finance companies within the meaning of Article II;
3° Investment companies within the meaning of Article L. 531-4, other than portfolio management companies within the meaning of Article L. 532-9;
4° The holding financial companies within the meaning of Article L. 517-1;
5° The joint holding financial companies within the meaning of Article L. 517-4;
6° Parents of a financing company within the meaning of Article L. 517-1.
Networks of credit institutions with a central organ, within the meaning of theArticle L. 511-30 of the monetary and financial code, define within them, after agreement of the Authority of prudential control and resolution, a consolidating entity.
However, where the evolution of the network structure justifies it with respect to the objectives of the consolidated prudential monitoring, the Authority may decide that this monitoring is exercised on another entity of the same network.
When the parent company of a credit or investment company, other than a portfolio management company, under the control of the Autorité de contrôle prudentiel et de résolution, is a holding financial company or a joint holding financial company having its head office in a Member State of the European Union or party to the agreement on the European Economic Area, other than France, the prudential and consolidated monitoring is exercised by the Autorité de
The holding financial companies, the parent companies of the financing company and the joint holding financial companies with their head office in France are subject to the consolidated monitoring of the Autorité de contrôle prudentiel et de résolution when they have a registered subsidiary, in France, as a credit institution, financing company or investment company, other than a portfolio management company.
When a holding financial company or a joint holding financial company, having its head office in a Member State of the European Union or part of the agreement on the European Economic Area, other than France, has no registered affiliate as a credit institution or an investment company, other than a portfolio management company, in that State but has one in France, it is subject to the prudential supervision of the company
When credit institutions approved in more than one Member State of the European Union or party to the agreement on the European Economic Area have for parent companies several financial companies holding or joint holding financial companies having their seats in Member States of the European Union or party to the agreement on the European Economic Area different and that each of these States receives at least one of these credit institutions, the monitoring on a consolidated basis is exercised by the competent authorities
The Regulation of the Banking and Financial Regulation Committee No. 2000-03 of 6 September 2000 on Consolidated Supervision and Supplementary Monitoring is repealed.
The present order will be issued in the Official Journal of the French Republic.
Done on November 3, 2014.
Michel Sapin
