AF Advisors’ consultant Alexander Hofstad published an article on PensioenPro about the Securities Financing Transactions Regulation. In the article, Alexander explains the content and the impact of the regulation.
The European Central Bank (ECB) is used to focus its attention on the regular banking sector. However, the crisis of 2008 forced the ECB to focus on shadow banking considering this posed a significant threat. This resulted in the Securities Financing Transactions Regulation (SFTR).
The complete regulation consists of 4 articles where the Reporting Obligation (article 4) carries the most weight. However, since the Article 4 is still pending, it is not receiving any priority by the parties involved.
Alexander states the other articles already require (or will require in the near future) preparation and even execution.
The full article in Dutch can be found here.