Luxembourg’s financial supervisor CSSF on Thursday published an update to its Reporting Handbook for investment firms. The update integrates the latest version of the reporting framework designed in recent years by the European Banking Authority and introduces a module for threshold monitoring.
As part of its mandate, CSSF will be monitoring the threshold requirements of financial institutions in 2023. Specifically, the supervisor will be looking at the collateral concentration threshold of financial institutions and also monitoring their processes and activities related to loss threshold monitoring, reporting, etc. All financial institutions must comply with the CSSF›s regulations in order to avoid any penalties or sanctions.
Templates
The European Banking Authority in recent years has developed a set of templates in order to assist competent authorities in the verification of the information mentioned above. The templates are now being integrated into the reporting by investment firms subject to CSSF supervision.
In addition, the CSSF said its Reporting Handbook introduces a new requirement for the submission of a final version for certain European reporting tables.
As part of the EU’s financial risk reduction package, the banking authority in recent years defined tools to monitor financial thresholds of financial institutions. The template is intended to provide insights into the size of institutions’ trading books and the volume of their business subject to market risk. The additional risk monitoring requirements have been introduced gradually in recent years.
Related articles on Investment Officer Luxembourg:
- ABBL, CSSF agree modernisation of banking supervision
- CSSF orders foreign branches to report AML setup
- CSSF says SFDR thresholds imply ‘binding commitments’