Transparency of securities financing transactions


Transparency of securities financing transactions

Council agrees transparency rules

The Council of the European Union agrees on transparency rules regarding Securities Financing Transactions on 20 November 2014 Securities Financing Transactions: Council agrees transparency rules, the Commission presented its proposal in January 2014.
The aim of this draft regulation is to enhance financial stability by ensuring that information on so-called securities financing transactions is efficiently reported to trade repositories and investors in collective investment undertakings.
Improved transparency would prevent financial intermediaries, including banks, attempting to circumvent regulation by shifting parts of their activities to the less-regulated shadow Banking Sector.

The draft regulation introduces measures to improve transparency:

  • the monitoring of the build-up of systemic risks
  • the disclosure of information
  • rehypothecation activities

For more information please read more in our Deloitte regulatory news alert : EU proposal to bring transparency to SFTs 

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