Requirements in Commission Delegated Regulation (EU) 2016/1712

The requirements set out in Commission Delegated Regulation (EU) 2016/1712 apply to financial contacts as defined in Article 2(1)(100) of Directive 2014/59/EU (BRRD), which include various types of securities contracts, commodities contracts and swap agreements. These requirements are not limited to financial contracts resulting in a liability which could be subject to bail-in under resolution. Although the request of the resolution authority to transmit information on financial contracts pursuant to Article 2(2) of Commission Delegated Regulation (EU) 2016/1712 might be limited to certain types or categories of financial contracts, an institution which is required to maintain detailed records of financial contracts under Article 1 Commission Delegated Regulation (EU) 2016/1712 is obliged to retain on an ongoing basis the minimum set of information for each financial contract in its records pursuant to Article 2(1) of Commission Delegated Regulation (EU) 2016/1712. As to the format of submission of the information, the RTS does not specify a format for information submission. The relevant national authority or national legislation may, however, require submissions in a specific format. As for the further clarification requested on terms in Annex 1, it is observed that the record keeping timestamp under point 1 refers to the date the contract was entered into the record. As regards point 5, information of the ID of the counterparty needs to be provided. The counterparty in this context is the issuer of the instrument, which is information that should be available. For point 13, the business line for which the contract has been entered into (e.g. which is the beneficiary of the contract) should be provided. As regards point 14 it is observed that for the sake of completeness the value of the contract should be provided even if this information is already reported to a trade repository. Annex 1 point 1 of the Commission Delegated Regulation (EU) 2016/1712 explicitly refers to the “Date and time of record entry”.   *The answer was amended on 17/12/2019. The intitial first paragraph was deleted.