The Eurofi High Level Seminar 2014

Organised in association with the Greek EU Presidency

Combining resilience and growthAthens

31 March & 1 April 2014

Draft agenda13.11.2013

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•Dates of the Seminar- 31 March (starting at 8:00 am) and 1 April 2014 (ending at 13:00) on the eve of the informal ECOFIN

- Gala dinner on the 31 March

•Venue - Venue of the seminar and gala dinner: Hilton hotel in Athens city centre (to be confirmed)

- Rooms will be pre-booked by Eurofi at the Athens Hilton for the speakers and delegates of the seminar

- Welcome reception for the speakers on 30 March evening (to be confirmed)

•Format- Event targeting an audience of around 250 / 300 invited delegates (public and industry representatives and stakeholders from all over Europe, from international organisations and from the Greek market), in addition to around 100 speakers from the industry and the authorities- Roundtable discussions involving 10 to 12 representative speakers from the public authorities and the financial industry (members and partners of Eurofi), introduced by 2 or 3 speeches - Chatham House rules - No press as a general rule

Eurofi High Level Seminar 2014 - AthensDates, venue and format

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9:15 - 10:45

11:00 - 12:30

8:30 - 9:00

14:00 - 15:30

15:30 - 17:00

20:00 - 21:00

21:00– 22:30

17:00 - 18:30

18:45 – 20:00

12:30 - 13:00

Monday 31 March 2014

COCKTAIL

GALA DINNERKeynote speeches: Achieving an effective economic and monetary union

Opening speeches:Main priorities of the Greek EU Presidency in the financial area

(Greek Finance minister, Central Bank governor, President Securities Commission)

BUFFET LUNCH

Expected impacts of Financial Market Infrastructure regulations

and remaining issues (post-trading and payments)

REGISTRATIONS

Expected evolutions of financial mechanisms (bank and market intermediated) and of the competitiveness of the financial system following

on-going reforms

Proposals for regulating MMFs and addressing shadow banking risks

Exchange of views: Taking stock of the on-going regulatory achievements in the EU (MEP, EU Commission,, lead sponsor)

Pending issues regarding banking reforms (NSFR, leverage ratio, RWA, bank structure…)

Tuesday 1 April 2014

Regulation of financial benchmarks

Implementing the Banking Union (AQR, backstop, SSM) and the

SRM

8:00 – 8:30 Exchange of views with members of the Eurogroup and ECB

Regulation of systematically important insurers and pending

issues regarding Solvency II implementation Cross-border implementation and global consistency of regulatory

requirements (OTC derivatives, banks, insurance)

Closing remarks

Exchange of views: Economic trends (macro and business) in an evolving economic and monetary union (ECB, EU Commission, incoming EU

Presidencies, lead sponsor)

Impressions of the day (J. de Larosière)

Proposals for implementing complementary market-based

financing mechanisms for EU SMEs and mid-sized enterprises

Key priorities for the forthcoming EU Commission in terms of regulatory approach and topics

18:30 - 18:45

Eurofi High Level Seminar 2014 - AthensOverall agenda - Draft

Encouraging long term investment in the EU following the proposals

of the EU Commission

Addressing collateral mobilisation and

rehypothecation challenges

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8:30 - 9:00

8:00 – 8:30

Opening speeches:Main priorities of the Greek EU Presidency in the financial area

REGISTRATIONS

9:15 - 10:45

11:00 - 12:30

12:30 - 13:00

Expected impacts of Financial Market Infrastructure regulations and remaining issues (post-trading and

payments)

• Pending issues regarding the implementation of T2S and the CSD Regulation (e.g. Level of harmonisation of rules, settlement discipline, evolution of activities and business models...)

• Likely outcome of the reforms underway in the post-trading area in terms of safety and efficiency

• Prospects of a recovery and resolution framework for FMIs (delineation with existing mechanisms, modalities of R&R tools, resolution authorities...)

• Issues regarding the Payment Services Directive: profitability of payment systems, stimulation of innovation, harmonisation of regulations...

Expected evolutions of financial mechanisms and of the competitiveness of the EU financial system following on-going reforms

• Anticipated evolutions of bank and market intermediated credit in the EU with the implementation of on-going financial reforms: magnitude of the evolution over time, evolution of the activities of banks, expected role of securitisation...Level of visibility of the end-game in the EU

• Possible differences in the evolution of the financial sector following Basel III reforms between the EU and other regions (US, Asia...)

• Expected impacts of these evolutions in terms of competitiveness of the EU financial system and possible transfers of risks from banks to end-users

• Possible benefits and concerns of these evolutions for different economic agents (households, enterprises, states, financial intermediaries...) in terms of costs, risks and access to finance

Exchange of views: Taking stock of the on-going regulatory achievements in the EU • Were the measures put in place following the financial crisis appropriate? Was the speed of reaction sufficient? Can future crises

be better anticipated and managed?• Are the cumulative impacts of the different regulations well evaluated? Is there an appropriate balance between measures to

foster resilience and growth? What are the impacts of the reforms under way on the competitiveness of the EU financial system?

BUFFET LUNCH

Regulation of systematically important insurers and pending issues regarding Solvency II implementation

• Short term challenges in the implementation of Solvency II• Towards a global prudential framework for insurance

companies: key challenges and priorities• Recovery and Resolution Plans and Systemic Risk Management

Plan: how to take into account insurers’ specificities at the global level?

Eurofi High Level Seminar 2014 – 31 March morningMain topics

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14:00 - 15:30

15:30 - 17:00

20:00 - 21:00

21:00 – 22:30

18:30 - 19:00

19:00 - 20:00

17:00 – 18:30

COCKTAIL

GALA DINNERKeynote speeches: Achieving an effective economic and monetary union

Exchange of views: Economic trends (macro and business) in an evolving economic and monetary union• Economic outlook for Europe, expected impacts of the economic reforms under way at the EU and member state levels (monetary policy, economic

governance, fiscal and structural reforms...).• Evolving role of financial services in assisting the economy and remaining challenges in defining appropriate financial regulation. Balance in

financial regulation between policies for ensuring resilience and for fostering growth. Balance in the regulatory incentives between the financing of government budgets and the direct financing of economic players

Impressions of the dayJ. de Larosière

Regulation of financial benchmarks• Possible issues raised by the EU legislative proposal to regulate

benchmarks (e.g. Scope of benchmarks covered, 3rd country equivalence, proportionality ..) and options to be considered.

• Expected impacts (benefits / concerns) of the EU proposal for end-investors and the financial markets in terms of restoring confidence, investor protection, costs, innovation...

• Interactions with other requirements (MiFID, MAD, Remit) and governance rules

Pending issues regarding banking reforms

• Main pending issues regarding the banking reforms under way: NSFR, leverage ratio, harmonisation of RWA, concentration of risks, risk weights for sovereigns, trading book review. Main issues to be addressed and possible improvements to the calibration of these requirements. Ways to take into account EU financing specificities (e.g. loans remaining on the balance sheets of banks...) in the definition and calibration of these regulations.

• Possible mechanisms that could be used to free up existing capital in order to increase bank lending capacities• Prospects of an EU banking structure reform proposal: expected impacts (e.g. contribution of banking structure reforms to their resolvability), interactions with existing

domestic rules...

Implementing the Banking Union and the SRM

• Overview of the market perception of EU banks following the publication of annual results

• Main challenges and key success factors of the AQR and the EU stress test

• Handling possible shortfalls unveiled by the AQR and stress test• Remaining issues regarding the Single Resolution Mechanism

Proposals for regulating MMFs and addressing shadow banking risks

MMFs• Follow-up of discussions on capital buffers and sponsor support prohibition

for CNAV funds and the limitation of the type of operations MMFs may engage in

• Regulatory developments outside the EU and possible differences with EU proposals

Shadow banking• Short and medium term priorities to mitigate shadow banking risks

following the EU Commission’s communication e.g. transparency, investment fund framework, securities law, supervisory framework, resolution tools, indirect approach through prudential requirements...

Eurofi High Level Seminar 2014 – 31 March afternoonMain topics

Encouraging long term investment in the EU following the proposals of the EU Commission

• Outcome of the consultation process on the Green paper of the EU Commission

• Priorities for t he new Commission • Combining the liquidity needs of retail savers and long term

investment: possible role for public institutions• Lessons drawn from recent initiatives (e.g. Bank/insurer

partnerships, infrastructure funds launched by asset managers, project bond initiative, long term investment fund)

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8:30 - 10:00

11:30 - 13:00

13:00 - 13:15

8:00 – 8:25

Cross-border implementation and global consistency of regulatory requirements (OTC derivatives, banks, insurance)• Follow-up on the progress made in the implementation of the G20 commitments• Pending issues regarding the cross-border implementation of OTC derivatives rules. Proposals for improving cooperation among

market regulators and the synchronisation of implementation• Implications of differing banking rules across regions and possible solutions• Recovery and resolution of cross-border banks: amount and location of loss absorbing debt, ways to improve effective cooperation

between supervisors…• Actions required for developing a better understanding and monitoring the global financial system: availability of data, view of the

shadow banking sector…

Closing remarks

Exchange of views with members of the Eurogroup

10:00 - 11:30

Proposals for implementing complementary market-based financing mechanisms for EU SMEs and mid-sized

enterprises • Overall priorities to be favoured for financing SMEs and

midcaps• Tools and frameworks required for implementing the

appropriate market mechanisms to complete and diversify the financing of EU SMEs and midcaps (EU private placement regime, equity financing, LTIF,...). Possible additional sources (crowdfunding, supply chain financing...)

• Modalities for reviving sound securitisation (standards, framework...)

• Actions required to improve credit assessment and access to information and the definition / segmentation of enterprises

• Expected impact on the financing ability and costs of EU SMEs and mid-sized companies

Key priorities for the forthcoming EU Commission in terms of regulatory approach and topics • Main policy priorities and possible trade-offs regarding safety and stability, competition, cost efficiency, competitiveness of the EU,

single market, investor protection, corporate governance...• Main topics to be completed or addressed by the forthcoming Commission regarding the overall financial system and in the

banking, pension, insurance and market sectors• Possible evolutions needed in the EU regulatory approach: e.g. more holistic approach, more detailed evaluation of the cumulative

effect of regulations, better articulation between Level I rules and implementation measures, role of ESAs in policy-making and enforcement, early detection of legislative approaches required at EU level to avoid heterogeneous domestic initiatives potentially hindering the single market...

• Modalities to appropriately express EU objectives and specificities in the global organisations (Basel committees, IOSCO, FSB….)

Eurofi High Level Seminar 2014 – 1 April morningMain topics

Addressing collateral mobilisation and rehypothecation challenges

• Update on collateral management trends in the context of the on-going reforms and the main challenges posed by access to collateral at the EU and global levels and the reuse / rehypothecation of collateral

• Priorities for addressing collateral management challenges in the EU and globally: expected contribution of T2S and industry solutions for mobilising collateral, role of the public vs the private sector

• Possible content and structure of an EU securities law to mitigate collateral reuse issues

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9:15 - 10:45

11:00 - 12:30

8:30 - 9:00

12:30 - 13:00

8:00 – 8:30

Opening speeches:Main priorities of the Greek EU Presidency in the financial area

Greek Finance minister, Central Bank governor, President Securities Commission

Expected impacts of Financial Market Infrastructure regulations and remaining issues (post-trading and

payments)

Chair: P. Pearson (EU Commission)Introductory remarks:Industry: DTCC, BONY, Swift, Western Union, BofA, Euroclear,

Deutshe BôrsePublic Authorities: ESMA, ECB ( B. Coeuré), EU

Commission ( P. Pearson), MEP ( K. Swinburne), Bundesbank

REGISTRATIONS

Expected evolutions of financial mechanisms and of the competitiveness of the EU financial system following on-going reforms

Chair: E. König (BAFIN)Introductory remarks: Industry: Société Générale, AXA, Deutsche Bank, Banco Santander, FidelityPublic Authorities: EBA, ESMA, EIOPA, EU Commission

Exchange of views: Ensuring the financing of the EU economy in the new post-crisis prudential and regulatory context

EU Commission (J. Faull), US regulator, Credit Agricole

BUFFET LUNCH

Regulation of systematically important insurers and pending issues regarding Solvency II implementation

Chair: M. Nava (EU Commission)Introductory remarks:Industry: AXA, Allianz, Generali, MetlifePublic Authorities: IAIS (Y. Kawai), US FED, EU Commission,

EIOPA, MEP ( B. Balz)

13:00 - 14:00

Eurofi High Level Seminar 2014 – 31 March morningSpeakers

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14:00 - 15:30

15:30 - 17:00

20:00 - 21:00

21:00 – 22:30

18:30 - 18:45

18:45 - 20:00

17:00 – 18:30

COCKTAIL

GALA DINNERAchieving an effective economic and monetary union

Keynote speeches: Ch. Lagarde

Exchange of views: Economic trends (macro and business) in an evolving economic and monetary union

Chair: Jacques de LarosièreAuthorities: ECB, Italian and Latvian Authorities (Finance Minister or Central Bank Governor)Industry: Goldman Sachs

Impressions of the dayJ. de Larosière

Regulation of financial benchmarks

Chair: M. Wheatley (FCA)Industry: Euronext, S&P, bank, State StreetPublic Authorities: IOSCO, EU Commission, BAFIN

Pending issues regarding banking prudential requirements (NSFR, leverage ratio, RWA, bank structure)

Chair: Industry: BNP Paribas, BBVA, Moody’s, Deutsche Bank, Nykredit, PWCPublic Authorities: BCBS (W. Byrnes), EBA (A. Enria), EU Commission (M. Nava), US regulator, Bundesbank, P. Callesen

Restoring confidence in the EU banking system: AQR, backstop, SRM, structural reforms

Chair: M. Nava (EU Commission)Introductory remarks:Industry: Unicredit, La Caixa, DSGV, KPMGPublic Authorities : ECB (Y Mersch), ESM (K. Regling), MEP ( E.

Ferreira)

Proposals for regulating MMFs and addressing shadow banking risks

Chair: D Wright (IOSCO)Introductory remarks: Industry: Amundi Blackrock , BNY Mellon, BNP Paribas IP Public Authorties : EU Commission, ESMA , Hellenic Capital

Market Commission, Consob, SECUser

Recovery and resolution of cross-border banks and FMIs

Chair:Introductory remarks:Industry: BNP Paribas, JP Morgan, Deutsche Bank, DTCC, UBS,

ICEPublic Authorties : FSB, FDIC, EU Commission, EBA, IADGS (J.

Pruski)Expert: P. Tucker

Eurofi High Level Seminar 2014 – 31 March afternoonSpeakers

Encouraging long term investment in the EU following the proposals of the EU Commission

Chair: Introductory remarks:Industry: EIB, CDC, CdP, CNP Assurances, JP MorganPublic Authorities : EU Commission,

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8:30 - 10:00

11:30 - 13:00

13:00 - 13:15

8:00 – 8:25

Cross-border implementation and global consistency of OTC derivatives and Basel III requirements

Chair: Introductory remarks: Industry: Credit SuissePublic Authorities: IOSCO, HK SFC, CFTC, SEC

Closing remarks

Exchange of views with members of the Eurogroup

10:00 - 11:30

Proposals for ensuring an appropriate financing of EU corporates and midcaps in the short and medium term

Chair: W. Klinz (MEP)Introductory remarks:Industry: EIB, Hellenic Stock Exchange, BPCE, Public Authorities :

Key priorities for the forthcoming EU Commission in terms of regulatory approach and topics

Chair: Introductory remarks:Industry: BofA, Blackrock, Goldman Sachs, HSBC, Public Authorities:

Eurofi High Level Seminar 2014 – 1 April morningSpeakers

Addressing collateral management challenges

Chair:Introductory remarks:Industry: JPMorgan, Euroclear, Deutsche BörsePublic Authorities : ECB, EU Commission, IMF, IOSCO

Main activitiesThe main objectives of Eurofi are to help industry and public decision-makers reach a common understanding of possible evolutions required in the regulation and supervision of financial services and to open the way to legislative or industry-driven solutions that may enhance the safety and effectiveness of the EU financial sector.Eurofi acts in a general interest perspective, facilitating exchanges of views between diverse financial industry players and the public authorities. These exchanges are prepared by objective fact finding and issue analyses.

Eurofi has two main types of activities conducted by Didier Cahen, Secretary General of Eurofi, Jean-Marie Andrès and Marc Truchet, Senior Fellows:

Events and meetings: Eurofi organizes annually two major international events (the High Level

Seminar in March / April and the Financial Forum in September) gathering together industry leaders and EU and non-EU public decision makers for discussions on the major on-going regulatory projects in the financial area, as well as informal networking.

These events have been organised in recent years in association with the EU or G20 Presidencies in parallel with informal ECOFIN councils or G20 Finance Ministers meetings. They are organised with the support of Christian Hawkins and his team.

Additional workshops involving the members of Eurofi are set up to exchange views on regulatory issues. Bilateral meetings are also regularly organised with representatives of the public authorities and other stakeholders (e.g. end-users, experts) to fine-tune assessments and proposals.

Research and documentation: Assessments and proposals taking into account economic, risk and end-user impacts are

prepared with the support of cross-sectoral working groups comprising members of Eurofi. Topics addressed include prospective and on-going regulatory proposals at the EU and global

levels, as well as industry trends.

Main topics currently addressed Challenges posed by the deleveraging process and the present monetary context Current evolutions of the prudential and regulatory framework of banks and

insurance companies: proposals for an EU banking union, fine-tuning of banking and insurance prudential frameworks (liquidity provisions, RWA evaluations, Solvency II), structural reforms of the banking sector,  recovery and resolution framework of banks and non-banks,  regulation of shadow banking

Capital markets and investment products regulations: regulation of securities, derivatives and commodities markets and infrastructures (MiFID review, CSD regulation, EMIR, recovery and resolution), collateral rules and Securities Law Legislation (SLL), asset management regulations (AIFMD, UCITS, MMFs…), investor protection regulation (PRIPs, MiFID, IMD…) and fund depositary rules (UCITS V)

Developing a long term investment perspective and ensuring an appropriate financing of the EU economy: proposals for enhancing the financing of infrastructure projects and for further diversifying the financing of EU corporates and midcaps

The global consistency of financial regulations and the implementation of G20 commitments

Optimizing the EU financial services internal market: addressing the increasing fragmentation of EU financial activities prompted by the crisis, conditions for enabling a sustainable SEPA business case, review of the IORP directive, regulation of CRAs…

 

A not-for-profit organization created in 2000 chaired by Jacques de Larosière A platform for exchanges between the financial services industry and the public authorities addressing issues related to the evolution of financial

regulation and supervision

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