In the last weeks, the Commission de Surveillance du Secteur Financier (CSSF) has published two press releases regarding the notifications by Financial (FC) and Non-Financial Counterparties (NFC) exceeding the clearing threshold.
In its first press release 19/21 of 14 June 2019, the CSSF informs market participants about the procedures with regards to the new clearing thresholds introduced by the Regulation (EU) 2019/834 (EMIR REFIT). Both, FC and NFC, are generally required to perform this calculation on a yearly basis. This year, the CSSF must be informed if one of the clearing thresholds is breached upon entry into force of the EMIR REFIT. Where no calculation is performed, the CSSF must be notified as well. Following this notification, FC are required to clear all products in scope of the clearing obligation, while NFC are only required to clear those products for which asset class they have exceeded the threshold.
In addition, the CSSF took the opportunity to promote a new standalone form for entities established in Luxembourg to request for a reporting exemption for certain intragroup derivative contracts with an NFC.
In its second press release 19/27 of 27 June 2019, the CSSF announces the implementation of a dedicated interactive form to simplify the notifications by FC and NFC exceeding the clearing threshold or choosing not to calculate the threshold. This new tool is available now, but entities having already provided their notifications to the CSSF via email prior to 27 June 2019 are not required to resubmit their notification.
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