ANNEX I - Penalty rates applicable to settlement fails

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Type of fail

Rate

1.

Settlement fail due to a lack of shares that have a liquid market within the meaning of point (b) of Article 2(1)(17) of Regulation (EU) No 600/2014, excluding shares referred to in point 3 1,0 basis point

2.

Settlement fail due to a lack of shares that do not have a liquid market within the meaning of point (b) of Article 2(1)(17) of Regulation (EU) No 600/2014, excluding shares referred to in point 3

0,5 basis point

3.

Settlement fail due to a lack of financial instruments traded on SME growth markets, excluding debt instruments referred to in point 6

0,25 basis point

4.

Settlement fail due to a lack of debt instruments issued or guaranteed by:

(a)

a sovereign issuer as defined in Article 4(1)(60) of Directive 2014/65/EU;

(b)

a third country sovereign issuer;

(c)

a local government authority;

(d)

a central bank;

(e)

any multilateral development bank referred to in the second subparagraph of Article 117(1) and in 2013 of the European Parliament and of the Council

;

(f)

the European Financial Stability Facility or the European Stability Mechanism.

0,10 basis point

5.

Settlement fail due to a lack of debt instruments other than those referred to in points 4 and 6

0,20 basis point

6.

Settlement fail due to a lack of debt instruments traded on SME growth markets

0,15 basis point

7.

Settlement fail due to a lack of all other financial instruments not covered in points 1 to 6

0,5 basis point

8.

Settlement fail due to a lack of cash

Official interest rate for overnight credit charged by the central bank issuing the settlement currency with a floor of 0

Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012.# Table 1 in anx_1

Type of failRate
1.Settlement fail due to a lack of shares that have a liquid market within the meaning of point (b) of Article 2(1)(17) of Regulation (EU) No 600/2014, excluding shares referred to in point 31.
1.Settlement fail due to a lack of shares that have a liquid market within the meaning of point (b) of Article 2(1)(17) of Regulation (EU) No 600/2014, excluding shares referred to in point 3
2.Settlement fail due to a lack of shares that do not have a liquid market within the meaning of point (b) of Article 2(1)(17) of Regulation (EU) No 600/2014, excluding shares referred to in point 32.
2.Settlement fail due to a lack of shares that do not have a liquid market within the meaning of point (b) of Article 2(1)(17) of Regulation (EU) No 600/2014, excluding shares referred to in point 3
3.Settlement fail due to a lack of financial instruments traded on SME growth markets, excluding debt instruments referred to in point 63.
3.Settlement fail due to a lack of financial instruments traded on SME growth markets, excluding debt instruments referred to in point 6
4.Settlement fail due to a lack of debt instruments issued or guaranteed by:(a)a sovereign issuer as defined in Article 4(1)(60) of Directive 2014/65/EU;(b)a third country sovereign issuer;(c)a local government authority;(d)a central bank;(e)any multilateral development bank referred to in the second subparagraph of Article 117(1) and in Article 117(2) of Regulation (EU) No 575/2013 of the European Parliament and of the Council(1);(f)the European Financial Stability Facility or the European Stability Mechanism.4.
4.Settlement fail due to a lack of debt instruments issued or guaranteed by:(a)a sovereign issuer as defined in Article 4(1)(60) of Directive 2014/65/EU;(b)a third country sovereign issuer;(c)a local government authority;(d)a central bank;(e)any multilateral development bank referred to in the second subparagraph of Article 117(1) and in Article 117(2) of Regulation (EU) No 575/2013 of the European Parliament and of the Council(1);(f)the European Financial Stability Facility or the European Stability Mechanism.
(a)a sovereign issuer as defined in Article 4(1)(60) of Directive 2014/65/EU;
(b)a third country sovereign issuer;
(c)a local government authority;
(d)a central bank;
(e)any multilateral development bank referred to in the second subparagraph of Article 117(1) and in Article 117(2) of Regulation (EU) No 575/2013 of the European Parliament and of the Council(1);
(f)the European Financial Stability Facility or the European Stability Mechanism.
5.Settlement fail due to a lack of debt instruments other than those referred to in points 4 and 65.
5.Settlement fail due to a lack of debt instruments other than those referred to in points 4 and 6
6.Settlement fail due to a lack of debt instruments traded on SME growth markets6.
6.Settlement fail due to a lack of debt instruments traded on SME growth markets
7.Settlement fail due to a lack of all other financial instruments not covered in points 1 to 67.
7.Settlement fail due to a lack of all other financial instruments not covered in points 1 to 6
8.Settlement fail due to a lack of cash8.
8.Settlement fail due to a lack of cash

Table 2 in anx_1

1.Settlement fail due to a lack of shares that have a liquid market within the meaning of point (b) of Article 2(1)(17) of Regulation (EU) No 600/2014, excluding shares referred to in point 3

Table 3 in anx_1

2.Settlement fail due to a lack of shares that do not have a liquid market within the meaning of point (b) of Article 2(1)(17) of Regulation (EU) No 600/2014, excluding shares referred to in point 3

Table 4 in anx_1

3.Settlement fail due to a lack of financial instruments traded on SME growth markets, excluding debt instruments referred to in point 6

Table 5 in anx_1

4.Settlement fail due to a lack of debt instruments issued or guaranteed by:(a)a sovereign issuer as defined in Article 4(1)(60) of Directive 2014/65/EU;(b)a third country sovereign issuer;(c)a local government authority;(d)a central bank;(e)any multilateral development bank referred to in the second subparagraph of Article 117(1) and in Article 117(2) of Regulation (EU) No 575/2013 of the European Parliament and of the Council(1);(f)the European Financial Stability Facility or the European Stability Mechanism.(a)a sovereign issuer as defined in Article 4(1)(60) of Directive 2014/65/EU;(b)a third country sovereign issuer;(c)a local government authority;(d)a central bank;(e)any multilateral development bank referred to in the second subparagraph of Article 117(1) and in Article 117(2) of Regulation (EU) No 575/2013 of the European Parliament and of the Council(1);(f)the European Financial Stability Facility or the European Stability Mechanism.
(a)a sovereign issuer as defined in Article 4(1)(60) of Directive 2014/65/EU;
(b)a third country sovereign issuer;
(c)a local government authority;
(d)a central bank;
(e)any multilateral development bank referred to in the second subparagraph of Article 117(1) and in Article 117(2) of Regulation (EU) No 575/2013 of the European Parliament and of the Council(1);
(f)the European Financial Stability Facility or the European Stability Mechanism.

Table 6 in anx_1

(a)a sovereign issuer as defined in Article 4(1)(60) of Directive 2014/65/EU;

Table 7 in anx_1

(b)a third country sovereign issuer;

Table 8 in anx_1

(c)a local government authority;

Table 9 in anx_1

(d)a central bank;

Table 10 in anx_1

(e)any multilateral development bank referred to in the second subparagraph of Article 117(1) and in Article 117(2) of Regulation (EU) No 575/2013 of the European Parliament and of the Council(1);

Table 11 in anx_1

(f)the European Financial Stability Facility or the European Stability Mechanism.

Table 12 in anx_1

5.Settlement fail due to a lack of debt instruments other than those referred to in points 4 and 6

Table 13 in anx_1

6.Settlement fail due to a lack of debt instruments traded on SME growth markets

Table 14 in anx_1

7.Settlement fail due to a lack of all other financial instruments not covered in points 1 to 6

Table 15 in anx_1

8.Settlement fail due to a lack of cash