2018R1229 - Summary

COMMISSION DELEGATED REGULATION (EU) 2018/1229 of 25 May 2018 supplementing Regulation (EU) No 909/2014 of the European Parliament and of the Council with regard to regulatory technical standards on settlement discipline (Text with EEA relevance)

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🇫🇷 French Version: 2018R1229_FR.0. Open the PDF. Direct link to EUR-LEX.

CHAPTER I - General

Article 1 - Definitions

CHAPTER II - Measures to prevent settlement fails

Article 2 - Measures concerning professional clients
Article 3 - Measures concerning retail clients
Article 4 - Settlement facilitation and processing
Article 5 - Matching and population of settlement instructions
Article 6 - Tolerance levels
Article 7 - Cancellation facility
Article 8 - Hold and release mechanism
Article 9 - Recycling
Article 10 - Partial settlement
Article 11 - Additional facilities and information
Article 12 - Derogation from certain measures to prevent settlement fails

CHAPTER III - Measures to address settlement fails

Section I - Monitoring settlement fails

Article 13 - Details of the system monitoring settlement fails
Article 14 - Reporting settlement fails
Article 15 - Public disclosure on settlement fails

Section 2 - Cash penalties

Article 16 - Calculation and application of cash penalties
Article 17 - Collection and distribution of cash penalties
Article 18 - Costs of the penalty mechanism
Article 19 - Penalty mechanism for settlement fails relating to cleared transactions submitted by CCPs for settlement
Article 20 - CSDs that use a common settlement infrastructure

Section 3 - Details of the buy-in process

Sub-section 1 - General

Article 21 - Buy-in not possible
Article 22 - Ineffective buy-in process
Article 23 - Application of partial settlement
Article 24 - Buy-in agent
Article 25 - Contractual arrangements and procedures

Sub-section 2 - Buy-in process for transactions cleared by a CCP

Article 26 - Initial verification
Article 27 - Buy-in procedure and notifications

Sub-section 3 - Buy-in process for transactions not cleared by a CCP and executed on a trading venue

Article 28 - Initial verification
Article 29 - Buy-in procedure and notifications

Sub-section 4 - Buy-in process for transactions not cleared by a CCP and not executed on a trading venue

Article 30 - Initial verification
Article 31 - Buy-in procedure and notifications

Article 32 - Calculation of the cash compensation
Article 33 - Payment of the cash compensation
Article 34 - Payment of the costs of the buy-in
Article 35 - Payment of the price difference

Section 4 - Timeframes for buy-in process

Article 36 - Extension periods
Article 37 - Timeframes for the delivery of financial instruments
Article 38 - Duration of deferral of the execution of a buy-in

Section 5 - Systematic delivery failure

Article 39 - Consistent and systematic failure to deliver securities

Section 6 - Settlement information

Article 40 - Settlement information for CCPs and trading venues
Article 41 - Settlement information in the absence of direct transaction feed from the trading venue

CHAPTER IV - Final provisions

Article 41a - Transitional provisions
Article 42 - Entry into force and application

Annex I - General information on settlement fails to be reported by CSDs to the competent authorities and relevant authorities on a monthly basis
Annex II - Information on settlement fails to be reported by CSDs to the competent authorities and relevant authorities on an annual basis
Annex III - Report on settlement fails to be made public on an annual basis