Transitional provisions concerning outstanding securitisation positions
Article 2
1.
In respect of securitisations the securities of which were issued before 1 January 2019, institutions shall continue to apply the provisions set out in Chapter 5 of Title II of Part Three and Article 337 of Regulation (EU) No 575/2013 until 31 December 2019 in the version applicable on 31 December 2018.
For the purposes of this Article, in the case of securitisations which do not involve the issuance of securities, the reference to ‘securitisations the securities of which were issued’ shall be deemed to mean securitisations the initial securitisation positions of which were created.
2.
For the purposes of paragraph 1, Chapter 5 of Title 2 of Part 3 and Article 337 of Regulation (EU) No 575/2013 (in the version applicable on 31 December 2018) have effect with the following modifications—
a)
ignore the following provisions (obligations of the EBA)—
i
in Article 243 (traditional securitisation), paragraph 6;
ii
in Article 244 (synthetic securitisation), paragraph 6;
iii
in Article 248 (implicit support), paragraph 2;
iv
in Article 262 (supervisory formula method), paragraph 3;
b
a reference to the competent authority or to competent authorities is a reference to the competent authority as defined in point (40) of Article 4(1) of Regulation (EU) No 575/2013;
c
a reference to Chapter 2 (standardised approach) is a reference to that Chapter as amended by regulations 111 to 127 of the Capital Requirements (Amendment) (EU Exit) Regulations 2018 (“the 2018 Regulations”);
d
a reference to Chapter 3 (internal ratings based approach) is a reference to that Chapter as amended by regulations 128 to 134 of the 2018 Regulations;
e
a reference to Chapter 4 (credit risk mitigation) is a reference to that Chapter as amended by regulations 135 to 144 of the 2018 Regulations;
f
a reference to Chapter 6 (counterparty credit risk) is a reference to that Chapter as amended by regulations 145 to 151 of the 2018 Regulations;
g
in Article 245 (calculation of risk-weighted exposure amounts), in paragraph (6) the reference to Article 407 is a reference to that Article as modified by regulation 30(1) and (2) of the Securitisation (Amendment) (EU Exit) Regulations 2019;
h
in Article 246 (exposure value), in paragraph (1)(e) the reference to Annex II is a reference to that Annex as amended by regulation 218 of the 2018 Regulations;
i
in Article 252 (originator and sponsor institutions), in the first subparagraph, in point (b) a reference to Article 128 is a reference to that Article as amended by regulation 122 of the 2018 Regulations;
j
in Article 262, in paragraph (1), in each place where it appears, a reference to Annex II is a reference to that Annex as amended by regulation 218 of the 2018 Regulations;
k
in Article 270 (mapping)—
i
in the first subparagraph a reference to EBA is a reference to the Prudential Regulation Authority;
ii
ignore the second and third subparagraphs; and
l
in Article 337 (own funds requirement for securitisation instruments)—
i
in paragraph 1 each reference to Title II, Chapter 5, Section 3 is a reference to Articles 245 to 266 as amended by regulations 44 to 49 of the Securitisation (Amendment) (EU Exit) Regulations 2019;
ii
in paragraph 2—
aa
in the first subparagraph the reference to Article 262 is a reference to that Article as modified by points (a)(iv) and (e);
bb
in the first and the third subparagraphs each reference to Title II, Chapter 3 is a reference to Articles 142 to 191 as amended by regulations 128 to 134 of the 2018 Regulations;
cc
ignore the fourth subparagraph;
iii
in paragraph 3 the reference to Article 407 is a reference to that Article as modified by regulation 30(1) and (2) of the Securitisation (Amendment) (EU Exit) Regulations 2019;
iv
ignore paragraph 4;
v
in paragraph 5—
aa
in the first subparagraph the reference to Article 243 is a reference to that Article as modified by point (a)(i);
bb
in the second subparagraph the reference to Article 244 is a reference to that Article as modified by point (a)(ii).
3.
For the purposes of paragraph 2, Chapters 2, 3, 4 and 6 of Regulation (EU) No 575/2013 (in the version applicable on 31 December 2018) have effect with the following modifications—
a
a reference to Annex II of that Regulation is a reference to that Annex as amended by regulation 218 of the 2018 Regulations; and
b
a reference to any other provision of that Regulation which has been amended by the 2018 Regulations is a reference to that provision as so amended.
Art. 2 renumbered as Art. 2(1) (31.12.2020) by The Securitisation (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/660), regs. 1(2), 56(a) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)
Art. 2(2)(3) inserted (31.12.2020) by The Securitisation (Amendment) (EU Exit) Regulations 2019 (S.I. 2019/660), regs. 1(2), 56(b) (with savings in S.I. 2019/680, reg. 11); 2020 c. 1, Sch. 5 para. 1(1)