In 2013, the Capital Requirements Directive (CRD) IV package entered into application, comprising Directive 2013/36/EU and Regulation (EU) No 575/2013. The framework, mainly designed for banks, also applies to investment firms, including those which trade commodities. The rules mainly address the amount of capital and liquidity that banks and investment firms hold. These prudential rules are intended to implement the Basel II framework.
Capital Requirements Directive (CRD IV): Directive 2013/36/EU on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms
CRD consolidated version (documentary value only), as amended by:
- Directive 2014/17/EU
- Directive 2014/59/EU
- Corrigendum, OJ L 208, 2.8.2013, p. 73 (2013/36/EU)
- Corrigendum, OJ L 020, 25.1.2017, p. 1 (2013/36/EU)
Capital Requirements Regulation (CRR): Regulation (EU) No 575/2013 on prudential requirements for credit institutions and investment firmssets out, among other aspects:
- the rules for calculating capital requirements
- reporting and general obligations for liquidity requirements
Implementing measures: Commission Implementing and delegated acts, including Regulatory Technical Standards (RTS) and Implementing Technical Standards (ITS). A complete list can be downloaded from the linked page.
In December 2017, the Commission proposed a review of the prudential framework for investment firms, as set out in CRD IV and MiFID II/MiFIR. Political agreement between the Parliament and Council was reached on 26 February 2019, and Parliament approved the proposal on 18 April 2019.