• European Commission Proposes a New Architecture for Financial Services (Including Insurance) Regulation in the EU
  • December 4, 2009
  • Law Firm: Mayer Brown LLP - Chicago Office
  • As part of a strategy to ensure that all significant financial market players are subject to appropriate regulation and oversight, the European Commission (“Commission”) recently published an important package of draft legislation intended to introduce a new European financial supervisory framework. The proposed framework will have two distinct but interconnected pillars: (1) a European Systemic Risk Board (“ESRB”) to monitor and assess risks to the stability of the financial system as a whole (“macro-prudential supervision”); and (2) a European System of Financial Supervisors (“ESFS”) through the establishment of three new European Supervisory Authorities (“ESAs”) for the supervision of individual financial institutions (“microprudential supervision”).