TMF Group, a leading provider of high value business services to clients operating and investing globally, has today launched services to comply with the European Securities and Markets Authority Simple Transparent and Standardised Securitisation (ESMA STS) regulation.
TMF Group will also formally apply to become a Securitisation Repository upon publication of the Regulatory Technical Standards (RTS) in the EU official journal, which is currently expected to be after the summer. In the meantime, the firm will provide an Interim Hosting Solution and reporting services to comply with the regulation which went into effect on 1 January 2019.
STS products are a new category of securities first proposed by the European Commission. They have fewer regulatory requirements and qualify for lower capital charges, and are therefore more attractive for banks and other investors. But for products to qualify as an STS security they must capture, interpret and make public large volumes of technical data. This creates challenges for investment managers, collateral administrators and originators. TMF Group’s new services are designed to help.
Philip Rutovitz, Director Client Services at TMF Group said: “The securitisation market is rapidly evolving, driven by ever more stringent regulations. In this case, new EU regulation has created increased transparency requirements meaning an increase in both compliance obligations and implementation risk for the market. Our ESMA STS securitisation services have been created to take these new headaches away.”
Paul Wilden, Global Head of Capital Markets Services at TMF Group, said: “As a leading corporate service provider in the securitisation space TMF Group has built strong relationships with all major Trustees, Collateral Administrators and Investment Managers, facilitating us to provide our ESMA STS securitisation services in a way that supports uniformity and is in line with the industry benchmark.”
ENDS
Notes to editors:
For further information, please contact:
Damian Kerr
PR and Communications / TMF Group
damian.kerr@tmf-group.com +44 (0) 7720 783242