Paragraph 28 Solvency 2 Delegated Regulation

(1)

Article 257 (requirements for investments in securitisation that no longer comply with the risk-retention and qualitative requirements)^f1 is amended as follows.

(2)

In paragraph 1—

(a)

for “set out in Article 6 of Regulation (EU) 2017/2402” substitute “imposed in relation to risk retention by securitisation rules”;

(b)

for “set out in Article 5(1), (2) and (3) of that Regulation” substitute “imposed by PRA rules in relation to due diligence before the holding of a securitisation position”.

(3)

After paragraph 1 insert—

“1A

In paragraph 1 “securitisation rules” means—

(a)

in relation to an originator, sponsor or original lender who is a PRA-authorised person, PRA rules relating to securitisation;

(b)

in relation to any other originator, sponsor or original lender, rules made by the FCA by virtue of regulation 5 of the Securitisation Regulations 2024.”.

(4)

In paragraph 2, for ”in Article 5(1), (2) and (3) of Regulation (EU) 2017/2402” substitute “imposed by PRA rules in relation to due diligence before the holding of a securitisation position”.

(5)

In paragraph 4, for “set out in Article 5 of Regulation (EU) 2017/2402” substitute “mentioned in paragraph 2”.

(6)

In paragraph 5, for “set out in Article 5(4) of Regulation (EU) 2017/2402” substitute “imposed by PRA rules in relation to due diligence during the holding of a securitisation position”.

(7)

After paragraph 5 insert—

“6

In this Article “PRA rules” means rules made by the PRA under section 137G of the Financial Services and Markets Act 2000.”.

Annotations

Footnotes

f1: Article 257 was amended by S.I. 2019/1361.