measures improving the resilience of EU credit institutions
insolvent ('too big to fail').
To empower bank supervisors to require certain institutions to transfer part of their activities to a separate entity, in accordance with a long procedure.
To ban purely speculative proprietary trading. Commission will propose legislation before the end of summer.
Insurance Financial conglomerates
(combining banks, investment and insurance firms) Directive 2011/89/EU amending Directives 98/78/EC, 2002/87/EC and 2006/48/EC as regards supplementary supervision of financial entities in a financial conglomerate (directive).
Tighter supervision of financial conglomerates and stricter transparency rules. PROCESS COMPLETED Adopted formally in November 2011.
Prudential requirements for insurance firms
Directive 2009/138/EC on the taking-up and pursuit of insurance and reinsurance activities (Solvency II).
To establish stricter solvency requirements for insurers (including capital requirements).
Insurance companies’ own funds
must be calculated in terms of risks associated with assets. In other words, assets and liabilities are valued at market value rather than book value. PROCESSUS COMPLETED Adopted formally in November 2009. The text will apply from 1 January 2016.
New financial supervision architecture/adaptation
Directive amending Directives 2003/71/EC and 2009/138/EC in respect of the powers of the European Securities and Markets Authority and the European Insurance and Occupational Pensions Authority, known as the
To adapt the Solvency II directive (above) to the new insurance supervision architecture.
To apply specific measures to insurance products bearing a long-term guarantee to keep from penalising insurance companies' long-term investments. PROCESS COMPLETED The Council confirmed on 14 April the political compromise reached with the European Parliament, which had already validated it in March. The text will apply from 1 January 2016.