On 15 December the European Banking Authority (EBA) published two consultation papers on draft Regulatory Technical Standards following the finalisation of the STS Securitisation Regulation.

The first sets out the draft RTS on risk retention for securitisation which specifies the requirements for originators, sponsors and original lenders related to risk retention as laid down in the new STS Regulation framework. The second outlines draft RTS on the homogeneity of underlying exposures in securitisation. This specifies a set of criteria for the underlying exposures in securitisation to be deemed homogeneous and applies to both asset-backed commercial paper and non-ABCP securitisations. Comments on both these consultation are requested by 15 March 2018.

For further information, please contact Nicholas Smith.