France Regulatory Calendar 2020

Entry into force of Loi PACTE

The French law for the Plan d’Action pour la Croissance et la Transformation de l’Entreprise (loi PACTE) provides new rules for alternatives asset managers:

• To make use of simplified rules for investing in retail private equity funds (fonds commun de placement à risque)
• Develop retirement savings schemes such as a plan d’épargne retraite individuel or en entreprise
• Make use of simplified investment rules for employees saving schemes (FCPEs).

Ongoing.

AMF 2020 supervisory priorities

On January 8, 2020, the Autorité des marchés financiers (AMF) published its 2020 supervisory priorities for asset management companies and market intermediaries:

• Outsourcing of compliance controls
• Liquidity risk management
• Granting loans
• Cybersecurity
• Anti-money laundering and counter-terrorism financing
• MiFID 2 – Implementation of reporting, post-trade transparency and best execution provisions
• Liquidity contracts
• Provision of cross border services
• Use of alternative risk-free rates
• MiFID 2 – Product governance
• MiFID 2 – Suitability requirements

Monitoring of financial investment advisers, its priorities were as follows: 

Ongoing.

Sustainable finance

The AMF’s Climate and Sustainable Finance Commission, whose creation was announced on July 2, 2019, will bring together stakeholders on the subject of sustainable finance in 2020 to carry out its regulatory and supervisory goals. It will work closely with the Autorité de contrôle prudentiel et de résolution (ACPR).

• To make use of simplified rules for investing in retail private equity funds (fonds commun de placement à risque)
• Develop retirement savings schemes such as a plan d’épargne retraite individuel or en entreprise

Make use of simplified investment rules for employees saving schemes (FCPEs). 

Ongoing.

Transition to risk free rates

As the transitional period mentioned in the European Benchmark Regulations (EBR) is coming to an end, the AMF has recently reminded asset managers of the importance of anticipating the scheduled disappearance of critical indices such as EONIA.

January 1, 2020, and ongoing.

Fifth Anti Money Laundering Directive (5MLD)

Member States of the European Union must have implemented the fifth directive.

January 10, 2020.

EU regulatory framework on crypto-assets

In order to promote digital finance in Europe, the Commission services are working towards a new Digital Finance Strategy for the EU and are consulting stakeholders, with a deadline in the first quarter.

March 19, 2020, deadline.

Securities Financing Transaction Regulation (SFTR)

The last part of the regulation on the transparency of securities financing transactions and reuse, concerning the reporting of transactions to trade repositories, enters into application progressively in 2020.

April 2020 for credit institutions and investment firms; July 2020 for central securities depositories and central counterparties; October 2020 for UCITS and AIF managers; January 2021 for non financial counterparties.

EMIR Refit

EMIR Refit clarifies the responsibility for reporting the details of OTC derivative contracts entered into by a fund, and provides that the manager “shall be responsible, and legally liable”.

June 18, 2020.

The Alternative Investment Fund Managers Directive (AIFMD)

AIFMD entered into force on July 22, 2011, is due to be officially reviewed in 2020, ahead of its ten year anniversary.

2020.