European Union (Investment Firms) Regulations 2021
Source: Iris Oifigiúl 00 2021-09-22 00

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paragraphs: These Regulations may be cited as the European Union (Investment Firms) Regulations 2021.
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paragraphs: (1) In these Regulations—
(2) A word or expression which is used in these Regulations and is also used in the Investment Firms Directive has, unless the context otherwise requires, the same meaning in these Regulations as it has in the Investment Firms Directive.
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paragraphs: (1) Subject to paragraph (2) and Regulation 4, these Regulations apply to investment firms authorised and supervised under the MiFID Regulations or the law of a Member State other than the State giving effect to Directive 2014/65/EU.
(2) Parts 4 and 5 shall not apply to an investment firm referred to in Article 1(2) of Regulation (EU) 2019/2033 or which has been allowed, in accordance with Article 1(5) of that Regulation, to apply the requirements of Regulation (EU) No 575/2013.
(3) An investment firm referred to in Article 1(2) of Regulation (EU) 2019/2033 or which has been allowed, in accordance with Article 1(5) of that Regulation, to apply the requirements of Regulation (EU) No 575/2013, shall be supervised for compliance with prudential requirements under Parts 6 and 7 of the European Union (Capital Requirements) Regulations 2014 ( S.I. No. 158 of 2014 ) in accordance with the second subparagraph of Article 1(2) and the third subparagraph of Article 1(5) of Regulation (EU) 2019/2033.
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paragraphs: (1) Subject to paragraph (2), the Bank may decide to apply the requirements of Regulation (EU) No 575/2013 pursuant to point (c) of the first subparagraph of Article 1(2) of Regulation (EU) 2019/2033 to an investment firm that carries out any of the activities listed in points (3) and (6) of Section A of Annex I to Directive 2014/65/EU, where—
(a) the total value of the consolidated assets of the investment firm is equal to or exceeds €5,000,000,000, calculated as an average of the previous 12 months, and
(b) one or more of the following criteria apply:
(i) the investment firm carries out those activities on such a scale that the failure or the distress of the investment firm could lead to systemic risk;
(ii) the investment firm is a clearing member as defined in point (3) of Article 4(1) of Regulation (EU) 2019/2033;
(iii) the Bank considers it to be justified in light of the size, nature, scale and complexity of the activities of the investment firm concerned, taking into account the principle of proportionality and having regard to one or more of the following factors:
(I) the importance of the investment firm for the economy of the European Union or of the State;
(II) the significance of the investment firm’s cross-border activities;
(III) the interconnectedness of the investment firm with the financial system.
(2) Paragraph (1) shall not apply to an investment firm that is—
(a) a commodity and emission allowance dealer,
(b) a collective investment undertaking, or
(c) an insurance undertaking.
(3) Where the Bank decides to apply the requirements of Regulation (EU) No 575/2013 to an investment firm in accordance with paragraph (1), that investment firm shall be supervised for compliance with prudential requirements under Parts 6 and 7 of the European Union (Capital Requirements) Regulations 2014.
(4) Where a decision under paragraph (1) is made or revoked by the Bank, it shall inform the investment firm concerned without delay.
(5) A decision made by the Bank under paragraph (1) in respect of an investment firm shall cease to apply where the investment firm no longer meets the threshold referred to in that paragraph, calculated over a period of 12 consecutive months.
(6) The Bank shall inform EBA without delay where it makes or revokes a decision under this Regulation.
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paragraphs: (1) The Bank is designated as the competent authority in the State responsible for carrying out the functions of a competent authority referred to in the Investment Firms Directive and Regulation (EU) 2019/2033.
(2) The Bank shall supervise the activities of investment firms and, where applicable, of investment holding companies and mixed financial holding companies to assess compliance with the requirements of the Investment Firms Directive and Regulation (EU) 2019/2033.
(3) An investment firm shall provide the Bank with all the information necessary to assess compliance by the firm with these Regulations and Regulation (EU) 2019/2033.
(4) An investment firm shall put in place internal control mechanisms and administrative and accounting procedures to enable the Bank to check compliance by the firm with these Regulations and Regulation (EU) 2019/2033.
(5) An investment firm shall record all of its transactions and document the systems and processes of the firms which are subject to these Regulations and Regulation (EU) 2019/2033 in such a manner that the Bank is able to assess compliance with these Regulations and Regulation (EU) 2019/2033 at all times.
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paragraphs: (1) In the exercise of its duties under these Regulations, the Bank shall take into account the convergence of supervisory tools and supervisory practices in the application of the legal provisions adopted pursuant to the Investment Firms Directive and Regulation (EU) 2019/2033.
(2) The Bank shall—
(a) as a party to the ESFS, cooperate with the competent authorities of other Member States with trust and full mutual respect, in particular when ensuring the exchange of appropriate, reliable and exhaustive information between them and other parties to the ESFS,
(b) participate in the activities of EBA and, as appropriate, in the colleges of supervisors referred to in Regulation 44 and in Regulation 104 of the European Union (Capital Requirements) Regulations 2014,
(c) make every effort to ensure compliance with the guidelines and recommendations issued by EBA pursuant to Article 16 of Regulation (EU) No 1093/2010 and to respond to the warnings and recommendations issued by the European Systemic Risk Board pursuant to Article 16 of Regulation (EU) No 1092/2010 of the European Parliament and of the Council, and
(d) cooperate closely with the European Systemic Risk Board.
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paragraphs: The Bank shall, in the exercise of its general duties, duly consider the potential impact of its decisions on the stability of the financial system in other Member States concerned as well as in the European Union as a whole and, in particular, in emergency situations, based on the information available at the relevant time.
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paragraphs: (1) An investment firm seeking authorisation, or authorised, to carry out an activity listed at paragraph 3 or 6 of Part 1 of Schedule 1 to the MiFID Regulations shall have initial capital of €750,000.