2009/77/EC: Commission Decision of 23 January 2009 establishing the Committee of European Securities Regulators (Text with EEA relevance)
Date: 2009-01-23
Institutions: European Commission
Subjects: committee (EU), market stabilisation, securities

L 25/18

EN

Official Journal of the European Union

29.1.2009

COMMISSION

COMMISSION DECISION

of 23 January 2009

establishing the Committee of European Securities Regulators

(Text with EEA relevance)

(2009/77/EC)

THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty
Community,

establishing the European

Whereas:

(1)

(2)

the

so-called Lamfalussy process,

the
As part of
Commission adopted Decision 2001/527/EC of 6 June
2001 establishing the Committee of European Securities
Regulators (1)
The
Committee took up its duties on 7 June 2001, serving
as an independent body for reflection, debate and advice
of the Commission in the securities field.

Committee’).

(hereinafter

‘the

amending

94/19/EC,

Council Directives

Fulfilling the provisions of Directive 2005/1/EC of the
the Council of 9 March
European Parliament and of
73/239/EEC,
2005
85/611/EEC, 91/675/EEC, 92/49/EEC and 93/6/EEC
and Directives
2000/12/EC,
2001/34/EC, 2002/83/EC and 2002/87/EC in order to
establish a new organisational structure for
financial
services committees (2), the Commission carried out a
review of
in 2007 and
Lamfalussy process
presented its
in a Communication of
20 November 2007 entitled ‘Review of the Lamfalussy
process — Strengthening supervisory convergence’ (3).

assessment

98/78/EC,

the

(3)

In the Communication, the Commission pointed out the
the Committee of European Securities
importance of

Pensions

Regulators, the Committee of European Banking Super­
visors and the Committee of European Insurance and
‘the
Occupational
Committees of Supervisors’) in an increasingly integrated
European financial market. A clear framework for the
activities of these Committees in the area of supervisory
convergence and cooperation was deemed necessary.

Supervisors

(hereinafter

(4) While reviewing the functioning of

the Lamfalussy
process, the Council
invited the Commission to clarify
the role of the Committees of Supervisors and consider
all different options to strengthen the working of those
institu­
Committees, without unbalancing the current
tional structure or reducing the accountability of super­
visors (4).

(5)

At its meeting of 13 and 14 March 2008, the European
Council called for swift improvements to the functioning
of the Committees of Supervisors (5).

(6)

invited

the Council

On 14 May 2008 (6),
the
Commission to revise the Commission Decisions estab­
lishing the Committees of Supervisors so as to ensure
coherence and consistency in their mandates and tasks
as well as to strengthen their contributions to supervisory
cooperation and convergence. The Council noted that
specific tasks could be explicitly given to the Committees
to foster supervisory cooperation and convergence, and
enhance their role in assessing risks to financial stability.
Therefore a reinforced legal framework regarding the role
and tasks of the Committee in this respect should be
provided.

(1) OJ L 191, 13.7.2001, p. 43.
(2) OJ L 79, 24.3.2005, p. 9.
(3) COM(2007) 727 final.

(4) Council Conclusions 15698/07 of 4 December 2007.
(5) Council Conclusions 7652/1/08 Rev 1.
(6) Council Conclusions 8515/3/08 Rev 3.

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Official Journal of the European Union

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The Committee should serve as an independent advisory
group of the Commission in the securities field.

reduce the burden imposed on market participants, the
Committee should facilitate the delegation of
tasks
between supervisory authorities,
in particular in cases
specified in the relevant legislation.

(7)

(8)

(9)

(10)

(11)

(12)

(13)

(14)

The Committee should also contribute to the common
and uniform day-to-day implementation of Community
legislation and its consistent application by the super­
visory authorities.

The Committee does not have any regulatory powers at
reviews,
Community level.
promote best practices and issue non-binding guidelines,
recommendations and standards in order to increase
convergence across the Community.

It should carry out peer

Enhanced bilateral and multilateral supervisory cooper­
ation depends on the mutual understanding and trust
between supervisory authorities. The Committee should
contribute to the improvement of such cooperation.

also

should

Committee

The
convergence across the Community.
more specific about
open-ended list of
Committee should be established.

supervisory
to be
this objective, an indicative and
to be carried out by the
tasks

In order

foster

In order to resolve disputes of a cross-border nature
in particular within
between supervisory authorities,
colleges of supervisors, a voluntary and non-binding
mediation mechanism should be provided by the
Committee.

To benefit from the expertise acquired by the Committee
and without prejudice to the powers of supervisory au­
thorities, the supervisory authorities should be able to
to the Committee with a view to
refer matters
obtaining its non-binding opinion.

is

to their

functions.

fundamental

The exchange of information between the supervisory
authorities
is
central for the efficient supervision of securities markets
and for financial stability. Whilst the securities legislation
imposes clear legal obligations on supervisory authorities
to cooperate and exchange information, the Committee
should facilitate practical day-to-day exchange of infor­
mation between them, subject to relevant confidentiality
provisions set out in the applicable legislation.

It

(15)

In order to reduce the duplication of supervisory tasks
and thereby streamline the supervisory process as well as

(16) With a view to fostering convergence and consistency
across the colleges of supervisors and thereby ensuring
a level playing field, the Committee should monitor their
functioning without constraining the independence of the
members of the college.

are

central
supervisory

(17) Quality, comparability and consistency of supervisory
of
reporting
the
and
Community
compliance burden on cross-border
institutions. The
Committee should contribute to ensuring that overlap
and duplication is eliminated and that
the reporting
data is comparable and of appropriate quality.

cost-efficiency

arrangements

the

to

(18)

the Committee,

to identify potential

Financial systems in the Community are closely linked
and events in one Member State can have a significant
impact on financial
institutions and markets in other
Member States. The continuing emergence of financial
conglomerates and the blurring of distinctions between
the activities of
firms in the banking, securities and
insurance sectors give rise to additional supervisory chal­
lenges at national and Community level.
In order to
safeguard financial stability, a system is needed at the
the Committee of European
level of
Banking Supervisors and the Committee of European
Insurance and Occupational Pensions Supervisors
in
order
risks, across borders and
across sectors, at an early stage and, where necessary,
inform the Commission and the other Committees.
Furthermore,
it is essential that the Committee ensures
that finance ministries and national central banks of the
Member States are informed. The Committee has its role
to play in this respect by identifying risks in the securities
sectors and regularly reporting on the outcome to the
Commission. The Council should also be informed of
these
also
cooperate with the European Parliament and provide it
with periodic information on the situation in the secu­
rities sector. The Committee should not, in this context,
disclose information on individual supervised entities.

assessments.

Committee

should

The

(19)

In order to adequately deal with cross-sector issues, the
activities of the Committee should be coordinated with
the Committee of European Banking Super­
those of
visors, the Committee of European Insurance and Occu­
pational Pensions Supervisors and the Banking Super­
vision Committee of the European System of Central
Banks. This is of particular importance in addressing
possible cross-sectoral risks to financial stability.

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Official Journal of the European Union

29.1.2009

(20)

To avoid duplication of work, to prevent inconsistencies,
to keep the Committee abreast of progress and to give it
the opportunity to exchange information with the
Committee of European Banking Supervisors and the
Committee of European Insurance and Occupational
Pensions Supervisors with regard to supervision of
financial conglomerates, the Committee may participate
in the Joint Committee on Financial Conglomerates.

(21) Given the globalisation of

financial services and the
increased importance of
the
Committee should also foster dialogue and cooperation
with supervisors outside the Community.

international

standards,

(22)

(23)

(24)

the Committee
the
The
accountability of
Community Institutions
is of high importance and
should be of a well established standard while respecting
the independence of supervisors.

towards

The Committee should draw up its own rules of
procedure and fully respect the prerogatives of the insti­
tutions and the institutional balance established by the
Treaty. The enhanced framework of the activities of the
Committee should be accompanied by improved working
processes. To this end, if consensus cannot be reached,
decisions should be taken by qualified majority corre­
sponding to the rules set out in the Treaty.

reasons of

For
2001/527/EC should be repealed,

legal

security and clarity Decision

consistent application of Community legislation by issuing
non-binding guidelines, recommendations and standards.

Article 4

shall

enhance

The Committee

supervisory authorities

cooperation between
1.
national
field and
foster the convergence of Member States' supervisory practices
and approaches throughout the Community. To this effect, it
shall carry out, at least, the following tasks:

in the securities

(a) mediate or facilitate mediation between supervisory au­
thorities in cases specified in the relevant legislation or at
the request of a supervisory authority;

(b) provide opinions to supervisory authorities in cases specified

in the relevant legislation or at their request;

(c) promote the effective bilateral and multilateral exchange of
to

information between supervisory authorities
applicable confidentiality provisions;

subject

(d) facilitate the delegation of tasks between supervisory au­
in particular by identifying tasks which can be

thorities,
delegated and by promoting best practices;

(e) contribute to ensuring the efficient and consistent

func­
tioning of colleges of supervisors in particular through
setting guidelines
functioning of
colleges, monitoring the coherence of the practices of the
different colleges and sharing best practices;

the operational

for

HAS DECIDED AS FOLLOWS:

Article 1

(f) contribute to developing high quality and common super­

visory reporting standards;

in the
An independent
Community, called ‘the Committee of European Securities Regu­
lators’ (hereinafter ‘the Committee’) is hereby established.

on securities

advisory

group

(g) review the practical

the non-binding
guidelines, recommendations and standards issued by the
Committee.

application of

Article 2

The Committee shall advise the Commission,
in particular as
regards the preparation of draft implementing measures in the
field of securities, including those relating to undertakings for
collective investment in transferable securities (UCITS), on its
own initiative or at the request of the Commission.

Where the Commission requests advice from the Committee, it
may lay down a time limit within which the Committee shall
provide such advice. Such time limit shall be laid down taking
into account the urgency of the matter.

Article 3

The Committee shall
the tasks assigned to it and
contribute to the common and uniform implementation and

fulfil

2.
The Committee shall review the Member States' super­
visory practices and assess their convergence on an ongoing
basis. The Committee
report annually on progress
achieved and identify the remaining obstacles.

shall

The Committee shall develop new practical convergence

3.
tools to promote common supervisory approaches.

Article 5

sector

and, where necessary,

The Committee shall monitor and assess developments in
1.
inform the
securities
the
Committee of European Banking Supervisors, the Committee
of European Insurance and Occupational Pensions Supervisors
and the Commission. The Committee shall ensure that
the
finance ministries and national central banks of the Member
States are informed about potential or imminent problems.

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The Committee shall, at least twice a year, provide to the
2.
Commission assessments of micro-prudential trends, potential
risks and vulnerabilities in the securities sector.

The Committee shall
include in these assessments a classifi­
cation of the main risks and vulnerabilities and indicate to
what extent such risks and vulnerabilities pose a threat
to
financial stability and, where necessary, propose preventative
or remedial actions.

The Council shall be informed of these assessments.

the Committee

3.
The Committee shall have in place procedures enabling
the supervisory authorities to react promptly. Where appro­
assessment
priate,
facilitate
amongst
supervisors within the Community on risks and
vulnerabilities which may negatively affect the stability of the
financial system of the Community.

joint

shall

a

4.
The Committee shall ensure an adequate coverage of
cross-sectoral developments, risks and vulnerabilities by closely
cooperating with the Committee of European Banking Super­
visors, the Committee of European Insurance and Occupational
Pensions Supervisors and the Banking Supervision Committee
of the European System of Central Banks.

Article 6

1.
The Committee shall contribute to the development of
common supervisory practices in the field of securities as well
as on a cross-sectoral basis in close cooperation with the
Committee
the
Committee of European Insurance and Occupational Pensions
Supervisors.

European Banking

Supervisors

and

of

training

To this effect, it shall in particular establish sectoral and
2.
cross-sectoral
personnel
exchanges and encourage competent authorities to intensify
joint inspection teams and
the use of secondment schemes,
supervisory visits and other tools.

programmes,

facilitate

The Committee

appropriate, develop new
as
3.
instruments to promote the development of common super­
visory practices.

shall,

The Committee shall enhance cooperation with the super­
4.
visory authorities of third countries, in particular by their parti­
cipation in common training programmes.

designate
authority to participate in the meetings of the Committee.

representative

a high-level

from its

competent

The Commission shall be present at the meetings of the
2.
Committee and shall designate a high-level representative to
participate in its debates.

The Committee shall elect a chairperson from among its

3.
members.

The Committee may invite experts and observers to attend

4.
its meetings.

Article 8

1.
The members of the Committee shall be required not to
disclose information covered by the obligation of professional
secrecy. All participants in the discussions shall be obliged to
comply with the applicable rules of professional secrecy.

2. Whenever discussion of an item on the agenda entails the
exchange of confidential
information concerning a supervised
institution, participation in such discussion may be restricted to
members directly involved.

Article 9

the outcome of

The Committee shall regularly inform the Commission
1.
about
shall have regular
its activities.
contacts with the European Securities Committee established
by Commission Decision 2001/528/EC (1) and the competent
Committee of the European Parliament.

It

2.
The Committee shall ensure cross-sectoral consistency of
work in the financial services sectors by regular and close co­
operation with the Committee of European Banking Supervisors
and the Committee of European Insurance and Occupational
Pensions Supervisors.

The chairperson of

3.
the Committee shall have regular
contact with the chairpersons of the Committee of European
Banking Supervisors and the Committee of European Insurance
and Occupational Pensions Supervisors, at least once a month.

Article 10

The Committee may set up working groups. The Commission
shall be invited to the meetings of the working groups as an
observer.

Article 7

1.
The Committee shall be composed of high-level represen­
tatives from the national public authorities competent in the
including UCITS. Each Member State shall
field of securities,

Article 11

The Committee may participate in the Joint Committee on
Financial Conglomerates.

(1) OJ L 191, 13.7.2001, p. 45.

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Article 12

Article 15

transmitting its opinion to the Commission,

Before
the
Committee shall, at an early stage, consult market participants,
consumers and end-users extensively and in an open and trans­
parent manner. The Committee shall publish the results of the
consultations, unless the respondent requests otherwise.

Article 13

The Committee shall establish an annual work programme and
transmit it to the Council, the European Parliament and the
Commission by
each year. The
Committee shall periodically and at least annually inform the
Council, the European Parliament and the Commission on the
achievement of the activities set out in the work programme.

end of October

the

The Committee shall adopt its own rules of procedure and
organise its own operational arrangements.

With regard to decisions concerning amendments to the rules
of procedure and elections to and dismissals from the Board of
the Committee, the rules of procedure may foresee decision-
making procedures that are different from those set out in
Article 14.

Article 16

Decision 2001/527/EC is repealed.

Article 14

Article 17

The Committee shall work by consensus of its members. If no
consensus can be reached, decisions shall be taken by qualified
majority. The votes of the representatives of the Members of the
Committee shall correspond to the votes of the Member States
as laid down in Articles 205(2) and (4) of the Treaty.

Members of the Committee which do not follow the guidelines,
recommendation, standards and other measures agreed by the
Committee shall be prepared to present the reasons for this
choice.

This Decision shall take effect on the day of its publication in
the Official Journal of the European Union.

Done at Brussels, 23 January 2009.

For the Commission

Charlie McCREEVY
Member of the Commission