FR20/2017 Update to the IOSCO Peer Review of Implementation of Incentive Alignment Recommendations for Securitisation

Update to the IOSCO Peer Review of Implementation of Incentive Alignment Recommendations for Securitisation THE BOARD OF THE INTERNATIONAL ORGANIZATION OF SECURITIES COMMISSIONS FR20/2017 NOVEMBER 2017 Page 2 of 27 Copies of publications are available from: The International Organization of Securities Commissions website www.iosco.org © International Organization of Securities Commissions 2017. All rights reserved. Brief excerpts may be reproduced or translated provided the source is stated. Page 3 of 27 Contents 1. EXECUTIVE SUMMARY .......................................................................................... 4 2. BACKGROUND .......................................................................................................... 6 2.1. The 2015 Peer Review ................................................................................................... 6 2.2. 2015 Peer Review Findings ........................................................................................... 6 3. UPDATE REVIEW METHODOLOGY ................................................................... 7 3.1. Objectives and Scope ..................................................................................................... 7 3.2. Review Team ................................................................................................................. 7 3.3. Review Process .............................................................................................................. 7 Table 1 — Reporting Scale used for Peer Review .............................................................. 8 4. KEY FINDINGS .......................................................................................................... 8 4.1. Overview ........................................................................................................................ 8 4.1.1. 2016.................................................................................................................... 8 4.1.2. 2017.................................................................................................................... 9 4.2. CHANGES IN REPORTED IMPLEMENTATION STATUS IN 2016 ......................................... 10 4.2.1. Australia ........................................................................................................... 10 4.2.2. European Union ............................................................................................... 10 4.2.2.1. France .............................................................................................................. 11 4.2.2.2. Italy .................................................................................................................. 11 4.2.2.3. The Netherlands ............................................................................................... 12 4.2.2.4. Spain ................................................................................................................ 12 4.2.2.5. United Kingdom ............................................................................................... 13 4.2.3. Germany ........................................................................................................... 14 4.2.4. Hong Kong ....................................................................................................... 14 4.2.5. Russia ............................................................................................................... 14 4.3. CHANGES IN REPORTED IMPLEMENTATION STATUS IN 2017 ......................................... 15 4.3.1. Hong Kong ....................................................................................................... 15 4.3.2. Republic of Korea ............................................................................................ 15 4.3.3. United States .................................................................................................... 16 4.4. SIGNIFICANT REFORMS NOT AFFECTING IMPLEMENTATION STATUS ............................ 16 4.4.1. Saudi Arabia .................................................................................................... 16 4.4.2. European Union ............................................................................................... 17 4.5. OTHER REFORMS NOT AFFECTING IMPLEMENTATION STATUS ...................................... 18 4.5.1. Argentina.......................................................................................................... 18 4.5.2. Brazil ................................................................................................................ 19 4.5.3. India ................................................................................................................. 19 4.5.4. Indonesia ...........................................................................................