Latest News

European Commission Green Paper on Building a Capital Markets Union


European Commission Green Paper on Building a Capital Markets Union .


ISLA publishes its response to the EU Green Paper on building a Capital Markets Union across Europe and the role that securities lending can play in this important economic and political initiative. Details of our response may be found here.


Securities Financing Transactions Regulation (SFTR)


Securities Financing Transactions Regulation (SFTR) – 20 April 2015

In advance of trilogue discussions between the European Commission, Parliament and Council which begin next week, ISLA has prepared a position statement outlining its views. In the paper ISLA stresses the benefits of position level reporting (versus transactions reporting), the rationale for exempting title transfer collateral arrangements (TTCA) from re-use provisions, aligning the investor disclosure requirements with existing ESMA Guidelines for UCITS and other matters. The paper can be found by clicking here.

Kevin McNulty

Chief Executive


Joint Response to WS5 DEG Consultation


 ISLA,PASLA & RMA have submitted a joint response letter to the FSB on the Workstream5 Data Experts Group consultation.

A copy can be found here


DTCC communication for users of Smart/ Track for ALD




The DTCC have contacted us and asked us to forward the following notification and accompanying background link to all users of ALD Europe.

They will be discontinuing support of SSLV3 and use only the TLS (Transport Layer Security) security protocol across all platforms and services, this may affect access for users of SMART/Track Agency Lending disclosure.

The change will come into effect from January 24, however prior to the shutdown they will start testing, Saturday January 10 at 9.00 EST through Sunday January 11 at 3pm. DTC strongly recommend that all clients test their connectivity during this time.

Full information is provided in the below links. Please forward to your IT department.


If you have any questions regarding the above please contact the following at DTCC

Christopher R Nolan



ISLA Responds to FSB Consultation on Haircuts


ISLA Responds to FSB Consultation on Haircuts

ISLA has submitted a response to the FSB’s consultation on extending the application of minimum haircut floors to SFTs between non-banks. In our response we broadly agree that numerical floors should be extended to transactions between non-banks. The letter also requests clarification from the FSB on certain aspects of the final haircut framework. A copy of the letter can be found here.



ISLA issues update ALD best practice

ISLA has issued an updated ALD approval of principals best practice paper.

The update relates to the provision of information regarding evidence of authority and capacity which a principal requires in order to engage in Securities Lending transactions.

Copies can be found here


ISLA Responds to Central Bank of Ireland consultation on UCITS rulebook (CP84)


ISLA Responds to Central Bank of Ireland consultation on UCITS rulebook (CP84)

ISLA has submitted a response to the CBI's consultation on proposed revisions to its UCITS rulebook. The consultation concerns the CBI's approach to implementing the derogation from the collateral diversification requirements contained in the ESMA Guidelines on ETFs and Other UCITS (ESMA/2014/294). ISLA does not support the CBI's more restrictive proposals and argues that the requirements of the ESMA Guidelines provide sufficient protection for UCITS that engage in efficient portfolio management techniques. A copy of ISLA's letter can be found here.


ISLA response to MiFID II/MiFIR Consultation


ISLA has responded to ESMA’s consultation on various aspects of MiFID II concerning two key areas that relate to the securities lending market.  The first covers some proposed restrictions on the use of Title Transfer Financial Collateral Arrangements (TTCA) and the second, some requirements for MiFID regulated firms to report securities lending activity to clients. ESMA is considering the extent to which TTCA should be restricted for retail and potentially other clients, to ensure that firms do not use TTCA to avoid client safekeeping of assets responsibilities. ISLA argues that securities lending undertaken by banks and investment firms for investors should fall outside of the proposed restrictions, as a) these arrangements do not result in avoidance of client asset safekeeping rules, and b) the restrictions would be damaging to markets and investors. Regarding reporting to clients, ISLA requests that MiFID II requirements should defer to the new rules that will be established under the Securities Finance Regulation. The response can be found here.