Global Trustee and Fiduciary Services Bite-Sized Issue 4 2024

Global Trustee and Fiduciary Services Bite-Sized | Issue 4 | 2024 17 QUICK LINKS AIFMD BENCHMARK REGULATION CBDC COSTS & CHARGES CRYPTOASSETS CYBERSECURITY DIVERSITY & INCLUSION FINTECH IFD/IFR LIBOR TRANSITION MIFID II/MIFIR OPERATIONAL RESILIENCE PRIIPS RETAIL INVESTMENT STRATEGY SETTLEMENT SUSTAINABLE FINANCE/ESG UCITS ASIA LUXEMBOURG NORTH AMERICA UNITED KINGDOM For details on the initiatives of the Steering Group and its members, visit https://sustainablefinance.org.hk/en/ . Link to Press Release here ESMA Consults on Rules for External Reviewers of EU Green Bonds On 26 March 2024, the European Securities and Markets Authority (ESMA) launched a consultation on Draft Regulatory Technical Standards (RTS) related to the registration and supervision of external reviewers under the EU Green Bond Regulation (EuGB). The EuGB will apply from 21 December 2024. ESMA says its “ proposals relate to the registration and supervision of entities interested in becoming external reviewers of EU Green Bonds and aim to clarify the criteria used for assessing an application for registration by an external reviewer. In its proposals, ESMA states that it aims to standardise registration requirements and contribute to developing a level playing field through lower entry costs for applicants. ” ESMA states that the consultation “ will be of interest to future external reviewers of green bonds and sustainable debt and sustainability assurance providers ” however ESMA has stated that it would also like to hear from relevant investors, issuers, and trade associations. ESMA outlined it will consider the feedback received to this consultation and will submit the draft RTS and ITSs to the European Commission by 21 December 2024. Link to Consultation here Hong Kong Government Issues Vision Statement on Developing Sustainability Disclosure Ecosystem in Hong Kong On 25 March 2024, the Government of the Hong Kong Special Administrative Region (the HK Government) issued a vision statement on developing the sustainability disclosure ecosystem in Hong Kong. The statement sets out the vision and approach of the HK Government and financial regulators in developing “ a comprehensive ecosystem for sustainability disclosure in Hong Kong .” The full HK Government vision statement is available at the link below, which outlines the HK Government’s vision holistic approach to developing Hong Kong disclosure standards and the local sustainability disclosure ecosystem (such covering all financial services sub-sectors, having a phased implementation , having sustainability assurance to enable credible implementation, capacity building to support the industry and companies, facilitating the use of technological solutions As well as introducing a questionnaire and tools). Link to Vision Statement here Supervisory Priorities of the CSSF in Terms of Sustainable Finance On 22March 2024, the Commission de Surveillance du Secteur Financier (CSSF) published a communiqué giving a general overview of its supervisory priorities in the area of sustainable finance. The CSSF’s communiqué aims at “ drawing the attention of the financial sector to a number of prominent matters to be addressed in the area of ESG. ” The CSSF states that, if deemed necessary, its supervision priorities may be adjusted, and its duties of ongoing prudential supervision may also warrant other ESG-related aspects to come under scrutiny. Below is a summary of the focus areas, taken from the CSSF Communiqué: • Supervisory priorities for credit institutions: – Transparency and disclosures; – Risk management and governance; and – MiFID rules related to sustainability. • Supervisory priorities for the asset management industry: – Organisational arrangements of IFMs, including the integration of sustainability risks by financial market participants; – Verification of the compliance of pre-contractual and periodic disclosures;