Reforming CESR into ESMA is the main task facing CESR today. On accounting standards, the EU is not doing very well because US and EU standards are diverging and this is creating a huge gap. CESR defends international cooperation.
Eddy Wymeersch set out the following issues facing CESR today:
· Once ESMA’s precise powers and tasks are determined, CESR will work in accordance with them
· On credit rating agencies,CESR will work on the decision taken by the EP in May on how to deal with supervising CRA without national supervisors intervening
· Analysing the Lehman Brother and Maddof cases
· Reviewing OTC and derivatives markets in order to enhance transparency in the equity market
He also raised the issue of accounting standards and said that the EU is not doing very well. This is because US and EU standards are diverging and this is creating a huge gap. CESR defends international cooperation.
Arlene McCarthy (UK/S&D) asked for more information on CESR’s work on the depository’s issues as Lehman had 60 per cent of their own depositories. The AIFMD is tackling this issue at the moment but would like stricter due diligence to be implemented in relation to the function of depositories in order to ensure all securities worldwide.
Wolf Klinz (DE/ALDE) presented the case of Deutsche Bank having different figures on its balance sheet depending on whether EU or US accountancy rules were applied. Eddie Wymeersch agreed, adding that the existing gap was not only in relation to accountancy standards, but also on AIFM and in CRA. The final goal will be to achieve mutual recognition with the US. But there is a problem here. In his view, the US are still assuming responsibility for the crisis and are confronted with an institutional reform whose ending is very unclear.
© CESR - Committee of European Securities Regulators
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