CRD IV is the most recent of the EU directives concerning capital adequacy and capital standards and introduced a supervisory framework within the European Union. It seeks to implement certain international minimum standards on bank capital adequacy published by the Basel Committee following the financial crisis. This is the third issue of standards by the Basel Committee and is commonly known as Basel III. EU Member States have been obliged to incorporate CRD IV into their own national laws.
What we do?
One specific area under CRD IV where D2LT has helped clients is in respect of netting and collateral enforceability in relation to master agreements such as those published by ISDA and ICMA. This is an area where legal opinions are key to the determination whether exposures can be netted and / or whether a collateral agreement is enforceable so that collateral held can be used in any calculation of exposure. Our expertise lies in our experience in ensuring that where possible clients are able to meet the netting and / or collateral enforceability requirements of CRD IV. In particular we know what has to be done to meet the requirements and have used our knowledge to help clients to greatly reduce their exposure and their risk.