Supervisory Disclosure


    The importance of supervisory transparency and accountability is stressed by the Directive (EU) 2019/2034 of the European Parliament and of the Council of 27 November 2019 on the prudential supervision of investment firms and amending Directives 2002/87/EC, 2009/65/EC, 2011/61/EU, 2013/36/EU, 2014/59/EU and 2014/65/EU (the “IFD”). The main purpose of supervisory disclosure is to provide stakeholders easy access to information, give a comprehensive overview of supervisory and regulatory framework in Europe and enable a meaningful comparison of the approaches adopted by the competent supervisory authorities in the different Member States.

    The European Banking Authority (EBA) therefore developed a supervisory disclosure framework that consists of a standardised set of tables of information. The competent authorities fill in these tables which are published on their individual homepages in order to provide the exhaustive and detailed information required by the new regulatory provisions applicable to investment firms entered into force following the publication of the Law of 21 July 2021 amending the Law of 5 April 1993 on the financial sector (the “LFS”) in order to transpose, among others, the “IFD” and the entry into force of Regulation (EU) 2019/2033 of the European Parliament and of the Council of 27 November 2019 on the prudential requirements of investment firms and amending Regulations (EU) No 1093/2010, (EU) No 575/2013, (EU) No 600/2014 and (EU) No 806/2014 (the “IFR”) on 26 June 2021. The EBA website serves as a centralised electronic repository and allows for quick and easy comparison of the relevant information.
    In this section, the CSSF publishes and gives access to information regarding investment firms for the supervision of which it is directly responsible.

    This information covers:

    • the texts of laws, regulations, administrative rules and general guidance adopted in the field of prudential regulation and supervision in Luxembourg;
    • the options and national discretions available in EU banking legislation;
    • the general criteria and methodologies used nationally in the Supervisory Review and Evaluation Process (SREP); and
    • the aggregate statistical data on key aspects of the implementation of the prudential framework in Luxembourg.

    Rules and guidance

    1. Luxembourg laws and regulations adopting the provisions of Directive 2019/2034/EU and Regulation (EU) No 2019/2033. These texts outline the primary supervisory requirements for investment firms.

    2. Administrative rules
    There is a variety of definitions of administrative rules. For the purpose of supervisory disclosure they are understood as instructions to supervised entities to fulfil certain legislative and regulatory requirements.

    3. General guidance includes explicit disclosure requirements from Directive 2019/2034/EU and explanations deemed necessary to set out how the rules should be applied by institutions. Additionally, such guidance can cover any other relevant information that competent authorities may wish to release to enhance the understanding of the capital adequacy framework.

    Options and national discretions

    Directive 2019/2034/EU, Regulation (EU) No 2019/2033 contain a large number of options and national discretions which may be applied on the basis of certain circumstances.

    Supervisory review

    This section includes an overview of general criteria and methodologies of the SREP as well as of the approach of the CSSF to review and evaluate the ICARA of investment firms.

    Aggregate statistical data

    This section includes aggregate statistical data on key aspects of the implementation of the prudential framework in Luxembourg. The disclosure includes national statistical data on the financial sector, market risk, waivers and on supervisory measures and administrative penalties for investment firms.

    Individual data per Competent Authority

    Data on market risk

    Data on supervisory measures and administrative penalties

    Data on exemptions

    Aggregate statistical data (archives)

    All archived aggregate statistical data can be found in the Regulatory framework section.