Press Release: Commission adopts new standards to increase transparency over bankers’ pay and risk profiles

On the 4 March 2014, the European Commission adopted Regulatory Technical Standards (RTS) on criteria to identify categories of staff whose professional activities have a material impact on an institution's risk profile. These standards identify risk takers in banks and investment firms.

This matters because the risk takers are the people who have to comply with EU rules on variable remuneration (including bonuses). These standards supplement the requirements of the Capital Requirements Directive (CRD IV) which entered into force on 17 July 2013 and which strengthened the rules regarding the relationship between the variable (or bonus) component of total remuneration and the fixed component (or salary).

ESO: Background information: Capital Requirements - CRD IV/CRR – Frequently Asked Questions http://www.europeansources.info/record/memo-capital-requirements-crd-iv-crr-frequently-asked-questions/

EUObserver, 04.03.14: EU rules clamp down on bank 'risk takers' http://euobserver.com/news/123349

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