(Dis)application of the proportionality principle and extension of the scope of the bank bonus cap to affiliated AIFMs and MANCOs – Agefi – press article

​The European Banking Authority (EBA) published at the end of December 2015 its final guidelines on sound remuneration policies (the “Guidelines”). Comple-menting the CRD IV requirements which are now fully in force in Luxembourg, the Guidelines will come into force on 1 January 2017.

As a consequence, the previous guidelines issued by the Committee of European Banking Supervisors (CEBS) in 2010 will be repealed. Credit institutions and investment firms should consider the adjustment of their remuneration policies from now, especially in view of the application of the proportionality principle. Alternative investment fund managers and UCITS management companies owned by banks should also feel concerned.

In their article, Philippe-Emmanuel Partsch, Partner EU Financial & Competition Law and his Associate Sophie Baly answer to two major questions:

“Will the neutralisation of certain remuneration policy requirements still be possible given the proportionality principle?” and what about the “Extension of the bank bonus cap to asset managers?”

Should you discover their point of view on these matters, please click on the link below:

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Philippe-Emmanuel Partsch

Partner