CP157 - Macroprudential measures for GBP liability driven investment funds


Overview

Description

The Central Bank is consulting on a proposal to codify and, in certain cases, augment the existing yield buffer measure introduced via an industry letter in November 2022. The proposal to codify the yield buffer would be imposed through Article 25 of the Alternative Investment Fund Managers’ Directive (AIFMD).

This consultation paper outlines a policy proposal to strengthen the steady-state resilience of GBP LDI funds. The consultation process is being undertaken in alignment with the Commission de Surveillance du Secteur Financier (CSSF), building on initial coordination between the Central Bank and the CSSF in the publication of the November 2022 industry letter.

The Central Bank invites stakeholders’ feedback to this consultation paper. Where possible the Central Bank would welcome evidence to support the views submitted in response to this consultation, which will aid the consideration of the issues. It is intended to publish the feedback received on the Central Bank’s website. The consultation process will be open for submissions via the online response form until 18 January 2024.

Submit your responses to the consultation paper.

CP Number : CP157
Date : 23 November 2023
Closing Date : 18 January 2024

Consultation Paper Document

CP157 - Macroprudential measures for GBP Liability Driven Investment funds | pdf 550 KB

Feedback Statement

Feedback Statement CP157 Macroprudential Measures for GBP LDI funds | pdf 568 KB

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