MFA submitted a comment letter to the European Securities Markets Authority (ESMA) responding to the consultation proposing a simplified disclosure template for private securitisations.
MFA’s letter urges ESMA to embrace a principles-based approach to disclosure requirements for private securitisation. This approach prioritizes flexibility over one-size-fits-all regulations, allowing disclosures to be tailored to unique characteristics of different securitization structures.
MFA believes that ESMA’s strict disclosure rules make it harder for firms to operate efficiently and could discourage participation in private securitization. A more flexible approach would let firms share relevant information without unnecessary regulatory burdens.
