Principles for financial market infrastructures

April 2012

Final version of the Principles for financial market infrastructures

The Principles for financial market infrastructures (PFMIs) contain new and more demanding international standards for payment, clearing and settlement systems, including central counterparties. Issued by the CPSS and the International Organization of Securities Commissions (IOSCO), the  new standards are designed to ensure that the infrastructure supporting global financial markets is more robust and thus well placed to withstand financial shocks.

The principles apply to all systemically important payment systems, central securities depositories, securities settlement systems, central counterparties and trade repositories (collectively "financial market infrastructures"). They replace the three existing sets of international standards set out in the Core principles for systemically important payment systems (CPSS, 2001); the Recommendations for securities settlement systems (CPSS-IOSCO, 2001); and the Recommendations for central counterparties (CPSS-IOSCO, 2004). CPSS and IOSCO have strengthened and harmonised these three sets of standards by raising minimum requirements, providing more detailed guidance and broadening the scope of the standards to cover new risk-management areas and new types of FMIs.

The principles were issued for public consultation in March 2011. The finalised principles being issued now have been revised in light of the comments received during that consultation.

CPSS and IOSCO members will strive to adopt the new standards by the end of 2012. Financial market infrastructures (FMIs) are expected to observe the standards as soon as possible.

Assessment methodology and disclosure framework

At the same time as publishing the final version of the principles, CPSS and IOSCO issued two related documents for public consultation, namely an assessment methodology and a disclosure framework, on which the committees sought comments during the public consultation period, which ended on 15 June 2012. The final version of these documents was published in December 2012  as  Principles for financial market infrastructures: disclosure framework and assessment methodology. The former, consultative versions are  Assessment methodology for the principles for FMIs and the responsibilities of authorities and  Disclosure framework for financial market infrastructures.

Other documents

A cover note that explains the background to the three documents above and sets out some specific points on the two consultation documents on which the committees are seeking comments during the public consultation period is also available.

A summary note that provides background on the report and an overview of its contents is also available.