DALHUISEN ON TRANSNATIONAL COMPARATIVEPDF电子书下载

Chapter 1 Financial Products and Services 1

Part Ⅰ Secured Transactions,Finance Sales and Other Financial Products and Services 1

1.1 Civil and Common Law Approaches 1

1.1.1 Introduction 1

1.1.2 Financial Products in Commercial Banking and Capital Markets 5

1.1.3 The Evolution of Secured Transactions.Different Credit Cultures and the Role of Finance Sales.The Prevalence of Domestic Laws and the Issue of Legal Transnationalisation 11

1.1.4 Local Differences and Similarities in the Legal Organisation of Asset Backed Financing 17

1.1.5 International Convergence in Secured Transactions and Finance Sales? 22

1.1.6 The Problems of and Needs for Modern Non-possessory Security Interests in Personal Property and the Alternative Use of Finance Sales 25

1.1.7 Finance Sales and Secured Transactions Distinguished,the Re-characterisation Issue.Different Risk and Reward Structures 31

1.1.8 Formal International Harmonisation Attempts in the Area of Secured Transactions and Finance Sales.The EU Collateral Directive 37

1.1.9 Notions of Separation,Segregation and Priority.Proprietary and Other Structures of Separation and Priority.Contractual Netting Clauses.The Concept of Subordination.Bankruptcy Consequences 40

1.1.10 Party Autonomy and the Contractualisation or Unbundling of Proprietary Rights for Funding Purposes.Closed or Open Systems of Proprietary Rights?Equitable Proprietary Rights.The Better Protection of Bona Fide Purchasers and Lesser Protection of Bona Fide Creditors 47

1.1.11 Autonomous Transnational and Domestic Legal Developments 52

1.1.12 Uncertainty in International Financial Dealings.The Idea and Technique of Transnationalisation in Asset-backed Funding 55

1.1.13 The Impact of the Applicable Domestic Bankruptcy Regime in International Financial Transactions.The US Approach and the EU Bankruptcy Regulation 59

1.2 The Situation in the Netherlands 63

1.2.1 Introduction:The New Civil Code of 1992 63

1.2.2 Security Substitutes and Floating Charges:The Reservation of Title 66

1.2.3 Conditional and Temporary Ownership:The Lex Commissoria 69

1.2.4 Open or Closed System of Proprietary Rights 74

1.3 The Situation in France 76

1.3.1 Introduction:The Vente à Remère and Lex Commissoria.The Modern Floating Charge 76

1.3.2 The Impact of the Notion of the 'Solvabilité Apparente' 78

1.3.3 The Modern Repurchase Agreement or 'Pension Livrée' 80

1.3.4 The Reservation of Title 82

1.3.5 Finance Sales.The Pension Livrée.The Loi Dailly 84

1.3.6 Securitisation or Titrisation(Fonds Communs de Créances)and the Transfer of Intangible Assets in Finance Schemes 87

1.3.7 The Introduction of the Fiducie in France 88

1.3.8 Open or Closed System of Proprietary Rights 89

1.4 The Situation in Germany 90

1.4.1 Introduction:The Development of the Reservation of Title and Conditional Transfers;Floating Charges 90

1.4.2 Sicherungsübereignung and Conditional Sales 96

1.4.3 Finance Sales 99

1.4.4 Curbing Excess:Open or Closed System of Proprietary Rights 101

1.5 The Situation in the UK 104

1.5.1 Introduction:Differences from Civil Law 104

1.5.2 Basic Features of Conditional or Split Ownership Interests.Equitable and Floating Charges.Open System of Proprietary Rights 106

1.5.3 The Distinction between Conditional Sales and Secured Transactions:Publication Requirements 114

1.5.4 Reservation of Title 118

1.5.5 Finance Sales 120

1.6 The Situation in the USA 122

1.6.1 Introduction:The Approach of Article 9 UCC and its Unitary Functional Approach towards Finance Sales 122

1.6.2 The Unitary Functional Approach and Finance Sales:Problem Areas in Article 9 UCC 126

1.6.3 Proprietary Characterisations 132

Part Ⅱ Financial Products and Funding Techniques:Major Examples of Security Transfers and Finance Sales.Other Financial Structures.International and Regulatory Aspects 135

2.1 Finance Sales as Distinguished from Secured Transactions in Civil and Common Law:The Recharacterisation Risk 135

2.1.1 Introduction 135

2.1.2 The Practical Differences between Security-　and Ownership-based Funding.The Re-characterisation Issue Revisited 139

2.1.3 Legal Differences between Security- and Ownership-based Funding.The Early Operation of Split-Ownership Rights in the US 142

2.1.4 Practical Issues and Relevance 152

2.1.5 Nature,Use and Transfers of Conditional and Temporary Ownership Rights.The Difference between them 154

2.1.6 The Duality of Ownership in Finance Sales and the Impact of the Fungibility of Assets 162

2.1.7 Finance Sales and Sharia Financing 165

2.1.8 International Aspects:Private International Law Approaches to the Law Applicable to Proprietary Rights.Bankruptcy Effects 168

2.1.9 International Aspects:Uniform Laws and Model Laws on Secured Transactions.The EBRD Effort 173

2.1.10 International Aspects:The 2001 UNIDROIT Convention on International Interests in Mobile Equipment 177

2.1.11 Domestic and International Regulatory Aspects 179

2.1.12 Concluding Remarks.Transnationalisation and the Issue of Party Autonomy at that Level in Proprietary Matters 179

2.2 Modern Security Interests:The Example of the Floating Charge 183

2.2.1 Types of Floating Charges or Liens.Problem Areas 183

2.2.2 Different Approaches.Comparative Legal Analysis 186

2.2.3 Modern Publication or Filing Requirements.Their Meaning and Defects.Ranking Issues 192

2.2.4 Special Problems of the Assignment in Bulk 194

2.2.5 International Aspects of Floating Charges.Limited Unification Attempts 198

2.2.6 Domestic and International Regulatory Aspects 200

2.2.7 Concluding Remarks.Transnationalisation 201

2.3 Receivable Financing and Factoring.The 1988 UNIDROIT Factoring Convention and the 2001 UNCITRAL Convention on the Assignment of Receivables in International Trade 202

2.3.1 Assignment of Monetary Claims in Receivable Financing and Factoring.The Issue of Liquidity 202

2.3.2 Receivable Financing and Factoring:Origin and Different Approaches 207

2.3.3 Factoring:The Contractual Aspects 211

2.3.4 Factoring:The Proprietary Aspects 213

2.3.5 International Aspects.The UNCITRAL and UNIDROIT Conventions.Internationality and Applicability 216

2.3.6 The UNCITRAL and UNIDROIT Conventions.Their Content,Field of Application,Interpretation and Supplementation.Their Role in the Lex Mercatoria Approach 221

2.3.7 Details of the UNIDROIT Factoring Convention 224

2.3.8 Details of the UNCITRAL Convention.Its Operational Insufficiency 226

2.3.9 Domestic and International Regulatory Aspects 229

2.3.10 Concluding Remarks.Transnationalisation 229

2.4 Modern Finance Sales:The Example of the Finance Lease 231

2.4.1 Rationale of Finance Leasing 231

2.4.2 Legal Characterisation 233

2.4.3 Comparative Legal Analysis 237

2.4.4 International Aspects of Finance Leasing 240

2.4.5 Uniform Substantive Law:The UNIDROIT(Ottawa)Leasing Convention of 1988.Its Interpretation and Supplementation 242

2.4.6 The Leasing Convention's Sphere of Application,its Definition of Finance Leasing 245

2.4.7 The Proprietary Aspects 247

2.4.8 The Enforcement Aspects 248

2.4.9 The Contractual Aspects 249

2.4.10 The Collateral Rights 251

2.4.11 Domestic and International Regulatory Aspects 253

2.4.12 Concluding Remarks.Transnationalisation 253

2.5 Asset Securitisation and Credit Derivatives.Covered Bonds 256

2.5.1 Asset Securitisation or Financial Engineering 256

2.5.2 Synthetic Securitisation.Credit Derivatives or Credit Default Swaps(CDS).The Total Return Swap and Credit Spread Options 260

2.5.3 The Layering of Risk 264

2.5.4 Excess of Financial Engineering?The 2007-09 Banking Crisis 266

2.5.5 Abuse of Financial Engineering?The Enron Debacle 268

2.5.6 Covered Bonds 271

2.5.7 The Recharacterisation Risk in Securitisations 271

2.5.8 International Aspects 273

2.5.9 Domestic and International Regulatory Aspects 274

2.5.10 Concluding Remarks.Transnationalisation 277

2.6 Derivatives,their Use and Transfers.The Operation of Derivatives Markets.Clearing and Settlement and the Function of Central Counterparties(CCPs) 278

2.6.1 Types of Financial Derivatives and their Operation 278

2.6.2 The Use of Derivatives.Hedging 281

2.6.3 The Valuation of Derivatives 285

2.6.4 Derivatives Markets and their Operations.Central Counterparties(CCPs)and the Notion of Margin 286

2.6.5 The Concept of the Central Counterparty(CCP)and its Potential 292

2.6.6 Derivatives Risk and Netting for Swaps 293

2.6.7 Legal Aspects of Swaps.Integration and Conditionality,Acceleration and Close Out.The ISDA Swap Master Agreement 295

2.6.8 International Aspects 298

2.6.9 Domestic and International Regulatory Aspects 298

2.6.10 Concluding Remarks.Transnationalisation 299

2.7 Institutional Investment Management,Funds,Fund Management,and Prime Brokerage 300

2.7.1 Investment Management 300

2.7.2 Investment Funds or Collective Investment Schemes 302

2.7.3 Hedge Funds and their Operation 305

2.7.4 Hedge Funds and Their Regulation 306

2.7.5 Prime Brokerage 312

2.7.6 Private Equity 313

2.7.7 Domestic and International Regulatory Aspects,UCITS 314

2.7.8 Concluding Remarks.Transnationalisation 315

Part Ⅲ Payments,Modern Payment Methods and Systems.Set-off and Netting as Ways of Payment.International Payments.Money Laundering 317

3.1 Payments,Payment Systems.Money and Bank Accounts 317

3.1.1 The Notion and Modes of Payment 317

3.1.2 The Notion of Money as Unit of Account or Unit of Payment:Money as Store of Value 320

3.1.3 Legal Aspects of Payment.The Need for Finality 321

3.1.4 Bank-Transfers and Payment Systems.Pull and Push Systems,Credit and Debit Transfers 325

3.1.5 The Legal Nature and Characterisation of Modern Bank Transfers.The Bank Account as a Sui Generis Right of the Account Holder 327

3.1.6 Clearing and Settlement of Payments in the Banking System 332

3.1.7 International Aspects of Payment 335

3.1.8 Regulatory Aspects of Domestic and International Payments 336

3.1.9 Concluding Remarks and Transnationalisation 336

3.2 The Principles and Importance of Set-off and Netting 337

3.2.1 Set-off as a Form of Payment 337

3.2.2 The Evolution of the Set-off Principle 340

3.2.3 The Expansion of Set-off through Contractual Netting Clauses.Different Types of Netting.Special Importance in Clearing and Settlement and in Bankruptcy 344

3.2.4 Use of Contractual Netting Clauses in Swaps and Repos:Contractual Netting and Bankruptcy.The Settlement Finality Directive 348

3.2.5 The ISDA Swap and Derivatives Master Agreements.Swap and Repo Netting.The Notion of Conditionality and 'Flawed Assets' as an Alternative to the Set-off.The EU Collateral Directive 352

3.2.6 International Aspects.The Law Applicable to Set-offs and Contractual Netting under Traditional Private International Law 354

3.2.7 International Aspects.The Law Applicable to Novation Netting under Traditional Private International Law 357

3.2.8 Domestic and International Regulatory Aspects of Netting 359

3.2.9 Concluding Remarks.Transnationalisation 360

3.3 Traditional Forms of International Payment 360

3.3.1 Cross-Border Payments and their Risks 360

3.3.2 Paper Currencies and Modern Currency Election and Gold Clauses 362

3.3.3 Freely Convertible and Transferable Currency 364

3.3.4 Payment in Open Account.Re-establishing Simultaneity through the Use of Intermediaries 366

3.3.5 Various Ways to Reduce Payment Risk in International Transactions 368

3.3.6 Ways to Reduce Payment Risk Internationally:The Accepted Bill of Exchange 369

3.3.7 Ways to Reduce Payment Risk Internationally:Collection 370

3.3.8 Ways to Reduce Payment Risk Internationally:Letters of Credit.The Different Banks Involved 372

3.3.9 The Types of Letters of Credit 377

3.3.10 The Documents Required under a Documentary Letter of Credit 378

3.3.11 The Right of Reimbursement of the Issuing Bank under a Letter of Credit 379

3.3.12 The Letter of Credit as Independent and Primary Obligation:Legal Nature of Letters of Credit.The 'Pay First,Argue Later' Notion 380

3.3.13 Non-performance under Letters of Credit:The Exception of 'Fraud' 383

3.3.14 Transferable Letters of Credit and Back-to-Back Letters of Credit 385

3.3.15 Ways to Reduce Payment Risk Internationally:Autonomous Guarantees.Examples.Standby Letters of Credit 386

3.3.16 Transnationalisation:the Law and/or Rules Applicable to Bills of Exchange,Collections,Letters of Credit and Bank Guarantees.The ICC Rules and their Status.Lex Mercatoria 388

3.3.17 Transnationalisation:the UNCITRAL Convention on International Guarantees and the World Bank Standard Conditions 390

3.4 Money Laundering 391

3.4.1 Techniques and Remedies 391

3.4.2 Why Action?Remedies and the Objectives of Combating Money Laundering 393

3.4.3 International Action.The Group of Ten,the Council of Europe,and the United Nations 394

3.4.4 The EU 396

Part Ⅳ Security Entitlements and their Transfers through Securities Accounts.Securities Repos 399

4.1 Investment Securities Entitlements and their Transfers(either Outright,Conditionally or as Security).Securities Shorting,Borrowing,and Repledging.Clearing and Settlement 399

4.1.1 Modern Investment Securities.Dematerialisation and Immobilisation.Book-entry Systems and the Legal Nature of Securities Entitlements 399

4.1.2 Securities Transfers:Tiered or Chained Transfer Systems.The Legal Character of the Securities Transfer and Its Finality 403

4.1.3 Securities Shorting,Securities Lending,Pledging and Repledging of Securities.The Notion of Rehypothecation 407

4.1.4 Modern Clearing and Settlement.Central Counterparties(CCPs)and their Significance 412

4.1.5 International Aspects.EU Settlement Finality and Collateral Directives.The Hague Convention on the Law Applicable to Certain Rights in Respect of Securities held with an Intermediary 416

4.1.6 Regulatory Aspects 420

4.1.7 Concluding Remark.Transnationalisation 421

4.2 Investment Securities Repos 422

4.2.1 The Repurchase Agreement as a Prime Alternative to Secured Lending:Its Legal Characterisation.The Effect of Fungibility and of the Right to On-sell the Securities 422

4.2.2 The Development of the Repo in Fungible Investment Securities:Securities Lending and the Buy/Sell Back Transaction 427

4.2.3 Margining 430

4.2.4 The Netting Approach in Repos.Close-out Netting 431

4.2.5 The TBMA/ISMA Global Master Repurchase Agreement 432

4.2.6 International Aspects 434

4.2.7 Domestic and International Regulatory Aspects 435

4.2.8 Concluding Remarks.Transnationalisation 436

Chapter 2 Financial Risk,Financial Stability and the Role of Financial Regulation 439

Part Ⅰ Financial Service Activities,Financial Service Providers,Financial Risk and Financial Regulation 439

1.1 Domestic and Cross-border Financial Services.Regulatory Impact 439

1.1.1 The Recycling of Money.Commercial Banking and Capital Markets 439

1.1.2 Financial Services and Financial Regulation.Issues of Illiquidity,Insolvency,and Financial Stability 441

1.1.3 Liquidity Management and Risk Management 444

1.1.4 Financial Stability and Financial Regulation.Causes of Regulatory Failure 448

1.1.5 The Modern Credit Culture and Supporting Politics 452

1.1.6 Focus of the Reform of Financial Regulation and Prudential Supervision 458

1.1.7 Effect of Internationalisation.The Lack of an International Safety Net 467

1.1.8 Other Regulatory Concerns.Depositors and Investor Protection Issues 469

1.1.9 The Basic Structure of Modern Financial Regulation 472

1.1.10 De-regulation and Re-regulation of Modern Financial Activity.The Institutional and Functional Approach.Monetary,Liquidity,and Foreign Exchange Policies Distinguished 476

1.1.11 The Objectives of Modern Financial Regulation 479

1.1.12 Regulatory Objectives and Moral Hazard.Lack of Clarity in Statutory Regulatory Aims 486

1.1.13 Principle-Based Regulation 492

1.1.14 Official and Unofficial Financial Markets.Regulatory Issues 493

1.1.15 Universal Banks,Conglomerate Risks and Regulatory Supervision 497

1.1.16 Market Abuse and Misleading Financial Structures.The Regulatory Response 499

1.1.17 International Aspects of Financial Regulation.When Are Financial Services International?EU Approach 502

1.1.18 The American Regulatory Approach to Issuing Activity and to Financial Services Rendered in the US by Foreign Issuers and Intermediaries 505

1.1.19 Banking Regulation in the US.Activities of Foreign Banks 508

1.1.20 The Basle Concordat concerning International Commercial Banking Regulation and Consolidated Supervision.Efforts to Achieve a Framework for International Financial Conglomerate Supervision.The Joint Forum 510

1.1.21 The Modern International Financial Architecture.The Financial Stability Board(FSB) 512

1.2 The Essentials of the(Commercial)Banking Business 515

1.2.1 Major Aspects of Banking.Supervision and the Role of Banks of Last Resort 515

1.2.2 Types of Banks and their Operations.The Shadow Banking System 517

1.2.3 Commercial Banking Products,Unsecured and Secured Loans,Leasing,Repos,Receivable Financing,Syndicated Loans,Trade and Project Finance 521

1.2.4 Commercial Banking Risks 525

1.2.5 Risk Management in Banks 529

1.2.6 Broad and Narrow Banking.Sharia Banking,Market-based Monitoring of Banks 532

1.2.7 Commercial Banking Regulation and Banking Regulators.International Aspects 534

1.2.8 Intermediation and Disintermediation of Commercial Banks 536

1.2.9 The Banking or Current Account Relationship and Agreement 538

1.2.10 The Democratisation of Credit and Its Effects.A Public Function for Banks? 543

1.3 The Essentials of the Securities Business and its Regulation 546

1.3.1 Major Types of Securities.Negotiable Instruments,Transferable Securities and Investments.Book-entry Systems and Securities Entitlements 546

1.3.2 Securities Markets and their Organisation.Official Markets 553

1.3.3 Unofficial Markets,Globalisation of Markets,Euromarkets 556

1.3.4 The Primary Market and Security Issuers.International Style Offerings 560

1.3.5 Secondary Market and its Trading Systems 560

1.3.6 Internet or Electronic Trading 562

1.3.7 Modern Clearing,Settlement and Custody 565

1.3.8 The Role of Investment Banks as Underwriters and Market Makers 568

1.3.9 The Role of Investment Banks as Brokers and Investment Managers 572

1.3.10 Insolvency of Securities Brokers.The Notion of Segregation,Tracing and Constructive Trust in Respect of Client Assets 575

1.3.11 Other Activities of Investment Banks.Fund Management,Corporate Finance,and Mergers and Acquisitions.Valuations 579

1.3.12 The Risks in the Securities Business.Securities Regulation and its Focus.The European and American Approaches 581

1.3.13 Securities Regulators 584

1.3.14 International Aspects of Securities Regulation 586

Part Ⅱ International Aspects of Financial Services Regulation:the Recent Effects of Globalisation and the Earlier Autonomy of the International Capital Markets.The Developments in GATT/WTO,the EU,and BIS/IOSCO/IAIS 589

2.1 The Globalisation of the Financial Markets and the Informal Liberalisation of Finance 589

2.1.1 Autonomy of the International Capital Markets 589

2.1.2 The Eurobond Market and its Main Features. Eurodeposits 590

2.1.3 The Legal Status of Euromarket Instruments and Underwriting Practices 594

2.1.4 Central Bank Involvement 594

2.2 The Formal Regime for the Freeing of the Movement of Goods,Services,Current Payments and Capital after World War Ⅱ 595

2.2.1 Cross-border Movement of Goods.GATT 595

2.2.2 Cross-border Payments and Movement of Capital.IMF 597

2.2.3 Cross-border Movement of Services.GATS 599

2.2.4 The WTO 602

2.3 The Creation of the EEC and its Evolution into the EU 604

2.3.1 The European Common Market and Monetary Union 604

2.3.2 The EU Institutional Framework and Legislative Instruments 611

2.3.3 The EU Internal Market:Definition of Cross-border Services.Connection with Free Movement of Goods and Persons and with the Right of Establishment 614

2.3.4 Early Failure of Full Harmonisation of Regulated Financial Services in the EU and the 1985 Break-through:Mutual Recognition of Home Regulation.The European Passport 619

2.4 The Effects of Autonomous Globalisation Forces on the Financial Activity and its Regulation in the EU 621

2.4.1 Effects of the Free Flow of Capital in the EU.The 1988 Directive on the Free Movement of Capital 621

2.4.2 The 1988 Directive and the Redirection of Savings and Tax Avoidance Issues.The 2003 Savings Tax Directive 622

2.4.3 The 1988 Directive and the Movement of Financial Products and Services 625

2.4.4 The 1988 Directive and Monetary and Exchange Rate Aspects of the Free Flow of Capital.The 1997 Stability Pact 626

2.4.5 The Single European Market for Financial Services and its Relationship to the Euromarkets 627

2.5 Developments in the BIS,IOSCO and IAIS.The International Harmonisation of the Capital Adequacy Regime(Basel Ⅰ,Basel Ⅱ and Newer Proposals) 628

2.5.1 The Functions of the BIS,IOSCO and IAIS 628

2.5.2 The BIS Capital Adequacy Approach for Banks.The Basle Ⅰ Accord.Criticism.Other Regulatory BIS Initiatives.Basel Ⅱ 630

2.5.3 Credit Risk,Position Risk,and Settlement Risk 632

2.5.4 The Risk Assets Ratios,Risk Weightings and Qualifying Capital under Basel Ⅰ 634

2.5.5 1993 BIS Proposals for Netting,Market Risk and Interest Rate Risk.The 1996 Amendment 635

2.5.6 The Building Block Approach 637

2.5.7 Capital for Derivatives 638

2.5.8 Off-balance Sheet Exposures.Contingent Liabilities 639

2.5.9 Capital Adequacy Calculations under Basel Ⅰ.The Level Playing Field for Banks and the Effect of a Change in the Minimum Capital Requirement 640

2.5.10 The 1999 BIS Consultation Document and the 2001 BIS Proposals.Basel Ⅱ(2008)and the American Shadow Committee 643

2.5.11 Continuing Criticism and the 2007-08 Crisis 648

2.5.12 Capital Adequacy Calculations under Basel Ⅱ 652

2.5.13 Perspective 657

Part Ⅲ The EU Directives Concerning the Internal Market in Financial Services and the 1998 EU Action Plan for a Single Market in Financial Services 661

3.1 Early EU Activity in the Regulated Financial Service Industries 661

3.1.1 Restrictions on the Basic Freedoms.Regulated Services and the Concept of the General Good 661

3.1.2 Case Law Concerning the EU Notion of the General Good in Support of Host Country Financial Regulation 664

3.2 The Early EU Achievements in the Regulation of Financial Services 666

3.2.1 Banking 666

3.2.2 Details of the Early Banking Directives and Recommendations 667

3.2.3 Mortgage Credit 668

3.2.4 The Early Securities and Investments Recommendations and Directives 669

3.2.5 UCITS 672

3.3 The European Passport 673

3.3.1 The Third Generation of EU Directives 673

3.3.2 The Further Reduction of the Role of the General Good supporting Host Country Rule after the Third Generation Directives 676

3.3.3 Division of Tasks.No Single EU Regulator.Regulatory Competition 678

3.3.4 Interaction with GATS 679

3.3.5 The EU Reciprocity Requirements.Relation with Third Countries.National Treatment and Effective Market Access 680

3.4 The 1998 EU Action Plan for Financial Services 681

3.4.1 The Main Features 681

3.4.2 Lamfalussy Report and its Implementation.The Role of Comitology 686

3.4.3 The 2005 White Paper on Financial Services 688

3.5 The details of the Third Generation Directives and their Revamping under the 1998 Action Plan 689

3.5.1 SBD/CID:Home Country Rule Reach.Residual Host Country Powers 689

3.5.2 SBD/CID:Scope of the Banking Passport.Universal Banking and the Procedure for Obtaining the Passport.Home and Host Country Communications 691

3.5.3 ISD/MiFID:Basic Structure.Background and Scope 692

3.5.4 ISD/MiFID:Home Country Rule,Authorisation,Capital,Prudential Rules.Procedure for Obtaining the Passport.The Concept of the General Good Revisited 695

3.5.5 ISD/MiFID:Conduct of Business 695

3.5.6 MiFID:Home or Host Country Authority in Matters of Conduct of Business 699

3.5.7 ISD/MiFID:Regulated Markets,Concentration Principle and Stock Exchange Membership.The Competition of Modern Informal Markets or MTFs.Best Execution 700

3.5.8 Clearing and Settlement,CCP Access after MiFID 704

3.5.9 ISD/MiFID:Member States Committee 704

3.5.10 The 2003 Prospectus Directive(PD).The Issuer's Passport 704

3.5.11 The 2003 Transparency Obligation Directive(TD) 708

3.5.12 The EU Approach to Capital Adequacy 709

3.5.13 The Market Abuse Directive 710

3.5.14 Fund Management and UCITS 711

3.6 Other EU Regulatory Initiatives in the Financial Area 711

3.6.1 Large Exposures 711

3.6.2 Deposit Protection and Investor Compensation 712

3.6.3 Winding-up of Credit Institutions 712

3.6.4 Pension Funds 712

3.6.5 International Banking Supervision.Basle Concordat,EU Implementation,Conglomerate Supervision 714

3.6.6 Lead-regulator Concept.International Co-operation 715

3.6.7 The E-commerce Directive 716

3.6.8 Long-distance Selling of Financial Products to Consumers 717

3.6.9 The Take-over Bids Directive 718

3.6.10 Other Parts of the Action Plan:Electronic Money,Money Laundering,Cross-Border Use of Collateral,Taxation of Savings Income 719

3.6.11 Payment Services Directive 720

Index 721