Recital 1

(1)The prudential framework for investment firms introduced by Directive (EU) 2019/2034 of the European Parliament and of the Council ² and Regulation (EU) 2019/2033 of the European Parliament and of the Council ³ requires certain amendments to Commission Delegated Regulation (EU) 2015/63 ⁴ . In particular, Directive (EU) 2019/2034 has amended the definition of investment firms set out in Directive 2014/59/EU. It is therefore necessary to amend the definition of investment firms set out in Delegated Regulation (EU) 2015/63 accordingly. The amended definition should preserve the exclusions set out in Delegated Regulation (EU) 2015/63. Given that investment firms authorised to operate a multilateral trading facility without performing risk-relevant activities 3 or 6 referred to in Section A of Annex I to Directive 2014/65/EU of the European Parliament and of the Council ⁵ are no longer within the scope of the amended definition set out in Directive 2014/59/EU, the corresponding exclusion in Article 3(2) of Delegated Regulation (EU) 2015/63 has become obsolete and should be deleted. By contrast, the exclusion of certain low-risk investment firms covered by Article 96(1), points (a) and (b), of Regulation (EU) No 575/2013 of the European Parliament and of the Council ⁶ remains necessary to maintain the original scope of Delegated Regulation (EU) 2015/63. Since Article 96 of Regulation (EU) No 575/2013 has ceased to apply as of 1 January 2026, Delegated Regulation (EU) 2015/63 should incorporate the substantive criteria of that provision. Member States retain the power to establish the risk adjustment for the referred excluded investment firms, which are subject to the obligation to pay ex ante contributions pursuant to Article 103(1) of Directive 2014/59/EU, but are authorised to carry out only limited services and activities and are not subject to certain capital and liquidity requirements, in order to not to disproportionately burden them. Those investment firms should therefore continue to be excluded from the scope of Delegated Regulation (EU) 2015/63.