Regulatory Reporting for Financial Companies in Luxembourg - S2.16, S2.17, TPTIBS
BCL
These instructions describe the information to be gathered, the formats and rules for creating the reports, as well as the procedures for transmitting them to the BCL.
U IT offers a solution called “RFC GUI” for encoding and generating the reports, along with full technical expertise for configuring and supporting the transmission tool that will be used to send them.
The remainder of this article explains the conditions and usefulness of this data collection, describes the reports involved, and provides a practical summary of how to generate and transmit these reports in Luxembourg.
Conditions and Purpose of This Collection
The company must be Luxembourg-based, of the “financial company” type, and have total assets exceeding 500 million.
A financial company is defined as any Luxembourg company whose corporate purpose primarily includes at least one of the following activities:
Holding participations in other companies (holdings, SOPARFI, etc.)
Acquiring receivables and debt instruments (factoring, invoice discounting, purchase of receivables, bonds, certificates of deposit, etc.)
Investing in financial instruments (shares, bonds, securities, derivatives…)
Borrowing funds in any form
Lending funds to third parties (intra-group loans, guarantees, warranties, financing of subsidiaries…)
For the precise and official definition: see page 6 of the BCL FAQ (PDF).
Its objective is to:
Provide the BCL with reliable data for analysing the Luxembourg financial market;
Measure risks, and geographic and sector exposure;
Monitor changes in balance sheets and transactions to support monetary policy or supervisory decisions;
Ensure transparency and regulatory compliance of financial companies.
All data collected by the BCL are aggregated and transmitted to the ECB, which receives the same types of harmonised data from all other national central banks in the euro area. This enables centralised pan-European supervision and statistical analysis, ensuring consistency in monetary policy and prudential oversight across the eurozone.
S 2.16: Quarterly Statistical Balance Sheet
The S 2.16 report is a quarterly statistical balance sheet that must be submitted within 20 working days after the end of the relevant period.
In this report, companies declare their assets and liabilities according to several criteria: country, geographical area of the ultimate beneficiary, currency, economic sector, and original maturity of commitments.
Submission is done via XML format, following schemas defined by the BCL, and requires compliance with internal consistency checks as well as cross-checks with other reports (notably the security-by-security reporting).
This reporting provides the BCL with a clear and structured view of the balance sheets of Luxembourg financial companies, thereby strengthening macro-prudential supervision and the quality of financial statistics.
S 2.17: Quarterly Financial Transactions
The S 2.17 report targets financial companies selected according to criteria set by the BCL. It must be submitted quarterly, within 20 working days after the end of the reference period.
The main objective of this declaration is to record the financial transactions carried out during the period, meaning the net acquisition of financial assets or the net increase in liabilities (for example through subscriptions, purchases, or issuances), measured at commercial transaction value.
Operations such as debt write-offs or valuation changes are not considered financial transactions within this framework.
The declaration only covers certain balance sheet items: for example, “Non-financial assets” (item 1-006000) or, potentially, derivative instruments (related items) if these positions exceed 5% of the company’s total balance sheet.
The data must be broken down according to several criteria: country, currency, economic sector, and original maturity of financial commitments.
This reporting allows the BCL to analyse inflows and outflows of assets and liabilities within financial companies, providing better insight into their behaviour and supporting macro-prudential monitoring.
TPTIBS: Monthly Security-by-Security Reporting
The TPTIBS report is a monthly security-by-security reporting (hence the acronym TPT in french).
Each month, companies must declare the securities they hold (assets) and issue (liabilities), providing detailed information: balance sheet line, type of security, issuer identification, holding method, quantity, and specific characteristics depending on the type of security (debt instrument, equity, etc.).
Amounts must be reported in the balance sheet currency, and the BCL requires internal and external consistency checks (notably between this reporting and the quarterly statistical balance sheet S 2.16) to ensure data quality.
This reporting provides the BCL with a precise overview of the composition of the assets and liabilities of Luxembourg financial companies, thereby strengthening macro-prudential supervision and the reliability of financial statistics.
In Practice
If you are required to submit such reports to the BCL, two aspects must be considered:
Encoding and generating the reports
Transmitting them to the BCL
Report Creation
Since 2015, U IT has offered a solution enabling users to encode and generate the three reports. This solution is called “RFC GUI”, where “RFC” stands for Reporting Financial Companies and “GUI” indicates that it is an interactive tool (GUI = Graphical User Interface).
The solution is Excel-based: three separate tools for the three types of reports, sold under an annual licence that varies depending on the number of entities subject to the reporting.
The strengths of our solution are:
More than twice the number of checks required by the BCL, minimising feedback and corrections
Additional dedicated features (cross-check, quick update, auto backups, etc.)
Use of Excel (easy to install, popular with users)
High-quality support
More information is available on the next page of our website.
Report Submission
Two options are available: SOFiE Sort, developed by Worldline, or e-file, developed by Fundsquare (FE Fundinfo). These two tools are known as “secure channels”. They have been in place since 2008, following the overhaul by the CSSF of the financial data collection system for banks.
It is therefore necessary to open an account with one of these two applications in order to transmit reports to the BCL.
U IT specialises in the SOFiE Sort application and offers the following services:
Installation, configuration, and setup of a SOFiE Sort account
Renewal of certificates (SSL, Luxtrust)
Automation (BATCH mode)
Any other technical assistance and/or troubleshooting (remote or on-site)
If you need to send these reports for your company, group, or one of your clients, we invite you to contact us. We will take the time to answer all your questions and help you make the best choice.