PCS Governance

PCS is an independent initiative.  It is not an industry body, an industry association or a trade association.

PCS does not take instructions from any industry entity or group of entities.  The views expressed by PCS are its own and do not represent the views or opinions of any other entity, including the members or observers of the PCS Association.

PCS was originally funded by non-returnable membership fees, but now finances itself solely from its labelling and verification activities (with the exception of the small one-off membership fee payable by any new member to the Association).  It is a not-for-profit initiative and members of the PCS Association do not – and under Belgian law cannot –  derive any sums from the operations of any PCS entity whether by way of dividends, interest or return of capital.  (This obviously does not preclude a PCS entity from taking an arm’s length commercial loan or entering in arm’s length financial contracts such as currency hedges with banks that may be members of the PCS Association).

The members of the PCS Association all have an equal vote.  They meet at least twice a year and elect the Board of PCS.  The Board will often seek the views and guidance of the members and observers in the PCS Association, but – as an independent board – is not required to follow the members’ advice.

Membership of or observer status in the PCS Association is not closed and any company or association wishing to join should send a mail to: admin@pcsmarket.org.

(Membership is not open to individuals.  Members should be involved in the European securitisation market and there is a small one-off membership fee,)

PCS Association Board

The PCS Association is governed by a nine person board.

More information on the PCS Association Board may be found here.

Market Committee

To assist the PCS Association Board, the association has set up a Market Committee.

More information on the Market Committee may be found here.

Operating Companies Boards

Each of PCS UK and PCS EU are managed by their respective boards.

The boards of the operating companies are chosen by the board of the PCS Association Board as sole shareholder.

In addition to the usual duties of board members, the boards of the operating companies have special obligations to ensure that PCS UK and PCS EU fully comply will all the regulatory requirements imposed on third party verification agents by the STS Regulation and the companies’ respective regulators.  As part of these additional duties, the boards of PCS UK and PCS EU have a special focus on the elimination or management of conflicts of interests and compliance with the PCS Code of Conduct as well as those internal governance and procedure rules that seek to ensure the independence and integrity of the STS verification process.

In compliance with the requirements of the STS Regulation and to underpin the operating companies’ independence and integrity, both the boards of PCS UK and PCS EU will have two independent directors.  The independent directors are required to meet the European Union’s and the UK’s definition of independence respectively.

Further information

  • PCS Articles of Association (English) more >
  • PCS Articles of Association (French) more >
  • PCS Association Mission Statement More >