Featured Product

    ESMA Chair Says Preparation for MiFID II is on Track

    June 07, 2017

    The ESMA Chair Steven Maijoor delivered the keynote address at the Futures Industry Association IDX Conference in London. His address focused on progress being made on implementation and preparation for Markets in Financial Instruments Directive and Regulation (MiFID II/MiFIR), the exit of the UK from EU, and the review of ESAs.

    He highlighted that a week ago ESMA published its response to the review of ESAs. The response contained recommendations that, ESMA believes, will improve its functioning and better enable it to achieve the objectives of investor protection and stable and orderly EU financial markets. The key proposals concerned four main areas: international aspects of EU financial markets; direct supervision; supervisory convergence; and access to data and reporting. Furthermore, the ESMA Chair reinforced that MiFID II/MiFIR will come into effect on January 03, 2018 and there will be no further delay in its implementation. He detailed the progress made over the last few months and ESMA's support of market participants in preparation for the implementation of MiFID II/MiFIR. ESMA is on track with all MIFID II/MIFIR IT projects, in particular the Financial Instruments Reference Data System (comprising the collection of reference and trading data and the transparency calculations) and the double volume cap mechanism.

     

    ESMA will publish, at the beginning of July, the transitional calculations for non-equity instruments and the liquidity status of all instruments except bonds, thus providing more certainty on the new transparency regime and giving market participants half a year to prepare their systems. The publication of the transitional calculations on the liquidity status of bonds is scheduled for end November and the beginning of December, in addition to the transitional calculations for most equity instruments. With regard to the trading obligation for derivatives, ESMA is about to finalize a consultation paper that is expected to be published in the coming weeks. The paper carefully considers the feedback received to the discussion paper that was published last autumn and ESMA tried to improve the data analysis by supplementing trade repository data with trading data requested from multilateral trading facilities covering the second half of 2016. Given the firm intention of the co-legislators and the EC that the trading obligation becomes effective as soon as possible, there will be only a shortened consultation period of six weeks and ESMA aims to deliver the draft regulatory technical standards to the EC in early autumn. The G20 agreed on the trading obligation back in 2009 and it has been implemented in the U.S. since 2014. Therefore, all stakeholders have had sufficient time to prepare for the trading obligation, thus allowing for its implementation in January 2018, said the ESMA Chair.

     

    Related Link: Speech (PDF)

    Keywords: Europe, ESMA, Banking, Securities, MiFID II, Trade Obligations

    Featured Experts
    Related Articles
    News

    EBA Publishes Phase 2 of Technical Package on Reporting Framework 2.10

    EBA published phase 2 of the technical package on the reporting framework 2.10, providing the technical tools and specifications for implementation of EBA reporting requirements.

    July 10, 2020 WebPage Regulatory News
    News

    FASB Proposes to Delay Implementation of Insurance Contracts Standard

    FASB issued a proposed Accounting Standards Update that would grant insurance companies, adversely affected by the COVID-19 pandemic, an additional year to implement the Accounting Standards Update No. 2018-12 on targeted improvements to accounting for long-duration insurance contracts, or LDTI (Topic 944).

    July 09, 2020 WebPage Regulatory News
    News

    APRA Updates Regulatory Approach to Loan Deferrals Amid COVID Crisis

    APRA updated the regulatory approach for loans subject to repayment deferrals amid the COVID-19 crisis.

    July 09, 2020 WebPage Regulatory News
    News

    BCBS and FSB Set Out Recommendations for Benchmark Transition

    BCBS and FSB published a report on supervisory issues associated with benchmark transition.

    July 09, 2020 WebPage Regulatory News
    News

    IAIS Sets Out Recommendations for Benchmark Transition for Insurers

    IAIS published a report on supervisory issues associated with benchmark transition from an insurance perspective.

    July 09, 2020 WebPage Regulatory News
    News

    ESMA Updates Reporting Manual on European Single Electronic Format

    ESMA updated the reporting manual on the European Single Electronic Format (ESEF).

    July 09, 2020 WebPage Regulatory News
    News

    EBA Calls on Resolution Authorities to Consider Impact of COVID Crisis

    EBA published a statement on resolution planning in light of the COVID-19 pandemic.

    July 09, 2020 WebPage Regulatory News
    News

    BCBS Finalizes Revisions to Credit Valuation Adjustment Risk Framework

    BCBS Finalizes Revisions to Credit Valuation Adjustment Risk Framework

    July 08, 2020 WebPage Regulatory News
    News

    ECB Guideline on Materiality Threshold for Credit Obligations Past Due

    ECB published a guideline (2020/97), in the Official Journal of European Union, on the definition of materiality threshold for credit obligations past due for less significant institutions.

    July 08, 2020 WebPage Regulatory News
    News

    FED Temporarily Revises FR Y-14 With Respect to PPP and CARES Act

    FED temporarily revised the capital assessments and stress testing reports (FR Y-14A/Q/M) to implement the changes in response to the COVID-19 pandemic.

    July 08, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 5458