ESMA sets out final position on Share Trading Obligation

The statement outlines that the trading of shares with a European Economic Area (EEA) ISIN on a UK trading venue in UK pound sterling (GBP) by EU investment firms will not be subject to the EU STO.

Metadata
Provider: 
ECEC
URL: 
https://www.esma.europa.eu/press-news/esma-news/esma-sets-out-final-position-share-trading-obligation-0https://www.esma.europa.eu/press-news/esma-news/esma-sets-out-final-position-share-trading-obligation-0
Retrieved on: 
Monday, October 26, 2020
Information
Tags: 
Currency, Politics of the European Union, United Kingdom and the European Union, Withdrawal from the European Union, Foreign relations of the European Union, European Economic Area, Multi-speed Europe, Pound sterling
Summary
Key Points: 
  • The statement outlines that the trading of shares with a European Economic Area (EEA) ISIN on a UK trading venue in UK pound sterling (GBP) by EU investment firms will not be subject to the EU STO.
  • This currency approach supplements the EEA-ISIN approach outlined in a previous ESMA statement of May 2019.
  • ESMA, based on EU-wide data, regards that such trading by EU investments firms occurs on a non-systematic, ad-hoc, irregular and infrequest basis.
  • ESMA however notes that the scope of the UK STO after the end of the transition period remains unclear at this stage.
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