European Securities and Markets Authority

ESMA performs an analysis of the cross-border investment activity of firms

Retrieved on: 
Wednesday, July 19, 2023

The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, and national competent authorities (NCAs) completed an analysis of the cross-border provision of investment services during 2022.

Key Points: 
  • The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, and national competent authorities (NCAs) completed an analysis of the cross-border provision of investment services during 2022.
  • The increase in the cross-border provision of financial services has benefits for consumers and firms, as it fosters competition, expands the offer available to consumers and the market for firms.
Next steps
    • [2] Firms that provided investment services to less than 50 retail clients in any other Member State where not included in the scope of the data collection exercise.
    • This approach has allowed for clear proportionality in conducting the exercise, with no burden for firms below the materiality threshold.


      Further information:

Solveig Kleiveland

ESMA publishes 2022 UCITS and AIFMD sanction reports

Retrieved on: 
Tuesday, July 18, 2023

ESMA publishes 2022 UCITS and AIFMD sanction reports

Key Points: 
  • ESMA publishes 2022 UCITS and AIFMD sanction reports
    The European Securities and Markets Authority (ESMA), the EU securities markets regulator, today publishes its 2022 reports on the use by National Competent Authorities (NCAs) of sanctions under the Undertakings for Collective Investments in Transferable Securities (UCITS) and the Alternative Investment Fund Managers Directive (AIFMD).
  • Some highlights from the data
    - UCITS sanctions: In 2022, 9 NCAs imposed a total of 38 penalties, compared with 61 penalties issued by 12 NCAs in 2021.
  • - AIFMD sanctions: In 2022, 10 NCAs issued a total amount of penalties of €2.5M, compared to €42.9M in 2021.
  • - 16 NCAs did not impose any sanction either under the UCITS Directive or the AIFMD during this period.

ESMA publishes Report on Suspicious Transactions and Order Reports

Retrieved on: 
Monday, July 17, 2023

ESMA publishes Report on Suspicious Transactions and Order Reports

Key Points: 
  • ESMA publishes Report on Suspicious Transactions and Order Reports
    17/07/2023
    The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, is today publishing a Report on Suspicious Transactions and Order Reports (STORs).
  • The report provides an overview of how STORs are used across different jurisdictions in the context of the detection and investigation of market abuse, and how their use has evolved over time.
  • The report covers mainly 2021 and 2022.
  • Next steps
    ESMA continues to monitor STORs and may issue an updated report next year covering 2023.

National regulators strengthen their supervision of the compliance function

Retrieved on: 
Thursday, July 13, 2023

National regulators strengthen their supervision of the compliance function

Key Points: 
  • National regulators strengthen their supervision of the compliance function
    The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has today published its follow-up report to the peer review on certain aspects of the compliance function under MiFID I.
  • The report shows that, overall, the National Competent Authorities (NCAs) assessed improved their practices following the 2017 peer reviews findings and recommendations.
  • Two NCAs, CySEC and CBI, are encouraged to continue this process in the following manner:
    - CySEC should consolidate its supervisory approach to ensure ongoing supervisory focus on firms’ compliance function
    - CBI should structurally integrate all elements of the ESMA Guidelines on the compliance function under MiFID into its supervisory approach and increase its controls on the compliance function of non-banking investment for firms.
  • Next steps
    As the compliance function remains a key element to promote sound and compliant behaviour by firms, all NCAs should continue monitoring the effective application of the Guidelines and the effectiveness of the supervisory practices implemented, taking supervisory action when needed.

EBA consults on draft technical standards on complaints handling procedures under the Markets in Crypto-Assets Regulation

Retrieved on: 
Thursday, July 13, 2023

12 July 2023

Key Points: 
  • 12 July 2023
    The European Banking Authority (EBA) published today a Consultation Paper on draft regulatory technical standards (RTS) on complaints handling procedures for issuers of asset-referenced tokens (ARTs) under the Markets in Crypto-Assets Regulation (MiCAR).
  • These draft RTS aim at ensuring prompt, fair and consistent handling of complaints by holders of ARTs and other interested parties.
  • The EBA is mandated to develop, in close cooperation with the European Securities and Market Authority (ESMA), draft RTS on the complaints handling procedures of issuers of ARTs.
  • The consultation paper on complaints handling is published on the same date as consultation papers on authorisations and qualifying holdings.

ESMA seeks first input on detailed rules for crypto markets

Retrieved on: 
Wednesday, July 12, 2023

ESMA seeks first input on detailed rules for crypto markets

Key Points: 
  • ESMA seeks first input on detailed rules for crypto markets
    The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has published its first consultation package under the Markets in Crypto-Assets Regulation and invites comments from stakeholders by 20 September 2023.
  • In this first of three consultation packages, ESMA is seeking input on proposed rules for crypto-asset service providers (CASPs), in particular related to their authorisation, identification and management of conflicts of interests and also how CASPs should address complaints.
  • In addition, ESMA aims to gather more insight on respondents’ current and planned activities, as a fact-finding exercise to better understand the EU crypto-asset markets and their future development.
  • Verena Ross, Chair of ESMA, said:
    “This first consultation package is an important milestone for ESMA in the implementation of the MiCA framework.

ESMA does not find evidence to ban pre-hedging but warns on risks

Retrieved on: 
Wednesday, July 12, 2023

ESMA does not find evidence to ban pre-hedging but warns on risks

Key Points: 
  • ESMA does not find evidence to ban pre-hedging but warns on risks
    The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, is today releasing the Final Report on the feedback received to the 2022 Call for Evidence on pre-hedging.
  • ESMA concludes that pre-hedging is a voluntary market practice which might give rise to conflicts of interest or abusive behaviours.
  • Whereas ESMA does not find arguments to ban this practice at this stage, it also flags that these risks should be considered when issuing any future guidance.
  • ESMA committed to provide guidance on pre-hedging in the Final Report on the Market Abuse Regulation review.

ESMA issues Opinion on CNMV product intervention measures

Retrieved on: 
Wednesday, July 12, 2023

ESMA issues Opinion on CNMV product intervention measures

Key Points: 
  • ESMA issues Opinion on CNMV product intervention measures
    The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has today issued an Opinion on product intervention measures taken by the Spanish Comisión Nacional del Mercado de Valores (CNMV).
  • Background
    NCAs may take product intervention measures in accordance with Article 42 of Regulation (EU) No 600/2014.
  • In accordance with Article 43 of Regulation (EU) No 600/2014, ESMA performs a facilitation and coordination role in relation to such product intervention measures taken by NCAs.
  • The opinions that ESMA previously issued on proposed national product intervention measures are published on its website.

ESMA provides insights into the expected sustainability disclosures in prospectuses

Retrieved on: 
Tuesday, July 11, 2023

ESMA provides insights into the expected sustainability disclosures in prospectuses

Key Points: 
  • ESMA provides insights into the expected sustainability disclosures in prospectuses
    The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has issued a Public Statement on the sustainability disclosure expected to be included in prospectuses.
  • Expected ESG disclosure in prospectuses
    The Statement draws attention to the sustainability-related disclosure necessary to satisfy the relevant provisions of the Prospectus Regulation (PR).
  • ESMA emphasises the importance of an issuer’s non-financial reporting under the Non-Financial Reporting Directive and the future sustainability reporting under the Corporate Sustainability Reporting Directive, especially because such disclosure may be material under the PR and included in an issuer’s prospectus.
  • The Public Statement also notes that sustainability-related disclosure is sometimes included in advertisements but not in prospectuses themselves and highlights that this disclosure should be included in prospectuses if it is material under the PR.