Corporate & Financial Weekly Digest

Corporate & Financial Weekly Digest

Tag Archives: European Commission

EU Prospectus Regulation: ESMA Consults on Minimum Information Content for Exemption and Guidelines on Risk Factors and Publishes Final Report on RTS

Posted in EU Developments, Financial Markets
On July 13, the European Securities and Markets Authority (ESMA) published a press release announcing two consultations with respect to the new EU Prospectus Regulation. The first consultation paper contains draft technical advice on the minimum content for the information that must be made available to investors when applying for a certain exemption from the… Continue Reading

European Commission Confirms MiFID II Ancillary Exemption Test on An Entity-By-Entity Basis

Posted in Derivatives, EU Developments, Financial Markets
In a May 31 letter, the Vice President of the European Commission (EC), Valdis Dombrovskis, provided confirmation to the Chair of the European Securities and Markets Authority (ESMA) regarding the test to apply the ancillary activity exemption under Article 2(1)(j) of the revised Markets in Financial Instruments Directive (MiFID II). In April 2018, ESMA had… Continue Reading

European Parliament Adopts EMIR 2.1 Proposal

Posted in Derivatives, EU Developments, Financial Markets
On June 12, the European Parliament (EP) issued a press release announcing its adoption in plenary of the proposed regulation to amend the European Market Infrastructure Regulation (EMIR) in respect of, among others, clearing, reporting and risk-mitigation techniques for over-the-counter derivatives contracts not cleared by a central counterparty (CCP).… Continue Reading

Council of EU Adopts MLD5

Posted in EU Developments, Financial Markets
On May 14, the Council of the EU published a press release announcing that it has adopted the proposed Fifth Money Laundering Directive (MLD5). The introduction of MLD5 forms part of the European Commission’s action plan to counter terrorist financing and money laundering, published in February 2016 (further details are available in the Corporate & Financial… Continue Reading

European Commission Proposes New Directive to Protect EU Whistleblowers

Posted in EU Developments, Financial Markets
On April 23, the European Commission (EC) adopted a package of measures, including a draft Directive and an Impact Assessment, to protect whistleblowers who report breaches of EU law. The definition of a “whistleblower” under the proposed new Directive would encompass any person who has “privileged access to information about breaches that can cause serious… Continue Reading

ECON-AFCO Publish Draft Report on Granting ECB Power to Compel CCPs to Locate in the Eurozone

Posted in Brexit, EU Developments, Financial Markets
On April 19 the European Parliament’s Economic and Monetary Affairs Committee (ECON) and Committee on Constitutional Affairs (AFCO) published a draft report (dated April 13) concerning a proposal for an amendment of the Statute of the European System of Central Banks and the European Central Bank (ECB) (the Statute), enhancing the ECB’s powers over central… Continue Reading

EBA Publishes Report Regarding ITS on Reporting for Resolution Plans Under the EU BRRD

Posted in EU Developments, Financial Markets
On April 17, the European Banking Authority (EBA) published its draft implementing technical standards (ITS) on reporting for resolution plans under the EU Bank Recovery and Resolution Directive (BRRD). Under the BRRD, EU Member States must ensure that resolution authorities have the power to require investment firms and credit institutions to cooperate as much as… Continue Reading

ECON Publishes Proposed Amendments to Prudential Supervision of Investment Firms Directive

Posted in EU Developments, Financial Markets
On April 13, the European Parliament’s Committee on Economic and Monetary Affairs (ECON) published a draft report, featuring the European Parliament legislative resolution with ECON’s amendments to a proposal regarding the prudential supervision of EU investment firms. This amends the Capital Requirements Directive IV and the revised Markets in Financial Instruments Directive (MiFID II) (collectively,… Continue Reading

European Parliament Adopts Fifth Money Laundering Directive

Posted in EU Developments, Financial Markets
On April 19, the European Parliament (EP) published a press release announcing its adoption of a proposal for a fifth Anti-Money Laundering Directive (MLD5). The introduction of MLD5 forms part of the European Commission’s action plan to counter terrorist financing and money laundering, published in February 2016 (further details are available in the Corporate &… Continue Reading

ESMA Clarifies Quoting Obligations Under MiFIR for Systematic Internalizers

Posted in EU Developments, Financial Markets
On March 26, the European Securities and Markets Authority (ESMA) published its final report on proposed amendments to the regulatory technical standards on transparency requirements for trading venues and investment firms in respect of shares, depositary receipts, exchange-traded funds, certificates and other similar financial instruments. The report included amendments regarding transaction execution obligations in respect… Continue Reading

UK Government and EC Publish Draft UK/EU Withdrawal Agreement

Posted in Brexit, Brexit/UK Developments, EU Developments, UK Developments
On March 19, the UK government and the European Commission (EC) published a draft withdrawal agreement (Latest Draft Agreement) which includes the legal text agreed by negotiators on the transition period following the UK’s withdrawal from the European Union (EU).… Continue Reading

Implementation of MiFID II Still Incomplete Across Europe

Posted in Brexit, EU Developments, Financial Markets
Further updating the Corporate &Financial Weekly Digest edition of December 8, 2017, as of January 8, there were still only 14 European Union (EU) Member States (i.e., only 50 percent of the EU) that have fully transposed the revised Markets in Financial Instruments Directive (MiFID II) into their national law (as reported on the European… Continue Reading

CFTC Approves Exemption From SEF Registration Requirements for Multilateral Trading Facilities and Organized Trading Facilities Authorized Within the EU

Posted in CFTC, Derivatives
On December 8, in response to a request by the European Commission (EC), the Commodity Futures Trading Commission issued an order exempting certain multilateral trading facilities (MTFs) and organized trading facilities (OTFs) authorized within the European Union (EU) from the requirement to register with the CFTC as swap execution facilities (SEFs).… Continue Reading

Many EU Countries Have Not Yet Adopted MiFID II

Posted in EU Developments, Financial Markets
On December 5, Valdis Dombrovskis, the vice-president of the European Commission (EC), recognized that most European Union (EU) Member States have not yet fully adopted the provisions set out under the revised Markets in Financial Instruments Directive (MiFID II). In a public session of a meeting of EU finance ministers in Brussels, Mr. Dombrovskis urged… Continue Reading

Deadline Set for Banks To Meet New Payment Standards in Europe

Posted in EU Developments
The Payment Services Directive (PSD2) becomes effective in January 2018, and its regulatory technical standards (RTS) on strong customer authentication and common and secure open standards of communications are scheduled to be published in September 2019 in the Official Journal of the European Union. But the requirements of the RTS will now be considered actionable… Continue Reading

Three Developments Concerning EU-US Cross-Border Swaps

Posted in CFTC, Derivatives, Dodd-Frank Developments, EU Developments
On October 13, the Commodity Futures Trading Commission and the European Commission (EC) made three announcements that are significant for cross-border swap activity between the United States and Europe. CFTC Margin Rule Comparability Determination. The CFTC has made a determination that the margin rules for uncleared swaps that apply in the European Union are comparable to… Continue Reading

EU Begins Infringement Proceedings Against 19 Member States Failing to Implement MiFID II

Posted in EU Developments, Financial Markets
The European Commission has launched infringement proceedings against 19 member states of the European Union whom it states are failing in transposing the revised Markets in Financial Instruments Directive (MiFID II) into local law. MiFID II is due to go into effect on January 3, 2018, and the deadline for transposition into local law was… Continue Reading

European Commission Adopts Delegated Regulation Amending MiFID II Systematic Internalizer Definition

Posted in EU Developments
On August 28, the European Commission (EC) published the text of an EC Delegated Regulation (SI Delegated Regulation), amending Delegated Regulation (EU) 2017/565 with respect to the specification of the definition of systematic internalizers (SI) for the purposes of the revised Markets in Financial Instruments Directive (MiFID II).… Continue Reading

EC Launches Systematic Internalizer Amendment Consultation and Publishes Commodities Reporting ITS

Posted in Derivatives, EU Developments, Financial Markets
On June 20, the European Commission (EC) published a consultation and draft amendment to Delegated Regulation (EU) 2017/565 (Delegated Regulation) supplementing the revised Markets in Financial Instruments Directive (MiFID II). The Delegated Regulation specifies, among other things, additional criteria to be considered in determining whether a firm is a systematic internalizer (SI) for the purposes… Continue Reading

MiFID II Delegated Regulation and Implementing Technical Standards Published

Posted in EU Developments, Financial Markets
The revised Markets in Financial Instruments Directive (MiFID II) and the Markets in Financial Instruments Regulation (MiFIR) call for multiple implementing technical standards (ITS) and delegated regulations to provide legislative details not contained within the text of MiFID II and MiFIR. Several of these were recently published: On June 12, the European Commission (EC) adopted… Continue Reading

European Commission Publishes Proposed EMIR Amendments Impacting the Relocation of Euro Clearing

Posted in Brexit, EU Developments, Financial Markets
On June 13, the European Commission (EC) published a proposed amendment (Proposal) to the European Market Infrastructure Regulation (EMIR) aimed at enhancing the supervision of EU and non-EU based or “third-country” central counterparties (CCPs). The Proposal follows the suggested reforms to EMIR published in May 2017 (for further information, please see the Corporate & Financial… Continue Reading

FIA Publishes Letter Opposing Relocation of Euro-Denominated Derivatives Clearing

Posted in Brexit, Derivatives, EU Developments, Financial Markets
On June 6, the Futures Industry Association (FIA) published a letter addressed to European Commission (EC) Vice–President Valdis Dombrovskis, detailing its concerns about the potential approach of forced relocation of euro-denominated derivatives clearing to the European Union. Forced relocation was raised as an option for ensuring the protection of the financial stability and monetary policy… Continue Reading

European Commission Publishes Draft of EU Position Papers for Brexit Negotiations

Posted in Brexit, EU Developments
On May 29, the European Commission (EC) published two draft papers (Position Papers) setting out the position that it will take in negotiations with the United Kingdom relating to citizens’ rights (CR Paper) and the financial settlement to be reached with the United Kingdom (FS Paper).… Continue Reading