In 2015, the European Securities and Markets Authority (ESMA) published the results of a peer review that found that the level of implementation of MiFID’s best execution provisions, as well as the level of convergence in the general supervisory practices by Member State competent authorities (NCAs), was relatively low.
ESMA has now published a follow-up report to its earlier peer review on MiFID best execution requirements. ESMA has found that there have been clear improvements in the level of attention that NCAs pay to the supervision of best execution requirements. In general, a more proactive supervisory approach is being applied to monitoring compliance with best execution requirements and best execution appears to have been given higher prioritisation as a conduct of business supervisory issue. However, ESMA has still identified deficiencies in MiFID best execution requirements in 10 NCAs.
View ESMA report to peer review on best execution under MiFID, 11 January 2016