On 31 May 2021, the European Banking Authority (EBA) and the European Securities and Markets Authority (ESMA) jointly published a provisional list of additional instruments and funds that Member State competent authorities may allow to use as own funds for some of the smallest investment firms.

The list has been put together in accordance with Article 9(4) of the Investment Firm Regulation (IFR) which mandates the EBA and ESMA to establish, maintain and publish a list of all forms of instruments or funds in each Member State that qualify as own funds for investment firms which are not legal persons or joint stock companies or which meet the conditions for qualifying as small and non-interconnected investment firms set out in Article 12(1) of that Regulation.

The EBA, together with ESMA, will assess the terms and conditions of all instruments and funds included in the provisional list against regulatory provisions at a later stage, and subsequently, will update, maintain and publish the list on a regular basis.