On 16 January 2023, the European Securities and Markets Authority (ESMA) announced that it is launching a common supervisory action (CSA) with Member State competent authorities (NCAs) on the application of MiFID II disclosure rules with regard to marketing communications across the EU.

As part of the CSA, NCAs will review whether marketing communications (including advertisements) are fair, clear and non-misleading and how firms select the target audience for the marketing communications, especially in the case of riskier and more complex investment products.

The 2023 CSA will also be an opportunity to collect information about possible greenwashing practices observed in marketing communications and advertisements.

ESMA believes this initiative and the related sharing of practices across NCAs will help ensure consistent implementation and application of EU rules and enhance the protection of investors in line with ESMA’s objectives.

The CSA will be conducted over the course of 2023.