On 29 July 2022, the European Securities and Markets Authority (ESMA) published a call for evidence on pre-hedging. The aim is to promote discussion among stakeholders and gather further evidence on the practice of pre-hedging that could help ESMA to develop appropriate guidance.

The call for evidence illustrated the arguments in favour and against such practice, and it requests contributions from stakeholders in order to properly delineate its admissibility in the context of the Market Abuse Regulation (MAR) and MiFID/MIFIR.

Stakeholders – investment firms, credit institutions, proprietary traders, market makers, asset management companies and any other market participants including trade associations and industry bodies, institutional and retail investors, consultants, and academics – are invited to submit their responses by 30 September 2022.