investor protection topics. ESMA has added new Q&As covering the following topics:

• suitability and appropriateness;
• inducements;
• the provision of investment services and activities by third country firms; and
• the application of MiFID II after 3 January 2018 (the date of transposition), including issues of late transposition.

The following questions have been added to the late transposition section:

• should authorisations to perform investment services or activities granted under MiFID I still be valid after 3 January 2018?
• should passport notifications made before the entry into application of MiFID II, still be valid after 3 January 2018 or will firms need to make new passport notifications to the competent authorities of their Member State?
• can firms established in Member States that have not transposed MiFID II at the date of 3 January 2018, and that already have a valid authorisation and a passport, continue to provide investment services in other Member States after the entry into application of MiFID II?
• should competent authorities in a host Member State be obliged to accept new passport notifications concerning firms authorised in a Member State that has not transposed MiFID II at the date of 3 January 2018?
• if a host Member State has not transposed MiFID II by 3 January 2018, can it refuse to accept notifications from the home competent authority of an incoming firm, or can it prevent the firm from carrying on business in the territory of that Member State in accordance with its passporting rights either remotely or through a branch?

View ESMA updates MiFID II and MiFIR Q&As on investor protection, 18 December 2017