Italy (and EU regulation)

FATF Guidance for a risk-based approach to virtual assets and virtual asset service providers

On 21 June 2019 the Financial Action Task Force (FATF) adopted its 2019 Guidance for a Risk-Based Approach to Virtual Assets and Virtual Asset Service Providers (the Guidance). The Guidance updates the 2015 version of the guidance and accompanies the FATF’s June 2019 Interpretive Note to Recommendation 15 on New Technologies (INR 15) that clarifies … Continue Reading

ESMA report on sanctions and measures imposed under MiFID II in 2018

Article 71(4) of MiFID II, requires the European Securities and Markets Authority (ESMA) to publish an annual report regarding information on sanctions and measures imposed under MiFID II in the previous calendar year, as notified by Member State national competent authorities (NCAs). On 17 July 2019, ESMA delivered its latest report collating information submitted by … Continue Reading

ESMA call for evidence on impact of the inducement and costs and charges disclosure requirements under MiFID II

On 17 July 2019, the European Securities and Markets Authority (ESMA) issued a call for evidence on certain investor protection topics included in the European Commission mandate to ESMA on the reports to be submitted by the Commission under Article 90 of MiFID II. Article 90 of MiFID II provides that the Commission shall, after consulting ESMA, … Continue Reading

EMMI publishes EURIBOR benchmark statement

On 17 July 2019, the European Money Markets Institute (EMMI) published the benchmark statement for the administration of the Euro Interbank Offered Rate (EURIBOR). The statement provides information on EURIBOR across the following areas: market or economic reality; input data and methodology; exercise of judgement or discretion by the EMMI or contributors; cessation and change … Continue Reading

ESMA consults on MiFID II guidelines regarding compliance functions

On 15 July 2019, the European Securities and Markets Authority (ESMA) published a consultation paper containing draft guidelines on aspects of the compliance functions requirements under MiFID II. The purpose of the draft guidelines is to enhance clarity and foster convergence in the implementation of certain aspects of the expanded compliance function requirements introduced under … Continue Reading

EBA update on ITS package for 2020 benchmarking exercise

On 16 July 2019, the European Banking Authority (EBA) published an update to its implementing technical standards (ITS) on benchmarking of internal approaches to reflect comments received following an earlier consultation in December 2018 (see previous blog post). The ITS include all benchmarking portfolios that will be used for the 2020 benchmarking exercise. A zip … Continue Reading

EBA report on final draft ITS on supervisory reporting in regard to FINREP

On 16 July 2019, the European Banking Authority (EBA) published a report setting out its final draft implementing technical standards (ITS) amending Commission Implementing Regulation (EU) 680/2014 on supervisory reporting of institutions with regard to financial reporting (FINREP). The amendments in the draft ITS address the risks of high non-performing exposures (NPE) and forborne exposures … Continue Reading

ESMA consults on draft guidelines on performance fees in UCITS

On 16 July 2019, the European Securities and Markets Authority (ESMA) issued a public consultation on draft guidelines on performance fees under the Undertakings for Collective Investment in Transferable Securities (UCITS) Directive. The draft guidelines aim to improve harmonisation in the way in which performance fees can be charged to UCITS. This follows a mapping … Continue Reading

ESMA updates its EMIR Q&A

On 15 July 2019, the European Securities and Markets Authority (ESMA) updated its Q&As on practical questions regarding the European Markets Infrastructure Regulation (EMIR). ESMA has updated the Q&As so that they are aligned with the EMIR Refit Regulation. The following have been amended or deleted: General questions – Question 1 – Funds, counterparties – … Continue Reading

Global Asset Management Quarterly

The latest issue of Global Asset Management Quarterly is now available here. In this issue we cover: Sustainable finance is a trend set to stay Brexit: latest developments Luxemburg update Ireland update The proposed Australian corporate collective investment vehicle SFC raises disclosure requirements for Green or ESG funds Mutual recognition of funds: Netherland – Hong … Continue Reading

EBA report on the monitoring of the LCR implementation in the EU

On 12 July 2019, the European Banking Authority (EBA) published its first report on the monitoring of liquidity coverage ratio (LCR) implementation in the EU. The EBA’s monitoring of the LCR contributes to a consistent application of EU law and promotes common supervisory approaches and practices in this area. In the report, the EBA has … Continue Reading

ESMA report on the licensing of FinTech business models

On 12 July 2019, the European Securities and Markets Authority (ESMA) published a report on the status of licencing regimes of FinTech firms across the EU. The report is based on two surveys conducted by ESMA since January 2018, which gathered evidence from Member State national competent authorities (NCAs) on the licencing regimes of FinTech … Continue Reading

ESMA consults on MiFID II reports on prices for trade data and consolidated tape for equities

On 12 July 2019, the European Securities and Markets Authority (ESMA) issued a public consultation on the development in prices for pre- and post-trade data and on the post-trade consolidated tape (CT) for equity instruments. The consultation covers the review provisions on the development in prices for pre- and post-trade transparency data from regulated markets, … Continue Reading

ESMA consults on disclosure guidelines under the Prospectus Regulation and updates Q&As

On 12 July 2019, the European Securities and Markets Authority (ESMA) issued a public consultation on draft guidelines on disclosure requirements under the Prospectus Regulation (PR). The purpose of the draft guidelines is to ensure that market participants have a uniform understanding of the relevant disclosure required in the various annexes included in ‘Commission Delegated … Continue Reading

ESMA statement on application of MiFIR trading obligation following entry into force of EMIR Refit Regulation

On 12 July 2019, the European Securities and Markets Authority (ESMA) issued a public statement addressing the misalignment between the scope of counterparties subject to the EMIR clearing obligation (CO) and those subject to the MiFIR derivatives trading obligation (DTO). ESMA’s statement addresses two areas: clearing and trading obligations for small financial counterparties (FCs) and … Continue Reading

Cross border distribution of investment funds – legislation published in the OJ

On 12 July 2019, the following legislative acts were published in the Official Journal of the EU (OJ): Directive (EU) 2019/1160 amending the UCITS Directive and the Alternative Investment Fund Managers Directive with regard to the cross-border distribution of collective investment undertakings; and Regulation (EU) 2019/1156 on facilitating cross-border distribution of collective investment undertakings and … Continue Reading

ESMA warns CFDs providers on application of product intervention measures

On 12 July 2019, the European Securities and Markets Authority (ESMA) issued a statement addressed to providers marketing, distributing or selling contracts for differences (CFDs) to retail clients. The statement is in response to various practices and situations observed in the market, which raise concerns of non-compliance with the legal requirements applicable when providing services … Continue Reading

ESMA updates Q&As on MiFID II and MiFIR market structures and transparency topics

On 12 July 2019, the European Securities and Markets Authority (ESMA) updated its Q&As on market structures and transparency issues under MiFID II and MiFIR. The updated Q&As provide clarification on the following topics: the use of pre-arranged transactions for non-equity instruments; the hedging exemption of Article 8 of MiFIR; the treatment of constant maturity … Continue Reading

ECB announces publication time for euro short-term rate

On 11 July 2019, the European Central Bank (ECB) announced that it will start publishing the euro short-term rate as of 2 October 2019. The rate will be available by 8:00am CET on each TARGET2 business day. If there are errors detected following the publication of the rate that affect it by more than 2 … Continue Reading

ESMA Q&As on CSDR

On 11 July 2019, the European Securities and Markets Authority updated its Q&As on the implementation of the Central Securities Depository Regulation (CSDR). Part IV of the Q&As dealing with internalised settlement now contains answers to the following questions: Should an investment firm report client orders where the corresponding settlement instructions are forwarded in their … Continue Reading

ESMA Q&As on MiFID II and MiFIR investor protection and intermediaries

On 11 July 2019, the European Securities and Markets Authority updated its Q&As on the implementation of investor protection topics under MIFID II and MiFIR. The new Q&As provide clarification on the following: Best execution – Classification of financial instruments under RTS 27 if ESMA has not published any calibrated market sizes.… Continue Reading

GFXC provides further detail on the 3 year review, announces new co-vice chair, and releases new work products

On 10 July 2019, the GFXC released further detail from its 22 – 23 May meeting during which the committee discussed its mandate to consider the case for a comprehensive review of the FX Global Code (Code) at least every three years. The GFXC also announced that Neill Penney, managing director and co-head of trading … Continue Reading

ESMA updates its Q&As regarding the BMR

On 11 July 2019, the European Securities and Markets Authority (ESMA) updated its Q&As on the Benchmarks Regulation (BMR). The new Q&As provide clarification on the following issues: Is the scope of the definition of commodity benchmarks for the purposes of the BMR identical to the scope of the definition of commodity derivatives for the … Continue Reading

EBA reveals the four key trends that will affect payment institutions’ and e-money institutions’ business models

The European Banking Association (EBA) has published a report titled “The Impact of Fintech on Payment Institutions’ and E-Money Institutions’ business models” (the Report). The Report acknowledges the significant changes that have taken place in the broader Fintech landscape over the last few years, focussing on the Payment Institution (PI) and E-Money Institution (EMI) space. … Continue Reading
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