On 20 October 2025, the draft Implementation Act regarding the review MiFID II and MiFIR (Implementatiewet herziening richtlijn markten voor financiële instrumenten 2014, the Draft Implementation Act) was published for public consultation.
The Draft Implementation Act transposes the amended Markets in Financial Instruments Directive (MiFID II) into the Act on the Financial Supervision (Wet op het financieel toezicht, the AFS) and implements certain changes resulting from the amended Markets in Financial Instruments Regulation (MiFIR).
The Draft Implementation Act transposes the following key changes:
- Scope for systematic internalisers
The definition of ‘systematic internalisers’ (SIs) is amended to include qualitative criteria rather than quantitative criteria. Under the MiFIR review, SIs are excluded from the transparency requirements for financial instruments that are not equity instruments. As a result, the qualitative criteria now apply solely to the internal handling of equity instruments. Investment firms may still choose to apply the rules for SIs voluntarily, even if they do not meet the qualitative criteria.
- Scope for entities trading on own account
The scope for entities trading on own account is clarified to indicate that non-financial entities that (i) trade on own account for the purpose of liquidity management or to limit risks directly related to their commercial activities or cash management activities, and (ii) have access to a trading platform through Direct Electronic Access (DEA) are exempted from the AFS. Such entities cannot be market makers, execute client orders or use high-frequency trading techniques. DEA may only be provided by licensed investment firms, banks or market operators, which must ensure that their clients using DEA comply with certain requirements following from MiFID.
- Consolidated tape
Investment firms and market operators must comply with certain quality requirements regarding the data they provide to consolidated tape providers (CTPs). This ensures that CTPs have access to relevant, up-to-date and high-quality trading data on an ongoing basis.
- Periodic reports on the execution of client orders
Investment firms will no longer be required to periodically provide information about their order execution policy on an ongoing basis. These periodic reports allowed clients to determine how the investment firm complied with its best execution obligation. In practice, clients only rarely used such periodic reports. With the consolidated tape being available, soon, clients will be able to obtain insight into the quality of the order execution policy via the consolidated tape.
- Limiting market volatility
Trading platforms have to comply with requirements regarding mechanisms aimed at limiting excessive market volatility including the ability to temporarily suspend or restrict trading. The Draft Implementation Act provides that trading platforms must also be able to activate such mechanisms in the event of an emergency, even before significant volatility has occurred. Market operators must publish information about these mechanisms on its website. The AFM may take measures to restore the orderly functioning of the markets if a market operator does not adequately apply these mechanisms.
- Transparency for energy derivatives and emission allowance derivatives
Market participants have expressed a greater need for adequate information relating to energy derivatives and instruments derived from emission allowances. The Draft Implementation Act introduces additional reporting requirements for these instruments.
Market parties are invited to respond to the Draft Implementation Act by 16 November 2025.