The European Securities and Markets Authority (Esma) has outlined the focus of its work through the coming year, which will include supervisory convergence, assessing risks in financial markets, taking on new direct supervisory responsibilities under the Securities Financing Transactions Regulation and the Securities Regulation, lending support to the Sustainable Finance Initiatives, and ensuring preparations are in place for Brexit.
The workload could be amended further, the Authority stated, should it be required to take into account potential revisions to its mandate following the Review of the European System of Financial Supervision and Emir 2.2.
Steven Maijoor, chair, (pictured) said: “In 2019 Esma will continue its focus on promoting supervisory convergence and assessing risks with a continued emphasis on the consistent implementation of Mifid II/Mifir, but with an added focus on utilising the data gathered under this regime to assist us in meeting our stability, orderly markets and investor protection objectives.”
“The transition to Mifid in 2018 has required us to be flexible and adaptable in managing the introduction of the regime and this will be invaluable to the organisation as we continue our preparations for the UK’s withdrawal from the European Union. This will make demands on Esma, and NCAs, in terms of supervisory convergence work, financial stability work as well as third-country policies.”
“Additionally, we continue to plan for possible changes to Esma’s mandate under the ESAs and Emir Reviews. We will be flexible in adapting and reprioritising the Work Programme to this changing environment while continuing to meet our responsibilities in enhancing investor protection and promoting stable and orderly markets.”
Key work in the area of supervisory convergence, assessing risks, single rulebook and direct supervision will include:
- Supporting the consistent application of MiFID II and MiFIR along with the Prospectus Regulation and Securitisation Regulation by market participants and National Competent Authorities (NCAs);
- Utilising the data gathered under MiFID II/MiFIR to support its work on stable and orderly markets;
- Contributing to the implementation of the Capital Markets Union Action Plan and of the Fintech Action Plan; and
- Enhancing the effectiveness of its supervisory activities for credit rating agencies (CRA) and trade repositories (TR), while preparing for the registration and supervision of new entities under the Securitisation Regulation and SFTR.
For full details of Esma’s work through 2019 click here: https://www.esma.europa.eu/sites/default/files/library/esma20-95-933_2019_annual_work_programme.pdf