On October 11, 2024, the EBA updated its list of Q&As by adding six new ones that provide clarifications on questions related to credit risk, authorization and registration, etc.

Enquirers can use various factors to search for a Q&A:

These include searching by the Q&A ID; legal reference, date submitted, technical standard / guideline, or by keyword if known.
Searches can be extended to more than one legal act, topic, technical standard or guidelines by making multiple selections (i.e. pressing 'Ctrl' on your keyboard, and selecting the relevant ones from the drop-down lists by left mouse-click).

Regulator Web Page

The ECB has updated the STE templates for SREP Profitability (Non-recurring events) and Subsidiaries reports. The changes include new formulas related to the reference dates for non-recurring events and will take effect on 30 September 2024.

Regulator Web Page

On September 27, 2024, the SRB published a new version of Resolution Reporting taxonomy framework 2025 - 9.0.3, applicable for data in the reference period 2024.

Regulator Web Page

The ECB has updated the STE for SREP Profitability Guidance. They have added examples regarding the sign convention for Profitability (Non-Recurring Events), effective from  September 30, 2024.

Regulator Web Page

Overview: In 2007, the European Securities and Markets Authority (ESMA) developed a single securities rulebook for all national authorities and firms in the EU, known as MiFID I. The regulation was updated as MiFID II and came into effect in 2018. The European Commission adopted the MiFID Quick Fix Directive in February 2021, and the amendments were included in national frameworks and applied starting in February 2022. 

Expanding on the original MiFID, MiFID II covers market structure, dark pools, high frequency trading, direct market access and market transparency. It created new venues known as Organized Trading Facilities, which are similar to SEFs in the U.S. The legislation includes trade reporting requirements and rules for the surveillance of fragmented markets. It provides for reinforced supervisory powers and a harmonized position limits regime for commodity derivative markets to support orderly pricing and prevent market abuse. 

Overview: MiFIR was created to impose rules that EU member states must follow and increase transparency. MiFIR was technically passed as its own regulation, but it is usually referred to in connection to MiFID II. 

MiFIR imposes reporting requirements on authorized firms. Article 3 addresses pre-trade transparency requirements for trading venues in respect of shares, depository receipts, ETFs, certificates and other financial instruments. Article 6 addresses post-trade transparency requirements. Authorized firms must send all their trade data at T+1 intervals to an Approved Reporting Mechanism (ARM). ARMs report details of transactions to domestic competent authorities or ESMA on behalf of investment firms for the purpose of market surveillance. That information is made public through an Approved Publication Arrangement (APA). Further, Article 8 and Article 10 address pre-trade and post-trade transparency requirements for non-equity instruments. 

Overview: The original EMIR aimed to increase stability of OTC derivative markets. The regulation introduced reporting and clearing obligations for eligible OTC derivatives. For example, all entities must report their derivative transactions to their corresponding trade repository in T+1. It also included measures to reduce operational and counterparty credit risk for bilaterally cleared OTC derivatives as well as common rules for central counterparties (CCPs) and trade repositories. EMIR II amended many provisions of EMIR to streamline and reduce the burden of EMIR on derivatives counterparties. 

Overview: MAR provides regulators and exchanges with the means to fight insider trading and market manipulation and to cooperate in international investigations. Ultimately, the legislation’s purpose is to create the basis for trust and market integrity. The law extends to multi-lateral trading facilities (MTFs) and some OTC instruments and harmonizes the framework for prosecuting abuses. All EU Member States must comply with MAR. 

• MAR aims to ensure that EU legislation keeps pace with market developments to combat market abuse on financial instruments, including derivative markets relating to commodities (such as gold or wheat). 
• It explicitly bans the manipulation of commodities and of benchmarks, such as Euribor (the euro interbank offered rate). 
• It strengthens the investigative and sanctioning powers of the regulators appointed by EU Member States to ensure the proper functioning of their financial markets. 
• It provides a single EU rule book while reducing administrative burdens on smaller and medium-sized issuers where possible. 

List of Articles

• Article 1: Subject matter 
• Article 2: Scope 
• Article 3: Definitions 
• Article 4: Notifications and list of financial instruments 
• Article 5: Exemption for buy-back programs and stabilization 
• Article 6: Exemption for monetary and public debt management activities and climate policy activities 
• Article 7: Inside information 
• Article 8: Insider dealing 
• Article 9: Legitimate behavior 
• Article 10: Unlawful disclosure of inside information 
• Article 11: Market soundings 
• Article 12: Market manipulation 
• Article 13: Accepted market practices 
• Article 14: Prohibition of insider dealing and of unlawful disclosure of inside information 
• Article 15: Prohibition of market manipulation 
• Article 16: Prevention and detection of market abuse 
• Article 17: Public disclosure of inside information 
• Article 18: Insider lists 
• Article 19: Managers’ transactions 
• Article 20: Investment recommendations and statistics 
• Article 21: Disclosure or dissemination of information in the media 
• Article 22: Competent authorities 
• Article 23: Powers of competent authorities 
• Article 24: Cooperation with ESMA 
• Article 25: Obligation to cooperate 
• Article 26: Cooperation with third countries 
• Article 27: Professional secrecy 
• Article 28: Data protection 
• Article 29: Disclosure of personal data to third countries 
• Article 30: Administrative sanctions and other administrative measures 
• Article 31: Exercise of supervisory powers and imposition of sanctions 
• Article 32: Reporting of infringements 
• Article 33: Exchange of information with ESMA 
• Article 34: Publication of decisions 
• Article 35: Exercise of the delegation 
• Article 36: Committee procedure 
• Article 37: Repeal of directive 2003/6/EC and its implementing measures 
• Article 38: Report 
• Article 39: Entry into force and application

Overview: Introduced in 2011, REMIT applies to activity that affects wholesale energy prices. Assets (including batteries), activity on balancing markets as well as ancillary services such as Frequency Containment Reserves (FCR), reserves with automatic activation (aFRR) and reserves with manual activation (mFRR) are in scope. REMIT contains various anti-abuse rules. For example, it requires participants to disclose inside information and prohibits manipulation of wholesale energy prices. Some energy products fall within the scope of EMIR, MiFID II and MAR; the latter requires professional persons arranging or executing transactions to carry out effective monitoring.