CESR adopts its workplan to deliver supervisory convergence in the application of MiFID:
Following the finalisation of the legislative phase of MiFID, CESR is shifting its priorities to tasks of an operational nature. CESR is of the view that a key factor in the successful functioning of MiFID will be dependent upon an intensification of efforts to strengthen supervisory convergence. In this regard, CESR has determined to advance uniform implementation of the rules across the EU and the establishment of the MiFID work programme, following consultation with market participants, was the first step towards delivery of this objective.Responses to the consultation on CESR's MiFID Level 3 work program called on CESR to prioritise work that will have an impact on firm's processes and systems, and work that has a direct impact on facilitating the cross-border provision of investment services and activities, record keeping requirements and transaction reporting. The MiFID Level 3 work programme, published today, therefore focuses on those priorities for 2007 (Ref. CESR/06-550b) which are most considered to assist the market stakeholders in their preparation for implementation. Furthermore, responses indicated the need for much of this guidance to be delivered by end of February (early March), and stakeholders agreed that in order to achieve this, shorter consultation periods (from CESR’s usual practice of 3 months) would be acceptable.
CESR begins work through the launching of its first round of public consultation:
Today's announcement also launches the first round of public consultations relating to Level 3 work under MiFID. The consultations launched today include two documents, on record keeping requirements and market data publication and consolidation.
Record keeping requirements:
In brief, MiFID establishes that competent authorities shall draw up and maintain a list of the minimum records investment firms are required to keep. In this regard, CESR is considering, as described in its consultation paper (Ref. CESR/06-552), issuing a recommendation to its members with the content of the list of minimum records that competent authorities need to develop. It is important to note, however, that CESR is not proposing to harmonise the content of the different records in the list.
CESR is of the opinion that both investors and industry would benefit from a common approach to the list that the different competent authorities have to establish. This is in line with our objectives of (i) facilitating a consistent and timely day-to-day implementation of the regime, (ii) fostering supervisory convergence, (iii) facilitating the provision of cross-border investment services and activities, and (iv) ensuring a common minimum basis for investor protection.
Comments are welcomed by 27 November 2006 and can be submitted on CESR's website (as is the usual practice, under 'consultations').
Publication and consolidation of MiFID market transparencyMiFID introduces a harmonised regime for publication of market transparency information, at the same time it opens up the market for more competition in trading.
In order to ensure smooth functioning of the publication of pre and post trade information as well as the consolidation of this information CESR members are considering joint interpretations and Level 3 guidance on publication mechanisms (including the use of websites), availability of the transparency information, and related data standards.
The proposals (Ref: CESR/06-551) are based on views expressed during the call for evidence in spring 2006 and related discussions with market participants.
Comments are welcomed by 15 December 2006 and can be submitted on CESR's website (as is the usual practice, under 'consultations').
