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The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has today published its latest edition of the Spotlight on Markets Newsletter.
Your one-stop-shop in the world of EU financial markets focused in February and March on the Warning on the use of AI for investing as well as on key files related to securitisation and central counterparties.
Despite their innovative potential and popularity, AI tools can generate advice that could be inaccurate or misleading and that may result in poor investment decisions and significant financial losses. In this context, ESMA and the national competent authorities (NCAs) have published a Warning and coordinated #AIInvestorAlert, an EU-wide social media campaign.
On supervisory convergence – ESMA fined Modefinance a total of €420,000, and issued a public notice, for a breach of the Credit Rating Agencies Regulation.
ESMA also released its Peer Review Report on NCAs’ supervision of Simple, Transparent and Standardised securitisations and, together with the European Supervisory Authorities, went out with recommendations to strengthen the overall effectiveness of Europe’s securitisation framework through simplification.
In addition, ESMA published its annual Peer Review Report on the supervision of EU Central Counterparties (CCPs) by NCAs and, together with the Bank of England, ESMA has signed a revised Memorandum of Understanding on cooperation and information exchange concerning the three CCPs established in the United Kingdom.
ESMA also finalised the rules explaining how investment firms should establish their order execution policies and assess their effectiveness and made recommendations to simplify ESG disclosure rules for benchmarks administrators
Other publications:
- 2024 European Common Enforcement Priorities Statement
- Clarifications on Consolidated Tape Provider for bonds
- Spring 2025 Joint Committee update on risks and vulnerabilities in the EU financial system
- First code package on the public code repository GitHub
The newsletter features a full overview of all publications, together with information on hearings and webinars. For updates, follow us on X and LinkedIn.
