7.II.5.3 Limited implementing powers for EU institutions

The third and final element that made the ISD post-trade transparency regime bottom-up was the lack of implementing powers for the EU institutions to draft additional regulation. The ISD provided no implementing powers. An EU institution, such as the Commission, could not formally clarify technical matters, such as the ISD post-trade transparency provisions.1 FESCO provided completentary recommendations to the ISD post-trade transparency regime, but – as set out above – these recommendations were formally non-binding. The FESCO guidance merely had the power to result in harmonization in practice (de facto), rather than by regulation (de facto).2 The Commission, nor FESCO, was permitted to draft so-called Level 2 equity post-trade transparency rules under the ISD.