Einde inhoudsopgave
EU Equity pre- and post-trade transparency regulation (LBF vol. 21) 2021/8.II.1.5.2
8.II.1.5.2 Limitation to shares admitted to trading on an RM
mr. J.E.C. Gulyás, datum 01-02-2021
- Datum
01-02-2021
- Auteur
mr. J.E.C. Gulyás
- JCDI
JCDI:ADS266785:1
- Vakgebied(en)
Financieel recht / Bank- en effectenrecht
Financieel recht / Europees financieel recht
Financiële dienstverlening / Financieel toezicht
Voetnoten
Voetnoten
Commission, Revision of Investment Services Directive (93/22/EEC), Second Consultation, 25 March 2002 , p. 9. The Commission noted that often the valuation of financial instruments other than shares could be established on the basis of fixed reference values or the value of an underlying (including shares) (ibid).
Commission, Revision of Investment Services Directive (93/22/EEC), Second Consultation, 25 March 2002 , p. 9. The Commission noted that often the valuation of financial instruments other than shares could be established on the basis of fixed reference values or the value of an underlying (including shares) (ibid).
Commission, Revision of Investment Services Directive (93/22/EEC), Second Consultation, 25 March 2002 , p. 3.
Art. 27-30 and art. 41-42 Commission, Proposal for a Directive Of The European Parliament and of the Council on Investment Services and Regulated Markets, and Amending Council Directives 85/611/EEC, Council Directive 93/6/EEC, and European Parliament and Council Directive 2000/12/EC, 19 November 2002 (COM(2002) 625 final) (hereafter: Commission, MiFID I Proposal, 19 November 2002 (COM(2002) 625 final).
ECB (European Central Bank), Opinion of the European Central Bank of 12 June 2003 at the request of the Council of the European Union on a proposal for a Directive of the European Parliament and of the Council on investment services and regulated markets, 12 June 2003 (CON/2003/9), point 15.
Recital 45 Council, MiFID I Common Position, 8 December 2003(2004/C 60 E/01).
Recital 46 MiFID I Directive.
Under the ISD post-trade transparency obligations applied to all financial instruments, including shares, depositary receipts, bonds, and derivatives.1 This position changed during the ISD-review. The Commission stated that details of completed trades (post-trade information) would only improve the pricing process for shares (not: other financial instruments).2 In view of the Commission, the valuation of other financial instruments, in contrast to shares, did not depend so crucially on timely market transparency.3 The Commission argued that fragmentation risks, such as an impairment of the price formation process, related primarily to shares.4 The Commission therefore proposed post-trade transparency rules in respect of shares only. The Commission proposed the (pre- and) post-trade transparency obligations only to apply to shares admitted to trading on an RM.5
The position of the Commission was contentious. The ECB, for example, argued that the Commission’s proposal left bonds outside the scope, being a very significant asset class. The ECB also noted that the Commission did not explain the reasons for this limited implementation of the (pre- and) post-trade transparency obligations.6 The contentious nature of the Commission’s proposal was also evident in the Council’s position on MiFID I. The Council introduced a Member State option, which permitted Member States to apply the MiFID I (pre- and) post-trade transparency requirements to financial instruments other than shares.7 The latter position was also apparent in the final MiFID I text. MiFID I limited the scope of the post-trade transparency obligations to shares admitted to trading on an RM.8 Member States were permitted to expand the obligations to other financial instruments than shares.9