ESMA confirms EU’s hardline stance to MiFIR Derivatives Trading Obligation post-Brexit

In a frustrating twist to the dangerously slow-moving narrative on cross-border financial market access post- Brexit, ESMA yesterday (25 November) issued a public statement confirming the EU's hardline stance to the derivatives trading obligation (DTO) under MiFIR.  The DTO requires EU investment firms to trade certain classes of derivatives only on EU-authorised trading venues – or third country trading venues certified by the European Commission as equivalent. No such equivalence decision has been made or signalled by the EU for purposes of the DTO – and ESMA's latest statement declines to offer any forbearance or similar relief to EU firms currently using UK venues for this purpose. Read more

2020 Global Bank Review: #disruption

We are excited to launch the 2020 edition of our Global Bank Review#disruption. While the banks sector has faced significant challenges before, the depth and breadth of Covid-19’s disruption has left banks in the position of having to brace for impact to their own businesses, whilst simultaneously demonstrating a change in culture, providing support to vulnerable customers, and supplying vital credit for regrowing our economies. Read more

FCA’s Approach to International Firms

The FCA has published a consultation (CP20/20) on its general approach to international firms. The consultation and the finalised approach document published after consultation are intended to provide guidance that will help international firms understand the FCA’s expectations as they prepare for their applications for UK authorisation, informing firms’ decision about how they might want to structure their businesses to provide regulated financial services in the UK. The final approach document will supplement the FCA’s existing guidance on its approach to authorisation and supervision. Read more

Lisa Osofsky re-examines the priorities of the SFO at the Cambridge International Symposium on Economic Crime

On 7 September 2020, Lisa Osofsky, the Director of the Serious Fraud Office (SFO), delivered a keynote address at the Cambridge International Symposium on Economic Crime. In light of Covid-19, this year’s speech was delivered virtually, via YouTube. In her speech, Ms Osofsky re-examined the four key priorities that she outlined at her first address to the Cambridge International Symposium on Economic Crime in 2018 and referred to a number of new developments which she said would affect the SFO’s future work. Read more

MiFID II: ESMA guidance on compliance function requirements

ESMA published, on 5 June 2020, new final guidelines on certain aspects of the compliance function requirements under the recast Markets in Financial Instruments Directive (MiFID II)[1]. The new guidelines replace those issued in 2012, and have been updated in accordance with MiFID II requirements - specifically article 16(2) of MiFID II and article 22 of the MiFID II Delegated Regulation[2]. Read more