ESMA Chair: MiFID II Implementation

The Chair of the European Securities and Markets Authority (ESMA), Steven Maijoor, delivered a keynote address at the FESE Convention 2018 in Vienna on Thursday 21 June. The speech focused on MiFID II implementation – progress made and priorities for future ESMA work.

Key areas of focus included:

Progress on Legal Entity Identifiers and Double Volume Cap

LEI progress

“ESMA and NCAs have been closely monitoring the use of LEIs and have observed a steady and substantial increase in its use: currently 95.5% of the instruments reported in our reference data system have the correct LEI”.


“The double volume cap system has been up-and-running and has resulted – to date – in the suspension of dark trading of more than 900 instruments. As a result, the number and volume of transactions in dark pools has significantly decreased”.

“However, for a number of trading venues we are still dealing with data quality issues. I therefore urge those of you who have not yet submitted all necessary and correct data, to step up your efforts. “

Systematic Internalisers/Periodic Auctions

“We are currently carrying out a fact-finding exercise on the different periodic auction trading systems to understand the various features of these systems. This is an exercise that requires an in-depth analysis as no two auction trading systems are the same. If deemed necessary, this may result in further ESMA measures or recommendations.”

Brexit – 3rd country equivalence and the benefits of a harmonised 3rd country regime

“The Commission has been proposing to amend the MiFIR equivalence conditions for third country investment firms ahead of Brexit and we would welcome an initiative by the Commission with respect to third country trading venues.

To ensure a consistent approach, and that risks for the EU related to third country venues are addressed, it is essential to introduce a harmonised EU regulatory and supervisory framework governing third-country venues.”

Source: ESMA

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