EU Securities and Markets Authority (ESMA) (Regulation)
The responsibilities and powers of the European Securities and Markets Authority (ESMA) are to be significantly widened. For this purpose, the EU Commission has proposed a Regulation. In addition to ESMA, this will principally affect investment funds, investment firms, trading venues, data reporting services, benchmark administrators and contributors, issuers and of course investors.
In cep’s view, a centralised EU securities supervision for EuVECA, EuSEF and ELTIF funds by ESMA is not useful unless the applicable law is also harmonised. cep also criticises the fact that centralised supervision of securities prospectuses by ESMA is disproportionate with respect to the Member States. ESMA only needs to take on a purely coordinating function such as by providing guidelines for the national supervisory authorities.