- Issued supervisory briefing to ensure compliance with MiFIR pre-trade transparency.
- Developed after ESMA became aware that the provisions were not implemented in a consistent manner across EU, aims to increase supervisory convergence among NCAs.
- And to provide common timetable for the enforcement of the commodity derivatives pre-trade transparency regime, with the objective of ensuring a level playing field.
- Clarifies NCAs must ensure trading venues don't operate trading functionalities which allow the formalization of negotiated trades in the absence of any compliant waiver.
- To achieve the objective the briefing sets the following common three-step timetable.
- NCAs must gather information on the plans of each relevant trading venue to comply with the pre-trade transparency requirements, and ESMA should assess those plans.
- NCAs should make sure the trading venues either operate under compliant pre-trade waiver or are pre-trade transparent; this should be completed by the end of 2019.
- NCAs must take supervisory measures in case of non-compliance, from Jan. 1, 2020.
- ESMA to closely cooperate with NCAs and regularly monitor the application of briefing.
- Will review progress and measures undertaken six months after beginning of 3rd step.