On February 18, 2015, the European Commission published a green paper on building a Capital Markets Union. This was published alongside two complementary consultation papers on: (i) a EU framework for simple, transparent and standardized securitization; and (ii) the review of the Prospectus Directive. These publications form part of a wider initiative to develop a single market for capital across the EU. The green paper consults on the establishment of the CMU, which aims to lower the costs of funding within the EU and increase sources of funding for businesses. The paper identifies five priority areas for early action: (i) reducing barriers to accessing capital markets; (ii) widening the investor base to small and medium-sized enterprises; (iii) building sustainable securitization; (iv) boosting long-term investment; and (v) developing European private placement markets. The Prospectus Directive consultation seeks views on making it easier for companies to raise capital throughout the EU whilst effective investor protection is maintained and information to be included in prospectuses is simplified. The consultation on the EU framework for simple, transparent and standardized securitizations aims to increase high-quality securitization, through higher standards of process, legal certainty and comparability across securitization. The green paper and two consultations close for comments on May 13, 2015.

The Green paper is available at:

http://ec.europa.eu/finance/consultations/2015/capital-markets-union/docs/greenpaper_en.pdf;

the Prospectus Directive consultation is available at:

http://ec.europa.eu/finance/consultations/2015/prospectus-directive/docs/consultation-document_en.pdf;

and the consultation on the EU framework for simple, transparent and standardized securitization is available at:

http://ec.europa.eu/finance/consultations/2015/securitisation/docs/consultation-document_en.pdf.