FCA has published the minutes of the MiFID 2 implementation round table meeting it held on 30 November. FCA noted:
- there is as yet no indication about the effects of any delay in MiFID 2 transposition on other deadlines within it, nor any suggestion that its transposition date would be linked to the production of Level 2 measures;
- EP’s concerns over certain of ESMA’s proposals in the draft RTS on position limits, the ancillary exemption and non-equity transparency, which suggest these RTS might change from ESMA’s versions;
- FCA may need to reconsider whether it can still publish the paper planned for March 2016. It outlined that the markets consultation due in December would run for three months and cover operating issues for trading facilities, the regime for data reporting service providers, algorithmic trading and revisions to the passport regime. It will also cover how to apply the Principles to eligible counterparty business, transaction reporting for non-MiFID 2 firms and perimeter guidance. The second paper, when published, will include changes to the senior management, client money, conduct of business and enforcement issues and will also consider the impact of the Financial Advice Market Review on FCA rules; and
- ESMA is working on various level 3 material, but some workstreams are more advanced than others and no measures are likely to be published until the implementing measures have been approved. Also, the Commission needs to ask ESMA for advice on equivalence of third countries but will not do this until the implementing measures are finalised.