The new Market Abuse Regime – Legislation in force in the Netherlands as of 3 July 2016
On 3 July 2016, the provisions of the Market Abuse Regulation (MAR) and the new Market Abuse Directive became applicable. The MAR applies directly in the European Economic Area. For an overview of the most important changes for issuers, please click here for our previous alert of May 2016. The amended Decree implementing EU-Regulations regarding the Financial Markets (Besluit uitvoering EU-verordeningen financiële markten) has been published on 1 July 2016 and entered into force on 3 July 2016 as well. This update provides a brief overview of the current MAR implementing legislation and further guidance provided by regulators.
Introductory remarks
Although the MAR became applicable on 3 July 2016, the Dutch implementing legislation is yet not approved by the Dutch Parliament. This is expected after the summer recess of 2016, although earlier entry into force is theoretically possible if the House of Representatives agrees upon the text of the implementation on 7 July 2016 and the Dutch Senate on 12 July 2016.
The Dutch Decree implementing EU-Regulations regarding the Financial Markets entered into force on 3 July 2016. As a result, the Netherlands Authority for the Financial Markets (Autoriteit Financiële Markten, the "AFM") is designated as the competent authority under the MAR in the Netherlands. In performing its supervision, the AFM cannot make use of the new powers and sanctions under the MAR, since these are not approved yet by Dutch Parliament. The AFM therefore must perform its supervision based on the 'old' legislation until the Dutch implementing legislation enters into force.
We list an overview of the relevant legislation applicable as of 3 July, including two European Commission Delegated Regulations that have been published on 30 June 2016. We have also listed information provided by the European Securities and Markets Authority and the AFM.
Regulations and Directive
- Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC
- Directive 2014/57/EU of the European Parliament and of the Council of 16 April 2014 on criminal sanctions for market abuse (market abuse directive)
As amended by:
- Regulation (EU) 2016/1011 of the European Parliament and of the Council of 8 June 2016 on indices used as benchmarks in financial instruments and financial contracts or to measure the performance of investment funds and amending Directives 2008/48/EC and 2014/17/EU and Regulation (EU) No 596/2014
- Regulation (EU) 2016/1033 of the European Parliament and of the Council of 23 June 2016 amending Regulation (EU) No 600/2014 on markets in financial instruments, Regulation (EU) No 596/2014 on market abuse and Regulation (EU) No 909/2014 on improving securities settlement in the European Union and on central securities depositories
- Commission Implementing Directive (EU) 2015/2392 of 17 December 2015 on Regulation (EU) No 596/2014 of the European Parliament and of the Council as regards reporting to competent authorities of actual or potential infringements of that Regulation
Delegated Regulations of the European Commission including technical standards
- Commission Delegated Regulation (EU) 2016/522 of 17 December 2015 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council as regards an exemption for certain third countries public bodies and central banks, the indicators of market manipulation, the disclosure thresholds, the competent authority for notifications of delays, the permission for trading during closed periods and types of notifiable managers' transactions
- Commission Delegated Regulation (EU) 2016/908 of 26 February 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council laying down regulatory technical standards on the criteria, the procedure and the requirements for establishing an accepted market practice and the requirements for maintaining it, terminating it or modifying the conditions for its acceptance
- Commission Delegated Regulation (EU) 2016/909 of 1 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the content of notifications to be submitted to competent authorities and the compilation, publication and maintenance of the list of notifications
- Commission Delegated Regulation (EU) 2016/1052 of 8 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the conditions applicable to buy-back programmes and stabilisation measures
- Commission Delegated Regulation (EU) 2016/957 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the appropriate arrangements, systems and procedures as well as notification templates to be used for preventing, detecting and reporting abusive practices or suspicious orders or transactions
- Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest
- Commission Implementing Regulation (EU) 2016/347 of 10 March 2016 laying down implementing technical standards with regard to the precise format of insider lists and for updating insider lists in accordance with Regulation (EU) No 596/2014 of the European Parliament and of the Council
- Commission Implementing Regulation (EU) 2016/523 of 10 March 2016 laying down implementing technical standards with regard to the format and template for notification and public disclosure of managers' transactions in accordance with Regulation (EU) No 596/2014 of the European Parliament and of the Council
- Commission Implementing Regulation (EU) 2016/378 of 11 March 2016 laying down implementing technical standards with regard to the timing, format and template of the submission of notifications to competent authorities according to Regulation (EU) No 596/2014 of the European Parliament and of the Council
- Commission Implementing Regulation (EU) 2016/959 of 17 May 2016 laying down implementing technical standards for market soundings with regard to the systems and notification templates to be used by disclosing market participants and the format of the records in accordance with Regulation (EU) No 596/2014 of the European Parliament and of the Council
- Commission Delegated Regulation (EU) 2016/960 of 17 May 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the appropriate arrangements, systems and procedures for disclosing market participants conducting market soundings
- Commission Implementing Regulation (EU) 2016/1055 of 29 June 2016 laying down implementing technical standards with regard to the technical means for appropriate public disclosure of inside information and for delaying the public disclosure of inside information in accordance with Regulation (EU) No 596/2014 of the European Parliament and of the Council
Information published by ESMA
- Q&A on the common operation of the Market Abuse Directive (April 2016)
- Q&A on the Market Abuse Regulation (May 2016)
Documents published by the AFM (available in Dutch only)
- Best practices uitgevende instellingen – opstellen, publiceren en distribueren van persberichten met voorwetenschap
- Leidraad voor Uitgevende instellingen, bestuurders en commissarissen
- Brochure: Openbaarmaking voorwetenschap
- Brochure: Voorwetenschap instanties publiek domein
- Interpretaties marktmanipulatie
- STOR template
- Template insider transactions
- Information on:
Links to new AFM templates (e.g. insider transactions) and additional information about the MAR
Requirements with respect to the reporting of data of instruments, which is postponed
The publication of inside information and insider transactions