On February 4, 2016, ESMA published translations of its Guidelines for complex debt instruments and structured deposits under the Markets in Financial Instruments Directive II. MiFID II allows investment firms, under certain circumstances only, to provide clients with investment services that consist of execution, reception and transmission of orders only (known as execution only orders), without the investment firm having to obtain any relevant client information to assess whether the service or product provided is appropriate for a particular client. Such products must be non complex. ESMA’s Guidelines identify those complex products for which execution only services may not be provided, setting out a non exhaustive list of examples of such products. National regulators have two months to notify ESMA whether or not they comply with the Guidelines.

The Guidelines will apply from January 3, 2017. The Guidelines are available at: https://www.esma.europa.eu/sites/default/files/library/2015-1787_- _guidelines_on_complex_debt_instruments_and_structured_deposits.pdf