Transcript THE EU SECURITIES ACQUIS Sofia, 16 September 2005 José Manuel PORTERO CNMV

THE EU SECURITIES ACQUIS
José Manuel PORTERO
CNMV
[email protected]
Sofia, 16 September 2005
1
THAT WAS THEN...
• Early 90s –Liberalisation of transactions in securities
• 1993 –Two very important Directives enacted on
– Investment Services
– Capital Adequacy
which make possible the right to establish and
freedom to provide services
• However significant obstacles and barriers still in place...
2
THAT WAS THEN...PART II
•
1999- The European Commission set-up the Financial
Services Action Plan –FSAP- 42 measures to be adopted
•
Main goal -to speed-up the creation of a single European
market in the financial services field-
•
Main tools
–
–
–
–
Generalization of home country approach
Harmonisation of standards
Mutual recognition
Coordination between national supervisory bodies
3
... THIS IS NOW
• 2005
• 39 out of 42 original measures of the FSAP have been
adopted
• Only one major measure relating to securities is still under
negotiation –the review of the capital requirements of
Investment Firms• And future work –maybe regulation- on clearing and
settlement is expected by next year
• And, last but not least...
4
...THIS IS NOW...WORKING
• The Four-Level regulatory approach under the Lamfalussy
process
–
–
–
–
Level 1 –Adoption of framework principlesLevel 2 –Implementing measuresLevel 3 –Common guidelines issued by regulatorsLevel 4 –Enforcement of MS compliance with EU rules
European Securities Committee –ESCCommittee of European Securities Regulators –CESR.......................................................fully operational!!!
5
BUT THIS IS ONLY THE END OF THE
BEGINNING
• From 2005 onwards
• What next?
– Better regulation
– Transposition
– Enforcement
– Continuous evaluation
• Way forward?
– Green Paper on Financial Services Policy explains it
all!!!
6
RELEVANT EU LEGISLATION IN THE
SECURITIES FIELD
Author’s Choice
7
MARKETS IN FINANCIAL INSTRUMENTS
DIRECTIVE –2004/39/EC• To set-up harmonized requirements for authorisation of
Investment Firms, Regulated Markets and MTFs
• To enhance pre and post trade transparency on securities
transactions
• To make mandatory co-operation between jurisdictiosn
8
MARKET ABUSE DIRECTIVE -2003/6/ECCOMMISSION IMPLEMENTING RULES
• To mitigate, to detect and to define market manipulation
and insider dealing
• Definition and public disclosure of inside information
• Investment recommendations and disclosure of conflicts of
interest
9
PROSPECTUS DIRECTIVE –2003/71/ECCOMMISSION REGULATION
• European Passport for Prospectuses
• Harmonized requirements for Prospectuses
• Information contained in Prospectuses and dissemination
of advertisements
10
TRANSPARENCY DIRECTIVE
-2004/109/EC• To establish a common financial disclosure regime within
the EU for issuers of listed securities
• To improve the European dissemination on information on
issuers
11
UCITS DIRECTIVES
2001/107/EC—2001/107/EC
• To establish the conditions of access and authorisation
• Relations with third countries
• Obligations of the Depositories
• Policy of investment on financial instruments
12
ENDORSEMENT OF IAS/IFRS
COMMISSION REGUL. -1606/2002/EC
• To endorse the International Accounting
Standards/International Financial Reporting Standards to
be applied since January 2005 to consolidated groups of
listed companies
13
CAPITAL REQUIREMENT DIRECTIVE
• To adapt the new Basel Accord –Basel II- to European
legislation by the re-casting of the two existing Directives
on
– Capital Adequacy –1993/6/EC– Banking –2000/12/EC-
14
DON QUIXOTE SAID 400 YEARS AGO
“...TO BE PREPARED IS HALF THE
VICTORY”
Definitely Still Valid After All These Years!!!
15