Regulatory Timeline: Financial Services

“The most significant event on the financial services timeline is the impending implementation of the second incarnation of the Markets in Financial Instruments Directive (MiFID II).

MiFID was primarily concerned with delivering harmonised European rules in the name of investor protection in the securities and derivatives markets. The main thrust behind MiFID II is to remove ‘dark pools’ of market liquidity by forcing increased publication of trading data.”

25 March 2015 – Consideration of draft report on MMF Regulation

After the European Parliament’s Committee on Economic and Monetary Affairs (ECON) published its draft report on 23 November 2014, on the proposed Regulation on Money Market Funds (MMF Regulation), the European Parliament is due to consider the MMF Regulation on 25 March 2015.

1 April 2015 – Fourth Money Laundering Directive and Wire Transfer Regulation

By March/April 2015, the European Parliament is expected to vote on the Fourth Money Laundering Directive and Wire Transfer Regulation.

1 April 2015 – PSR becomes fully operational

The new independent economic regulator of payment systems in the UK, the Payment Systems Regulator (PSR), expects to become fully operational by 1 April 2015. Ahead of this, it has been building its executive team and issuing consultations.

1 April 2015 – The European Parliament is expected to vote on MIF Regulation

ECON voted in favour of the Multilateral Interchange Fee Regulation (MIF Regulation) in January 2015, with the European Parliament as a whole due to vote on the MIF Regulation in April 2015.

3 July 2015 – ESMA to submit to the Commission final RTS on MiFID II

Date on which the European Securities and Markets Authority’s (ESMA) is expected to submit draft regulatory technical standards (RTS) to the Commission.

22 July 2015 – ESMA to give an opinion on the functioning of the passport for EU AIFMs managing and marketing EU AIFs

ESMA is due to provide an opinion to the European Council, the European Commission and the European Parliament on:

• The functioning of the passport for EU Alternative Investment Funds Managers (AIFMs) marketing and managing EU Alternative Investment Funds (AIFs) under Articles 32 and 33 of the Alternative Investment Funds Managers Directive (AIFMD);
• The functioning of the marketing of non-EU AIFs by EU AIFMs in Member States; and
• The marketing and management of AIFs by non-EU AIFMs in Member States using national placement regimes under Articles 36 and 42 of the AIFMD.

22 July 2015 – Decision on availability of the EU passport for non-EU funds and fund managers under AIFM

The decision is a result of ESMA’s review of the National Private Placement Regimes under the Directive. The decision will determine whether ESMA can widen the application of the passport to market funds to non-EU fund and fund managers.

1 August 2015 – Implementation deadline for the European Bank Authority’s guidelines on the security of internet payments

The European Bank Authority published its final guidelines on 19 December 2014. The guidelines set out measures that payment service providers in the EU are expected to implement by 1 August 2015 in relation to the security of internet payments.

22 November 2015 – European Payments Council updates on the Single Euro Payments Area rulebooks come into effect

On 25 November 2015, the European Payments Council will publish updated versions of its Single Euro Payments Area direct debit and credit transfer rulebooks, together with associated implementing guidelines. The updated rulebooks will take effect on 22 November 2015.

1 January 2016 – Expected date for the final rules on the capital buffer requirements of the CRD IV Directive (2013/36/EU) (CRD V) to come into force

On 30 April 2014, the PRA published a policy statement setting out final rules on the capital buffer requirements, together with an accompanying supervisory statement. The policy statement addresses the uncertainty raised relating to the CRD IV capital buffers framework.

3 January 2016 – ESMA to submit to the Commission final RTS on MiFID II

Date on which ESMA is to submit draft implementing technical standards to the European Commission.

18 March 2016 – Deadline for transposing UCITS V Directive (2014/91/EU) into national law

The UCITS V Directive came into force on 17 September 2014, amending the UCITS IV Directive (2009/65/EC) to introduce changes relating to the depository function, manager remunerations and sanctions. Member States have until 18 March 2016 to transpose the UCITS V Directive into national law.

1 April 2016 – Date on which the full FCA regime for consumer credit regulation comes into effect

By 1 April 2016, the full FCA consumer credit regime will come into effect, replacing the interim permission regime. This means that every firm carrying on consumer credit business and peer-to-peer financing (crowdfunding) will have to be fully authorised by this time.

1 July 2016 – Expected month for the MAR to come into force

On 12 June 2014 the texts of the Market Abuse Regulation (Regulation 596/2014) (MAR) were published in the Official Journal of the European Union. The MAR will enter into force in July 2016, except for certain provisions specified in Article 39, which came into effect on 2 July 2014.

3 July 2016 – Deadline for Member States to adopt and publish implementing measures of the MiFID II Directive (2014/64/EU)

The MiFID II proposals (consisting of the MiFID II Directive and the Markets in Financial Instruments Regulation [Regulation 600/2014] [MiFIR]) amend the Markets in Financial Instruments Directive (2004/39/EC), with a focus on increasing market transparency and protecting the integrity of the financial system, as well as on investor protection. Member States must adopt and publish measures transposing the MiFID II Directive into national law by 3 July 2016.

3 January 2017 – MiFiD II Directive and MiFIR are to apply

By 3 January 2017, the MiFID II Directive and the MiFIR will apply within Member States.