MiFID II - overview of rules and regulations
The European legislative process is rather complex. Therefore, an overview of the various new rules and regulations of MiFID II is provided below.
Lower level rules
ESMA received instructions to draw up guidelines for a number of topics. The objective of the guidelines is European harmonisation of the supervision of specific MiFID II requirements.
This concerns in any case the following guidelines:
- guidelines for the knowledge and competence of advisers: these guidelines deal with the knowledge and competence requirements of advisers and staff who provide information about financial instruments to clients
- guidelines for complex financial instruments: the term complex financial instruments is relevant in order to determine when the appropriateness assessment pursuant to Article 4:24 of the Dutch Financial Supervision Act must be made
- guidelines for the suitability of members of the management body of investment firms and banks: ESMA and EBA will establish these guidelines together
- guidelines for the suitability of members of the management body of trading venues: ESMA will establish these guidelines
- guidelines for the appropriate coordination of circuit breakers of trading platforms: ESMA will establish these guidelines.