|Author (Corporate)||European Commission: DG Financial Stability Financial Services and Capital Markets Union|
|Series Details||COM (2021) 726|
|Content Type||Blog & Commentary, Policy-making|
Legislative initiative - adopted by the European Commission on 25 November 2021 - introducing amendments to Directive 2014/65/EU on markets in financial instruments (MiFID II). This is a text with EEA relevance.
Directive 2014/65/EU - also known as the second Markets in Financial Instruments Directive (MiFID II) - introduced a legal framework seeking to improve the regulation of trading activities on financial markets as well as enhanced investor protection.
In the framework of the work undertaken to fully implement the Capital Markets Union (CMU), the European Commission identified three priority areas that required reviewing: improving transparency and availability of market data, improving the level-playing field between execution venues and ensuring that European Union's market infrastructures can remain competitive at international level. In a Communication adopted in January 2021, the European Commission confirmed its intention to propose the improvement, simplification and harmonisation of capital markets' transparency. This would be done through the review of the MiFID 2 and MiFIR. Such a reform would include the design and implementation of a consolidated tape, in particular for corporate bond issuances with an aim of increasing the liquidity of secondary trading 3 in euro-denominated debt instruments.
A package of legislative measures adopted on 25 November 2021 included draft laws proposing the review of the two acts. This proposal holds incidental modifications to MiFID II which became necessary to ensure coherence with the MiFIR review tabled simultaneously. The Council of the European Union adopted a general approach on 20 December 2022.
|Subject Categories||Economic and Financial Affairs, Internal Markets|
|Subject Tags||Capital Markets Union [CMU], Financial Services|
|Keywords||Free Movement of Capital
|International Organisations||European Union [EU]|