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|22/05/2015||2015/884||Press Release- ESMA calls for modification of UCITS Directive||Fund Management, Press Releases||Press Release||PDF
|01/06/2015||2015/904||The Capital Markets Union, Asset Management and Stability||Fund Management, Speeches||Speech||PDF
|Steven Maijoor delivered a speech at the 26th Annual Conference of the International Bar Association on the Globalisation of Investment Funds.|
|11/10/2016||2016-1459||ECON Hearing AIFMD passport Steven Maijoor Opening Statement||Fund Management||Speech||DOCX
|16/11/2016||2016-1579||ESMA Chair speaks on improving outcomes for investors in investment funds||Fund Management, Speeches||Speech||PDF
|19/07/2016||2016/1138||ESMA advises on extension of funds passport to 12 non-EU countries||Fund Management||Press Release||PDF
|02/02/2016||2016/138||ESMA updates on supervisory work on closet index tracking||Fund Management, Press Releases||Press Release||PDF
The European Securities and Markets Authority (ESMA) has published a Statement providing details of its work on closet index tracking funds.
Closet indexing, also known as index hugging, refers to the practice of fund managers claiming to manage portfolios actively when in reality the fund stays close to a benchmark. ESMA is concerned the practice may harm investors as they are not receiving the service or risk/return profile they expect based on the fund’s disclosure documents while potentially paying higher fees compared to those typically charged for passive management.
ESMA conducted research on a sample of 2,600 funds for the period 2012-2014 to determine whether it could find any indication of closet indexing at an EU-wide level. Quantitative metrics, such as the percentage of a UCITS’ portfolio that does not coincide with the underlying equity benchmark, indicated between 5 and 15% of UCITS equity funds could potentially be closet indexers. ESMA then reviewed the investor disclosure documents of the funds concerned, to see how they described their management strategy, and found they tended to confirm the quantitative analysis results.
|31/03/2016||2016/472||ESMA publishes UCITS remuneration guidelines||Fund Management, Press Releases||Press Release||PDF
The European Securities and Markets Authority (ESMA) has published its final Guidelines on sound remuneration policies under the UCITS Directive and AIFMD. ESMA has also written to the European Commission, European Council and European Parliament on the proportionality principle and remuneration rules in the financial sector.
UCITS Remuneration Guidelines
The UCITS Remuneration Guidelines provide clarity on the requirements under the UCITS Directive for management companies when establishing and applying a remuneration policy for key staff. The Guidelines will ensure a convergent application of these provisions and provide guidance on the governance of remuneration, requirements on risk alignment and disclosure. The Guidelines will apply to UCITS management companies and national competent authorities from 1 January 2017.
ESMA, while finalising its UCITS Remuneration Guidelines, had to balance the alignment with the AIFMD Remuneration Guidelines and the obligation to closely cooperate with the European Banking Authority (EBA) in order to ensure consistency with requirements developed for other financial services sectors, in particular credit institutions and investment firms.
The UCITS Directive prescribes that proportionality shall apply to the full set of remuneration principles set out under this Directive. However, the Guidelines do not include guidance on the possibility of dis-applying certain specific requirements on the pay-out process. This follows recent work and legal analysis, including the EBA’s Guidelines under CRD IV, which have called into question the existing understanding that the proportionality provisions as set out under the UCITS Directive and AIFMD may lead to a result:
ESMA considers that these scenarios should remain possible in certain situations and, in its letter to the European institutions, suggests that further legal clarity on this possibility could be beneficial to all the interested parties. Legislative changes in the relevant asset management legislation could be one way to further clarify the applicable regulatory framework.
ESMA believes that it would be inappropriate for the following fund managers to be subject in all circumstances to the requirements on the pay-out process:
ESMA also considers that it would be disproportionate to apply the requirements to relatively small amounts of variable remuneration and to apply certain requirements to certain staff when this would not result in an effective alignment of interests between the staff and the investors in the funds.
AIFMD Remuneration Guidelines
The amended AIFMD guidelines will come into force on 1 January 2017. The amendment to the AIFMD guidelines relates to the section of these guidelines dealing with the application of the remuneration rules in a group context and is intended to acknowledge the potential outreach of the CRD rules in a banking group.
The current AIFMD Guidelines will not be amended to bring them into line with the UCITS Guidelines pending clarification on the application of the proportionality principle.
The Guidelines in Annexes III and IV will be translated into the official languages of the European Union and the final texts published on the ESMA website. The deadline for compliance notifications will be two months after the publication of the translations.
|26/05/2016||2016/735||Speech for the AIMA Global Policy and Regulatory Forum – Verena Ross, 18 May 2016, London||Fund Management, Speeches||Speech||PDF
|13/03/2019||BoA PR 01||Board of Appeal PR- Shadow Ratings Appeals||Board of Appeal||Press Release||PDF
|27/03/2020||ESMA34-39-967||ESMA consults on guidance to address leverage risk in the AIF sector||Fund Management||Press Release||PDF
|12/02/2019||ESMA34-45-634||Keynote Address by Verena Ross- 7th Annual Cross-Border Distribution Conference||Fund Management||Speech||PDF
Keynote address delivered at the 7th Cross-Border Distribution Conference in Luxembourg.
|13/05/2019||ESMA34-45-704||Keynote speech Evert van Walsum Swedish Fund Association's Annual Conference||Fund Management||Speech||PDF
|06/03/2019||ESMA35-43-1740||Keynote by ESMA Chair Maijoor at ALFI Asset Management Conference||Brexit, Fund Management||Speech||PDF
|22/11/2019||ESMA71-319-157||Keynote Address- EFAMA Investment Management Forum||Fund Management, Speeches||Speech||PDF
|13/02/2019||ESMA71-319-91||Brexit – the regulatory challenges||Brexit, Fund Management, MiFID - Secondary Markets, Post Trading, Speeches, Supervisory convergence||Speech||PDF
Steven Maijoor keynote at the European Financial Forum in Dublin
|03/04/2019||ESMA71-319-93||Steven Maijoor Keynote speech- BETTER FINANCE 10th Anniversary 2019||Fund Management, MiFID - Investor Protection, Risk Analysis & Economics - Markets Infrastructure Investors, Speeches||Speech||PDF
|30/01/2017||ESMA71-844457584-331||Opinion on UCITS Share Classes||Fund Management||Press Release||PDF
|28/09/2018||ESMA71-99-1043||Press release- ESMA consults on stress testing rules for money market funds||Fund Management||Press Release||PDF
|19/12/2018||ESMA71-99-1085||Press release- ESMA consults on measures to promote sustainability in EU capital markets||Credit Rating Agencies, Fund Management, MiFID - Investor Protection||Press Release||PDF
|01/02/2019||ESMA71-99-1096||ESMA and EU securities regulators MoUs with FCA||Board of Supervisors, Brexit, Credit Rating Agencies, Fund Management, Press Releases, Trade Repositories||Press Release||PDF