ESMA AGREES POSITION LIMITS UNDER MIFID II

06/08/2020

The European Securities and Markets Authority (ESMA), the EU’s securities markets regulator, has today published twelve opinions on position limits regarding commodity derivatives under the Markets in Financial Instruments Directive and Regulation (MiFID II/MIFIR).

ESMA’s opinions agree with the proposed position limits regarding:

the EEX Panamax Freight contracts;
the EEX Capesize TC5 Freight contracts;
the EEX Capesize C7 Freight contracts;
the EEX Supramax TC10 Freight contracts;
the EEX NCG Gas contracts;
the EEX GPL Gas contracts;
the EEX CEGH-VTP Gas contracts;
the EEX PSV Gas contracts;
the EEX PEG Gas contracts;
the ICE Endex Italian Power Base contracts;
the ICE Endex German Power Base contracts; and
the ICE Endex NGC Gas contracts.

ESMA found that the proposed position limits are consistent with the objectives established in MiFID II and with the methodology developed for setting those limits. ESMA will continue to assess the notifications received and issue opinions in order to ensure that the position limits are set in accordance with the MiFID II framework.