ESMA consults on methodology to calculate a benchmark in exceptional circumstances


The European Securities and Markets Authority, the EU’s securities markets regulator, has launched a consultation on draft guidelines detailing the obligations applicable to administrators that use a methodology to calculate a benchmark in exceptional circumstances under the Benchmarks Regulation (BMR).

During exception circumstances such as the COVID-19 pandemic, administrators can use an alternative methodology to calculate a benchmark. This methodology should be made publicly available.

The Consultation Paper published today seeks input on clarifications and specifications regarding the adjustments of benchmarks in exceptional circumstances in relation to three areas:

  1. transparency of methodology
  2. oversight function; and
  3. record keeping requirements.

The draft guidelines also ensure that benchmarks administrators have in place a transparent framework when consulting on material changes to the methodology in a short time period.

Next steps

The consultation closes on 30 April 2021. ESMA will consider the responses to this consultation in drafting its final guidelines, which are expected to be published in Q3 2021.


Further information:

Sarah Edwards

Communications Officer

✆   +33 (1)58 36 64 23



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