ESMA RESPONDS TO EUROPEAN COMMISSION ON ANNUAL REVIEW OF RTS 2
The European Securities and Markets Authority (ESMA) has responded to the European Commission (EC) regarding the Annual Review of RTS 2. RTS 2 requires ESMA to submit annual reports to the EC assessing the operation of some transparency thresholds for bonds and derivatives.
The letter outlines that ESMA and the EC agree that it is not advisable to perform the annual review of RTS 2 in the course of 2019 due to the remaining uncertainties around a potential no-deal Brexit. ESMA reiterates however its intention to perform the annual review of RTS 2 by 30 July 2020.
The letter follows on from earlier correspondence on 17 June 2019 in which ESMA raised concerns that including or excluding UK data from the assessment would have a fundamental impact on the results and given the remaining uncertainties regarding the timing and conditions of Brexit, ESMA does not consider that this is a suitable time for performing the assessment.