The Netherlands Authority for the Financial Markets (AFM) has developed a method that provides better insight into the impact of payment for order flow (PFOF) services by brokers. An initial analysis of a number of parties shows that PFOF results in structurally worse prices for retail investors. In the Netherlands, PFOF is prohibited and the…

The Dutch government has set itself the goal of having a fully circular economy by 2050. The financial sector plays a crucial role in this. However, there are still many obstacles to financing circular companies and projects. For example, companies have to operate within the framework of a predominantly linear economy, in which negative…

On 1 January 2022, the ESMA took on its new mandate as direct supervisor of the largest EU Data Reporting Service Providers (DRSPs). Its new role gives ESMA direct authorisation and supervisory powers over DRSPs, except for those entities that, due to more limited market impact, will continue to be supervised by their Member State…

Climate change is not just a European problem. Solving the climate crisis does not only require action by European actuaries and insurance and pension companies, so a global view is needed. Ideally, there should be no global inconsistencies or local European regulatory gaps that can be exploited to circumvent risk-based and scientifically…

DNB examines the impact of the ECB's quantitative easing (QE) on the sovereign bond risks of Italy, Ireland, Spain and Portugal. First, panel regression model results suggest that QE reduced the impact of volatility on government bond yields by 1 to 2 percentage points. Compared to asset purchases aimed at easing the stance of monetary policy,…

The ESMA has published its latest edition of its Spotlight on Markets Newsletter covering December 2021 and January 2022. ESMA takes primary a closer look at the latest developments for Central Counterparties (Final Reports on the Recovery Regime, the consultation on anti-procyclicality measures, and the assessment of systemically…

The ESMA published its fourth annual statistical report on the Alternative Investment Fund (AIF) sector. The report covers the 30 members of the European Economic Area (EEA30) and shows that the sector increased by 8% in 2020 to EUR 5…

The purpose of this brochure is to explain to the Eurosystem’s counterparties and other market participants involved in CCBM procedures how the CCBM works, and to give a general overview of the model’s main features.

Please find the brochure…

The dashboard shows that, on the whole, banks continue to make progress in building up their level of MREL, the financial instruments each bank must hold to absorb losses and recapitalise in the event of a failure. The final deadline for the build-up is 1 of January 2024, and the intermediate binding target date was 1 January 2022. The…

The three European Supervisory Authorities (EBA, ESMA and EIOPA) published a Joint ESAs thematic repository on financial education and digitalisation initiatives of National Competent Authorities (NCAs), with a specific focus on cybersecurity, scams and fraud. The repository contains 127 national initiatives that provide consumers with helpful…