UK: FCA Updates Website For Implementation Of MiFID II (Investment Management Brief: 11 January 2018)

Last Updated: 11 January 2018
Article by David Heffron, Elizabeth Budd and Ian Warner

UK Regulatory

FCA updates website for implementation of MiFID II

The FCA has published several updates to its website in light of MiFID II coming into force on 3 January 2018. These include:

  • updates to the transaction reporting web page [03.01.2018] which contains sections on "data quality", "errors and omissions notifications" and "who can submit transaction reports?" as well as additional resources;
  • a list of Technical Standards under MiFID II and MiFIR has been added to the "MiFID II" web page [03.01.2018];
  • updated change in controller forms to add separate forms where the target firm is authorised under MiFID, for: corporate; partnership; individual; and trust controllers; and to use in internal reorganisations for intragroup transactions [02.01.2018]; and
  • Change of legal status page contains newly issued application forms for Change of Legal Status for MiFID firms (including Article 3 exemption firms) [03.01.2018]. The FCA will accept applications begun in draft on the previous forms but, after 1 April 2018, applicants must use the new forms. Those that started to prepare applications for MiFID firms on the old forms should consider switching to the new forms the FCA says.  

FCA publishes response to ESMA's statement on temporary measures where LEIs are not available from clients and non-EU issuers

The FCA has published its response to ESMA's statement on LEI implementation under MiFID II containing some temporary measures for LEIs for legal persons and issuers [20.12.2017]. For a six month temporary period ESMA will allow investment firms to provide services for which they are to submit a transaction report to the client, even if they do not have an LEI from that client, on condition that, before doing so, the investment firm obtains the necessary documents from the client to apply for an LEI on the client's behalf. This temporary six month period runs from 3 January 2018. The arrangement for trading venues, also for a temporary period of six months, is for them to report their own LEI codes (instead of those of non-EU issuers) while informing such non-EU issuers of the need for a LEI (under MiFIR and/or MAR as applicable). The FCA has stated in relation to LEIs for clients that are legal persons that it will "temporarily amend a validation rule in our transaction reporting system [...] as soon as possible, but that change will not be made by 3 January." It will provide more information to executing firms and ARMs at a later date. Regarding issuers, it has stated that "Venues should continue their efforts to populate missing LEI data for issuers. Supervisors will be in contact with venues to discuss their progress in reducing the number of missing LEIs."

FCA and BoE grant transitional periods for open access for exchange-traded derivatives

ICE Futures Europe and the London Metal Exchange have been granted transitional periods by the FCA [03.01.2018] until 3 July 2020, until which date they will not be required to consider open access requests under article 36 MiFIR in relation to exchange-traded derivatives. For more information, please see our Out-law article. The Bank of England, the UK's competent authority for CCPs based in the UK decided, for the same period, that the access rights under Article 35 MiFIR will not apply to ICE Clear Europe Limited and to LME Clear Limited in relation to exchange traded derivatives. 

FCA summarises AIFMD transparency reporting requirements

On its AIFM reporting page, the FCA has uploaded [20.12.2017] its document: Reporting Annex IV transparency information under the Alternative Investment Fund Managers Directive. summarising transparency reporting requirements for AIFMs. The document does not constitute FCA rules or guidance but covers the various requirements, procedures for reporting, where more information is to be found and the FCA's approach to missed or late transparency reporting. The page also contains the FCA's Q&A document: Reporting transparency information to the FCA and a link to the FCA's updated AIFMD data guide page [19.12.17].

FCA Instrument: PRIIPs enforcement

The FCA has adopted the Enforcement (PRIIPs Regulations 2017) Instrument 2018 (FCA 2018/1) [03.01.2018] which came into force on 4th January 2018, following a consultation under CP14/32 (see our earlier update here). The new instrument updates the EG and the DEPP manual in the FCA Handbook. A new section in the EG at 19.36 sets out the FCA's approach to and powers for enforcing the PRIIPs Regulations 2017. The instrument also contains additions to the DEPP 2 annexes on warning notices and decision notices; and supervisory notices, to reflect the PRIIPs Regulations 2017.

EU Regulatory 

ESMA publishes updated Q&As and data and registers changes update in light of MiFID II/MiFIR implementation

In light of MiFID II/MiFIR coming into force on 3 January 2018, ESMA has published the following updated MiFID II and MiFIR Q&As:

  • Post-Trading Issues [14.12.2017] to include a new indirect clearing Q&A on the segregation level for indirect clearing accounts;
  • Transparency and Market Structures [18.12.2017], including in respect of transparency: updated Q&A on equity transparency, non-equity transparency and pre-trade transparency waivers; and for market structure topics, amendments to one of the questions on the tick size regime and updated Q&A on the application of MiFID II after 3 January 2018.
  • Data Reporting under MiFID II and MiFIR [18.12.2017], updated Q&A on the date and time of the request of admission and admission and on Transaction Reporting;  and
  • Investor Protection Topics [18.12.2017], the update includes 10 new Q&A in the sections on: suitability and appropriateness; inducements; provision of investment services and activities by third country firms; and the application of MiFID II after 3 January 2018, including "late transposition" issues.

ESMA has also made certain data available to national competent authorities and market participants on its website, to facilitate the smooth running of the new MiFID II/MiFIR regime [04.01.2018]. As a result of the new regime some existing registers (under MiFID I) are to be updated, some new registers are needed and a number of existing registers will become obsolete, as shown on the ESMA MiFID II Registers Update page showing changes from 3 January 2018 and in their Registers and Data list. ESMA is working on a new registers release for its website in Q1 2018. Until that is available ESMA will publish fortnightly, as excel documents, the register information then available to it. The new regime under MiFID II/MiFIR affects the following registers: the Regulated Markets; Multilateral Trading Facilities and Systematic Internalisers registers (now obsolete and replaced by the TV SI DRSP (MiFID II/MiFIR Trading venues/Systematic Internalisers/Data Reporting Service providers) register); Organised Trading Facilities (new register); Approved Publication Arrangements (new register); Consolidated Tape Providers (new register); Approved Reporting Mechanisms (new register); Suspension and Restorations (SARIS) (file to be made available weekly as a pdf); Central counterparties (obsolete with data no longer available); and shares admitted to trading on EU regulated markets (replaced by the FIRDS) (Financial Instruments Reference Data System).

Commission decisions on equivalence under MiFID II of the legal and supervisory framework applying to Swiss stock exchanges

The European Commission has recently published its equivalence decision on trading venues in Switzerland [21.12.2017] under the procedure in article 25(4)(a) MiFID II. This requires assessment of a third country's legal and supervisory framework to ensure that trading venues in that third country comply with binding, legal requirements equivalent to those under MiFID II, MiFIR, MAR and the Transparency Directive for the third country trading venue to be recognised as equivalent. Equivalence decisions are for one year, by the end of which reassessment is required. The decision relates to SIX Swiss Exchange AG and BX Swiss AG and expires on 31 December 2018. For more information, see the Commission's press release here which mentions equivalence decisions were also adopted for the United States, Hong Kong and Australia [13.12.17].

ESMA lists trading venues exempt temporarily from access provisions under MIFIR as annual notional amount of ETDs traded below threshold

ESMA has published a list of venues from which they have received notification in respect of the opt-out from access provisions under MiFIR for exchange-traded derivatives (ETDs) based on their annual notional amount traded being below the specified threshold. The venues listed are: MEFF Sociedad Rectora del Mercado de Productos Derivados S.A.U. (Spain); Oslo Børs ASA (Norway); Giełda Papierów Wartościowych w Warszawie S.A. (Poland); Athens Exchange S.A. (Greece); and Nasdaq Stockholm AB (Sweden). The list also identifies any CCP connected to the trading venue by close links.

EIOPA publishes Q&A on IBIP comprehension alert

EIOPA has published a Q&A [19.12.2017] on the "comprehension alert" which the PRIIPs KID Delegated Regulation requires to be included in the KID document for insurance-based investment products (IBIPs), which do not meet the requirements on non-complexity. These requirements can be found in the IDD and are supplemented by criteria on non-complex IBIPs in the IDD Delegated Regulation and further clarified by EIOPA's Guidelines (see our previous update for more on the Guidelines).


HM Treasury's approach to domesticating EU regulatory framework

In a letter from the Economic Secretary to the Treasury to the Chair of the Commons Treasury Select Committee [12.12.2017] published on 19.12.2017, HM Treasury outlined its proposal for how to "domesticate" the existing EU regulatory legislation and framework for financial services in the EU Withdrawal Bill. The proposal is for level 1 and level 2 legislation (except certain Level 2 technical rules, the Binding Technical Standards (BTS)) to become the responsibility of UK ministers and Parliament. The BTS are to be taken over by UK regulators subject to a specific mandate by Parliament for developing them so "the regulators will only be able to make BTS for those specific purposes approved by Parliament." Affirmative secondary legislation is proposed to sub-delegate to the regulators "the ability to make fixes to BTS" if any corrections are needed to adapt them for the UK and so they are "consistent with the legislative changes that Parliament oversees". Affirmative SIs will be used to transfer "any other relevant functions" now carried out by the EU Supervisory Authorities, to UK regulators. This section of the Investment Management Brief contains Parliamentary information licensed under the Open Parliament Licence v3.0.

Recent Pinsent Masons publications

Read the latest edition of our Insurance Briefing here and our Banks Briefing here.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances,

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Related Topics
Related Articles
Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions