In response to the publication today of ESMA’s consultation on the review of the regulatory technical standards – RTS 1 equity and RTS 2 – non-equity transparency – on transparency requirements under the Markets in Financial Instruments Regulation (MiFIR), Adam Farkas, Chief Executive of AFME, said:

“We strongly welcome ESMA’s consultation on MiFIR transparency requirements.”

“We appreciate ESMA’s clarity in stating that its data does not currently reflect the existing market structure. Ahead of the MiFIR review, it is vital to base analysis upon data that provides a clear picture of the EU trading landscape. This can only be done by distinguishing true economic trading activity from technical transactions, as we recently pointed out in a report we commissioned from Oxera.

“ESMA’s initiative to consult on this issue will contribute to the successful delivery of the consolidated tape which will provide all investors, regardless of resources or sophistication, with a comprehensive and standardised view of European trading and also increase retail participation in EU markets. We stand ready to assist with the work of ESMA and the European Commission in improving the quality of reported data and analysis of market structure.”

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