Directive 2014/65/EU and Regulation 600/2014 on Markets in Financial Instruments (“MiFID 2” and “MiFIR”) became applicable on 3 January 2018.
MiFID 2 and MiFIR aim at making financial markets more resilient and efficient by:
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– extending market transparency and transaction reporting;
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– protecting investors (one of the main changes will be the ban on inducements for portfolio managers
and independent advisers);
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– facilitating access to capital for small and medium-sized enterprises;
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– providing a harmonized regime for granting access to EU markets for firms from third countries;
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– strengthening and harmonizing administrative sanctions and effective cooperation between the
relevant competent authorities;
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– improving competition in trading and clearing of financial instruments.
On 29 December 2017, the CSSF published press release 17/47 on the application of MiFID 2/MiFIR.
MiFID 2 and MiFIR shall be implemented into Luxembourg law by bill of law 7157 and by a draft Grand Ducal regulation.
