ESMA prohibits binary options and restricts CFDs to protect retail investors

ESMA has announced a ban on the provision of binary options to retail investors in the EU and placed restrictions on the provision of contracts for differences, including rolling spot forex and financial spread bets, to retail investors in the EU. The FCA supports ESMA’s application of EU-wide temporary product intervention measures and expects to consult on whether to apply these measures on a permanent basis.

UK PRIIPs Regulation published – KIDs required 1 January 2018

The PRIIPs Regulation requires those manufacturing a packaged retail and insurance-based investment product (“PRIIP”) to draw up a key information document ("KID") containing standard information, and requires persons advising on or selling PRIIPs to provide the KID to retail investors, with effect from 1 January 2018.

Brexit and Fund Managers

Alternative Investment Fund Managers (AIFMs) and MiFID firms need to consider the impact that Brexit will have on their business in the light of recent opinion issued by ESMA to relevant EU national regulators.

FCA Review: Suitability

The FCA seems happy with the outcome of a review of suitability it undertook last year which captured 1,142 individual pieces of advice given by 656 firms.

PRIIPs Delay

European Parliament rejects proposed PRIIPs Regulatory Technical Standards

CFDs and Speculative Products and Appropriateness

Following on from PRIIPs (see previous article), ESMA has published an updated version of its Q&As (2016/1165) concerning the “provision of CFDs and other speculative products to retail investors under MiFID”.

Data Breaches and GDPR

On the 4th May 2016, the EU’s General Data Protection Regulation (GDPR) was published. Firms need to firm up their data breach procedures.