under, miFID, iI (Commission Delegated Regulation (EU) 2017/565 of upplementing Directive 2014/65/EU of the European Parliament and of the Council as regards organisational requirements and operating conditions for investment firms and defined terms for the purposes of that Directive in Article 10 and. Currency derivatives are mentioned in point (4) of Section C of Annex I to mifid. Notwithstanding this, the Commission noted that, during the public consultation and certain European Securities Committee meetings, a broad consensus appeared to have been reached regarding the concept of an FX spot contract. Stakeholder responses to the public consultation carried out by the European Commission (the Commission issued a consultation document. As regards physically settled FX forward transactions the document of 18 December 2017 - Draft regulatory technical standards on amending Delegated Regulation (EU) 2016/2251 supplementing Regulation (EU) No 648/2012 of the European Parliament and of the Council with regard to regulatory technical standards on risk-mitigation. The alternative view is that as essentially the same product is admitted to a trading venue ( rolling spot, fX is traded by lmax, an MTF it is therefore reportable under MiFIR. The European Commission issued a Q A specifying the scope of MiFID provisions for the provision of investment services, stating that "Even if FX forwards are qualified as a financial instrument in section C of Annex I to MiFID, their intermediation will be subject. (13) A contract for the exchange of one currency against another currency should be understood as relating to a direct and unconditional exchange of those currencies. The European Securities and Markets Authority (esma) has published today an updated version of its question and answer document (Q A) on the application of the Markets in Financial Instruments Directive (. What are Transaction Reports under, miFID, iI?
There are two competing views on whether rolling spot FX and metals are reportable, so we advise clients to be prepared for both spot FX and metals to be reported.
Conversely, rolling spot, fX contracts are considered a type of derivative contract, and as such are considered financial instruments contracts under.
Amongst traders and clients in the.
Forex market, MiFID has long been regarded as a symbol of high quality regulations.
Rolling spot fx contracts are derivatives Separately, the Commission has confirmed that rolling spot, fX are, miFID, i derivatives (and accordingly are derivatives for the purposes of emir).
Comments and Next Steps The Draft MiFID II FX Regulation will next be discussed by the Expert Group of the European Securities Committee on, which will be the final discussion before it is adopted by the Commission. The possibility of that guidance being updated to reflect the Draft MiFID II FX Regulation prior to that adopted Regulation taking effect cannot, therefore, forex chat groups be excluded. Implications under Irish Law For the purposes of the Irish transposition of MiFID ( Irish MiFID Regulations ) a forward FX contract is not considered to be a financial instrument unless: its terms are determined principally by reference to standard or regularly published economic terms (such. Whats the industry doing? Esma letter to the European Commission of 14 February 2014, Annex I Foreign Exchange Delineating between spot and derivative transactions The consistent application of the clearing and reporting obligations under emir and of investor protection and other requirements under mifid II across the Union depends. Pdf Extract: Commission Staff Working Document Impact Assessment C(2016) 2860 final SWD(2016) 156 final,.5.2016, SWD(2016) 157 final, Annex 9,.