ESMA Launches Consultation Paper on Position Limits and Position Management in Commodity Derivatives

ESMA has launched a consultation paper intended to gather information on the ‘impact of position limits on liquidity, market abuse and orderly pricing and settlement conditions in commodity derivative markets’.

This wording is taken directly from Article 90(1) of MiFID II which states, ‘Before March 2020, the Commission [European Commission], after consulting ESMA, present a report to the European Parliament and the Council on […] the impact of the application of position limits and position management on liquidity, market abuse and orderly pricing and settlement conditions in commodity derivative markets’.

This consultation paper aims to build on the responses that have already been received to the call for evidence published in May of 2019.

The consultation paper also seeks stakeholders’ views on some proposed changes to the legal framework, aiming ‘in particular at limiting the scope of commodity derivatives subject to position limits to key contracts, introducing a limited position limit exemption for financial counterparties and enhancing convergence in the implementation of position management regimes by trading venues’.

Stakeholders are asked to provide feedback by 8 January 2020. Relevant feedback will be incorporated into the final report to the EC by the end of March 2020.

LME Requests Six-Month Delay to Telephone Trading Compliance

LME Requests Six-Month Delay to Telephone Trading Compliance The London Metal Exchange (LME) has stated that it will take an extra six months to ensure that trades made via telephone are compliant with new transparency requirements implemented as part of MiFID...

MiFID II Unbundling Relief Period Extended to 2023 by SEC

MiFID II Unbundling Relief Period Extended to 2023 by SEC The US Securities and Exchange Commission has granted a three-year extension to the MiFID II relief period for American firms. The SEC will allow US brokers to continue bundling execution and research payments...

ESMA Launches Consultation Paper on Position Limits in Commodity Derivatives

ESMA Launches Consultation Paper on Position Limits and Position Management in Commodity Derivatives ESMA has launched a consultation paper intended to gather information on the ‘impact of position limits on liquidity, market abuse and orderly pricing and settlement...

Communication Recording and MiFID II: How To Stay Compliant

MiFID II Communication Reporting: Stay Compliant As part of MiFID II’s aim to generate greater market transparency, firms are now required to record all voice communications which result in a transaction being completed. These requirements extend to include trades...

FXCM selects Eflow and TZ to provide Market Abuse and Trade Surveillance Monitoring

FXCM selects Eflow and TZ to provide Market Abuse and Trade Surveillance Monitoring eflow today announced that Forex Capital Markets (FXCM), has selected eflow’s TZ Platform to provide a Market Abuse and Trade Surveillance. elfow has been providing regulatory...