ESMA's next move on MiFID II suitability rules
The European Securities and Markets Authority (ESMA) will launch a Common Supervisory Action (CSA) with national competent authorities (NCAs) on the application of MiFID II suitability rules across the EU.
The CSA, which will be conducted during 2020, would focus on the application of MiFID II requirements on the assessment of suitability. This would allow ESMA and the NCAs analyse how the costs of investment products are taken into account by firms when recommending an investment product to a client and gauge the progress made in its implementation.
The CSA will focus on building a common supervisory culture among NCAs to promote better supervision in the European Union.