The European Securities and Markets Authority (ESMA) has released its opinion on product intervention measures taken by the National Competent Authorities (NCAs) of the countries of Germany, Poland, Hungary, and Malta.
LeapRate reminds that Germany’s BaFin has recently informed that it maintains restrictions on retail trading with financial CFDs. BaFin first announced its decision back in May 2017, addressing the considerable investor protection concerns.
ESMA’s opinions in relation to Germany, Malta and Poland conclude that the proposed measures are justified and proportionate. According to the EU watchdog, KNF’s proposed measures qualify this conclusion in relation to the lower margin requirements in comparison to ESMA’s measures for a specific subset of Polish retail clients that meet certain conditions (experienced clients) and the territorial application of the national measures.
ESMA’s conclusion is that NCAs of other Member States need to take product intervention measures that are at least as stringent as the Eu regulator’s measures.