The European Commission plans to move prospectus
approval into the hands of Esma – to the dismay of
national competent authorities. IFLR asks whether
it’s the right decision
Should Esma approve
In September, the European Commission published
proposals to 'better integrate supervision for the capital
markets union'. And while its aims of promoting jobs and growth
in Europe are noble, some of its methods to do so under the
proposal have been questioned.
One suggestion has been to transfer the approval of certain
prospectuses under the Prospectus Directive from national
competent authorities (NCAs) to the European Securities and
Markets Authority (Esma).
The proposals, called the Omnibus III regulation, suggest
that Esma approves admissions to qualified investor-only
regulated markets, asset-backed securities, specialist issuers
and non-EU third country issuers.
But while European supervisory convergence is on the horizon
– and in many cases already underway – some
have questioned the move's...