Esma’s prospectus directive consultation: the key points

Author: | Published: 11 Jan 2012
Bankers’ counsel may be forgiven for missing the European Securities and Markets Authority’s (Esma) Prospectus Directive (PD) consultation document seeking comments on the technical advice to the EC on possible delegated acts.

The paper was published on December 13 2011 but the deadline for comments was January 6 2012. Falling, as it did, over Christmas meant some institutions failed to submit full responses. For instance, only two banking groups submitted, Lloyds and Société Générale.

But the paper deserves attention. Its proposals could limit the range of retail cascades available to issuers.

Until now, prospectuses prepared by an issuer can be used by intermediaries where consent has been given. This avoids intermediaries incurring...