Brexit update: developments in the funds, asset management and investment sector
Updated FCA directions for the Temporary Permissions Regime for EEA firms and funds
Following on from the Financial Conduct Authority's (FCA) confirmation that the deadline for notifying the FCA in relation to joining the temporary permissions regime for EEA firms and Funds operating or marketing in the UK would be extended until the end of October 2019, the FCA has recently published the following revised direction
- Direction for EEA passports and Treaty firms;
- Direction for EEA UCITS; and
- Direction for EEA alternative investment funds.
The FCA's updated guidance on the temporary permissions regime can be accessed here.
ESMA comments on its future role monitoring "equivalence" of third country regulatory regimes
On 4 June 2019, the European Securities and Markets Authority (ESMA) published a speech given in Dublin on international cooperation in financial regulation and supervision. Amongst the points discussed was the proposed new EU approach, with more frequent monitoring and review of equivalence decisions to detect emerging differences between EU and non- EU frameworks on time. ESMA anticipates it will pick up this new monitoring role starting in early 2020.
Click here for a copy on the speech.
EU Commission reports on EU preparations for no-deal Brexit
On 12 June 2019, the European Commission adopted a communication on the state of play of preparations of its contingency measures for a no-deal Brexit. This examines the legislative and other measures taken to date and reviews them in light of the extension of the latest Article 50 negotiation period. The conclusion made is that there is no need to substantially amend the measures as they remain fit for purpose. The Commission stressed that Member States and stakeholders should use the extension period to check their own contingency measures.
It is also noted that the Commission does not plan any new measures ahead of exit day (currently expected on 31 October).
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