ESMA finds NCAs imposed sanctions of EUR 8.4million for MiFID II breaches in 2020

ESMA finds NCAs imposed sanctions of EUR 8.4million for MiFID II breaches in 2020

The ESMA Report published last week (July 19th 2021) gives an overview of the applicable legal framework and the sanctions and measures imposed by NCAs under the MiFID II framework in 2020.  Figures reported for 2020, show that NCAs’ activity on imposing sanctions and measures under MiFID II has increased compared to the past two years both in terms of the number of instances and the amount of fines levied.  Read more.

Overall, NCAs imposed a total of 613 sanctions and measures in 2020, with a total value of EUR 8,400,430.  This is a doubling of the number of sanctions and measures compared with 2019, and an significant step up from a total value of EUR 1,829,000

It is likely that we are seeing the regulators switch focus from embedding the regulation to enforcing it.

UnaVista helps over 1,500 firms fulfil their transaction reporting obligations for MiFIR, UK MiFIR, EMIR and UK MIR. Our customers can also fulfil multijurisdictional derivative reporting obligations through their single relationship with UnaVista. 

In conjunction with our clients, UnaVista has developed, UnaVista Analytics, a comprehensive 2-module tool kit that allows clients to monitor for and detect data quality issues within their MiFIR transaction reports sent to regulators.  Using this tool kit either standalone or combined with a bespoke data quality review by our reporting SMEs,  MiFIR reporting firms are able to develop controls and monitoring that demonstrates compliance with the obligation to make complete and accurate transaction reports as well as compliance with the on-going obligation to validate that data for accuracy.

Firms cannot only rely on the successful submission of a report to their NCA as a standard for assessing the completeness and accuracy of their transaction reports.

Please visit www.lseg.com/unavista or contact your Account Manager for further details as to how UnaVista can help you avoid regulatory sanction for failures to comply with all aspects of the regulation.