ESMA publishes recommendations for Organised Trading Facilities under MiFID II/MiFIR
The European Securities and Markets Authority (ESMA) has published its final version of its report on the functioning of Organised Trading Facilities (OTFs). The report contains recommendations and possible amendments to MiFID II/MiFIR in order to reduce the level of complexity for market participants and increase the legal framework’s effectiveness.
According to the press release, the main focus of the report concerns the definition of OTFs taking a specific look at the definition of a multilateral system and the trading venue perimeter.
ESMA has also put forward a two-step approach in order to clarify the trading venue perimeter. It has proposed the Commission to move Article 1(7) from MiFID II to MiFIR and that ESMA pub