MiFID II

The Markets in Financial Instruments Directive

Since 1 January, 2018, Market in Financial Instrument regime (MiFID II/MiFIR) is live and has significantly  affected the banking and asset management industries at several levels. Between 2015 and 2018, market players invested a lot of effort and energy to ensure that their organisations and operations are compliant with this new regulatory environment.
However, with its complex implementation and significant impacts on organisations, MiFID II/MiFIR generates on-going concerns. Combining both compliant and efficient processes with business constraints is a key success factor for market players under this challenging regime.

How we can help?

360° MiFID II/MiFIR assessment

After a full year under MiFID II/MiFIR regime, it is time to review and ensure that MiFID entities are respecting their regulatory obligations, and that all affected businesses are in line with both strategic plans and compliance duties. This 360° MiFID II/MiFIR assessment is an opportunity to challenge the newly implemented processes and procedures, to detect inefficiencies and/or regulatory gaps, and to provide to external parties (supervisors, clients, external auditors…) comfort and reliance of your organisation.

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MiFID II & Brexit

The result of the UK’s referendum has already led to considerable market turbulence for pan-European actors. Among several EU regulations, Brexit is significantly  affecting the MiFID II regime, and in particular the concept of distribution from, or into, the UK. Market players have to ensure that any MiFID businesses in relation to the UK are compliant considering all possible Brexit scenarios.

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MiFID & Sustainable finance

Entities that manage wealth have an important impact in the way they allocate money in the economy via the businesses they invest in. Embedding ESG criteria in their investment decisions has the potential to generate massive societal change and will push businesses to contribute to the global agenda if they wish to receive capital.

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CSSF review on MiFIR Reporting - TRAF

With the introduction of MiFID II / MiFIR in January 2018, Luxembourg investment firms, including banks, are required to report all transactions executed on financial instruments admitted on a trading venue to the CSSF. In April of this year, the CSSF reached out to multiple IFs and has expressed significant doubts on the correctness and completeness regarding this reporting.

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MiFID II trainings & certification

PwC’s Academy and PwC MiFID II/MiFIR experts designed a full training and certification offer to support MiFID entities on on-going basis:

  • CSSF circular 17/655 certificationAs a CSSF accredited training provider, PwC’s Academy offers a state of the art learning solution, unique in Luxembourg, offering flexibility yet specificity for delivery to comply with CSSF Circular 17/665.
  • MiFID II, the essentials: The training “MiFID II: The Essentials” provides a global overview on the new regime, and an understanding of what concretely happens and how MiFID II impacts the daily responsibilities of every employee
  • MiFID II training for Internal Auditor: A dedicated MiFID II training for Internal Auditors focusing on their specific challenges and responsibilities

Technical Summary

MiFID II (Directive)


The MiFID II Directive encompasses the rules and guidelines on governance, products, investor protection and information disclosure. In addition, the requirements for third country firms to access the EU market are addressed. The contents of the Directive are subject to Level 2 and Level 3 measures as well as, potentially, to national implementation specifics by EU Member States, as far as allowed.

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MiFIR (Regulation)


The MiFIR Regulation encompasses the rules and guidelines on execution venues, transaction execution as well as pre- and post-trade transparency. The contents of the Regulation are subject to Level 2 and Level 3 measures and will immediately come into force in the EU member states without possibility of national implementation specifics.
 

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Contact us

Olivier Carré

Deputy Managing Partner, Technology & Transformation Leader, PwC Luxembourg

Tel: +352 49 48 48 4174

Cécile Liégeois

Clients & Markets Leader, PwC Luxembourg

Tel: +352 49 48 48 2245

Rima Adas

Audit Partner, Network Coordination, PwC Luxembourg

Tel: +352 49 48 48 2101

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