in force 2022-01-01 MODIFIED+185 −89§
Amended by Regulation (EU) 2019/2175 32019R2175 · Regulation (EU) 2022/858 32022R0858
applies from: unchanged
The review interval for a prohibition or restriction under paragraph 1 changes from at least every three months to at least every six months, and the earlier rule that the measure expires if not renewed after three months is removed.
A new provision is added allowing ESMA, following at least two consecutive renewals and based on proper analysis assessing the impact on the consumer, to decide on an annual renewal of the prohibition or restriction.
Cited: Art. 40, v1 · Art. 40, v2
text before / after
02014R0600-20210626 → 02014R0600-20220101
Article 40
ESMA temporary intervention powers
1. In accordance with Article 9(5) of Regulation (EU) No 1095/2010, ESMA may, where the conditions in paragraphs 2 and 3 are fulfilled, temporarily prohibit or restrict in the Union:
(a) the marketing, distribution or sale of … 337 unchanged words … the publication of the notice from which the measures will take effect. A prohibition or restriction shall only apply to action taken after the measures take effect.
6. ESMA shall review a prohibition or restriction imposed under paragraph 1 at appropriate intervals intervals, and at least every three six months. If Following at least two consecutive renewals and based on proper analysis in order to assess the impact on the consumer, ESMA may decide on the annual renewal of the prohibition or restriction is not renewed after that three-month period it shall expire. restriction.
7. Action adopted by ESMA under this Article shall prevail over any previous action taken by a competent authority.
8. The Commission shall adopt delegated acts in accordance with Article 50 specifying criteria and factors to be taken into account by ESMA in determining when there is a significant investor protection concern or a threat to the orderly functioning and integrity of financial markets or commodity markets or to the stability of the whole or part of the financial system of the Union referred to in paragraph 2(a).
Those criteria and factors shall include:
(a) the degree of complexity of a financial instrument and the relation to the type of client to whom it is marketed and sold;
(b) the size or the notional value of an issuance of financial instruments;
(c) the degree of innovation of a financial instrument, an activity or a practice;
(d) the leverage a financial instrument or practice provides.