Final Report: ESMA Common Supervisory Action on the application of MiFID II disclosure rules with regard to marketing communications and advertisements of financial products

In the course of 2023, the European Securities and Markets Authority (“ESMA”) performed a Common Supervisory Action (“CSA”) with national competent authorities (“NCAs”) across the EU/EEA on the supervision of the MiFID II disclosure rules with regard to marketing communications and advertisements of financial products of investment firms as well as of credit institutions.

On 27 May 2024, ESMA published the results of the CSA in a final report (“ESMA’s Final Report”), including the experiences and findings of the 27 EU/EEA NCAs (including the CSSF) participating to the exercise.

ESMA informed in that context that the overall level of compliance with the applicable rules in the field of marketing communications and advertisements of financial products was satisfactory for most investment firms as well as credit institutions, but that the exercise also showed shortcomings in some areas and the need for improvements in certain key areas.

ESMA’s Final Report is available at the following web address: ESMA reports on the application of MiFID II marketing requirements (europa.eu).

While the overall analysis of compliance for the investment firms as well as credit institutions in Luxembourg submitted to this CSA is mostly consistent with the conclusions of ESMA’s Final Report, the CSSF requires market participants to comply with ESMA’s recommendations and to take, if applicable, the necessary corrective measures in accordance with applicable regulatory requirements.

The CSSF is currently engaging on a bilateral basis with some entities in relation to the observations made in the context of the CSA exercise, thereby asking these entities to implement the necessary corrective measures for the observed shortcomings.