12 octobre 2022
On 8 July 2022, ESMA submitted for consultation draft guidance on certain aspects of MiFID II product governance requirements. The objective of the regulatory framework is to ensure that firms act in the best interests of their clients at all stages of the product life cycle.
This consultation focuses on a new adapted version of the ESMA guidelines from 2017, which have been revised taking into account recent regulatory and supervisory developments.
Febelfin took the opportunity to ask ESMA to give product distributors more flexibility. As they are generally in a better position to know the interest of the investor, we believe that distributors should be allowed to deviate from the target market defined by the manufacturer when it is certain that the product is suitable for the investor. Indeed, we note that some manufacturers, for fear of the administrative burden of certain regulations, insert clauses excluding sales to retail clients for bonds when this product is suitable and the client should be able, in his own interest, to diversify his portfolio.
ESMA will consider the responses received to this consultation in Q4 2022 and expects to publish a final report and final guidance in Q1 2023.