ESMA publishes consultation on disclosure obligations for Money Market Funds

The European Securities and Markets Authority (ESMA) today has published a consultation on disclosure obligations for Money Market Funds. The consultation is necessary since European money market funds will have to disclose certain information under the Money Market Fund Regulation (MMFR) to their National Competent Authorities (NCAs) starting at the end of the first quarter of 2020.

The ESMA statement explains that to facilitate funds’ regulatory disclosure, the European Securities and Markets Authority (ESMA) has opened today a public consultation on draft guidelines providing further specifications on how to fill-in the MMFR reporting template.

ESMA’s consultation paper represents the first step in the development of such specifications by setting out detailed proposals on which ESMA is seeking the views of its stakeholders.

ESMA’s Guidance will complement the information included in the Implementing Technical Standard (ITS), which ESMA delivered in November 2017 and which were endorsed by the European Commission in April 2018.  Together with the ESMA Guidance, managers of MMFs have all the necessary information to fill in the reporting template they will have to send to NCAs of their MMF, as specified in article 37 of the MMF Regulation.

MMF managers will need to send their first quarterly reports mentioned in Article 37 to NCAs in Q1 2020. In addition, there will be no requirement to retroactively provide historical data for any period prior to this starting date of the reporting.

Lavanya Rathnam

Lavanya Rathnam is an experienced technology, finance, and compliance writer. She combines her keen understanding of regulatory frameworks and industry best practices with exemplary writing skills to communicate complex concepts of Governance, Risk, and Compliance (GRC) in clear and accessible language. Lavanya specializes in creating informative and engaging content that educates and empowers readers to make informed decisions. She also works with different companies in the Web 3.0, blockchain, fintech, and EV industries to assess their products’ compliance with evolving regulations and standards.

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