MiFID II / MiFIR - ESMA supervision of Credit Rating Agencies and Trade Repositories
16 February 2015
"...This document reports on the direct supervisory activities carried out by ESMA during 2014 regarding credit rating agencies (CRAs) and trade repositories (TRs) within the European Union (EU). It sets out ESMAs key areas of action during 2014 and outlines ESMA’s main priorities for 2015. ESMA adopts a risk based approach to the supervision of both CRAs and TRs in order to perform its supervisory duties efficiently and effectively. This requires the analysis of information from a variety of sources to determine the behaviours of the supervised entities which pose the highest risks to investor protection, financial stability and well-functioning financial markets. ESMA seeks to improve compliance with the provisions of the relevant regulations by publishing guidelines and Q&As. ESMA may also require supervised entities to adopt and implement action plans and will take enforcement action in appropriate cases. As regards the supervision of CRAs, ESMA approved the registration of 2 CRAs and certified 2 third country CRAs during 2014, bringing the total number of CRAs registered and certified in the EU to 27. A decision by ESMA to reject an application for registration from a CRA was upheld by the Board of Appeal of the European Supervisory Authorities in 2014..."