Danish FSA sending three bills to govern capital markets out for consultation
The object of the three bills is to implement MiFID II, provisions similar to a directive in MiFIR and MAR (the Market Abuse Regulation).
- a bill to amend the Danish Securities Trading etc Act (amendments as a result of MAR) that is to enter into force from 1 July 2016 to 1 January 2017
- a bill on capital markets that is to replace, from 1 January 2017, the Danish Securities Trading etc Act and which together with
- a bill to amend the Danish Financial Business Act and the Danish Act on Financial Advisors etc are to implement MiFID II and provisions similar to a directive in MiFIR.
The current Danish Securities Trading etc Act entered into force in 1995. Since the Act was adopted and until January 2015 more than 50 amending acts to the Act have been passed. It has been decided, in order to ensure that the rules can still be applied, are up-to-date and interrelated and to remove any superfluous regulation, that it would be expedient to revise the entire Danish Securities Trading etc Act and draft a new principal act, the Danish Act on Capital Markets, which is to replace the Danish Securities Trading etc Act.The implementation of the EU Directive and the two Regulations has been split up into three bills because MAR will enter into force before the amendments following from MiFID II and MiFIR may apply.
The draft bill to amend the Danish Securities Trading etc Act repeals the rules in Danish law relating to market abuse. In future, such rules can be found in MAR.
The draft bill on capital markets which is to replace the current Danish Securities Trading etc Act implements MiFID II and the amendments to Danish law as a result of MiFIR.
The draft bill to amend the Danish Financial Business Act and the Danish Act on Financial Advisors etc is to implement the parts of MiFID II that are currently laid down in the Danish Financial Business Act and other acts as a result of the implementation of the current MiFID. The bill also contains several other regulation changes in the area of finance.
The bills are deemed to be the most important regulation initiatives in the area of capital markets since the implementation of "Børsreform II" (a report on securities law), which provided the basis for the drafting of the Danish Securities Trading etc Act in 1995.
Høringsportalen (in Danish only) contains more information.