Market Abuse Regulation (MAR)

On 3 July 2016, the new Market Abuse Regulation ("MAR")¹ will become effective all across the EU, replacing the currently applicable regime on insider trading and market manipulation. It will not only affect banks, funds, and investment firms but also most EU issuers. Together with MiFID II² & MiFIR³, the MAR is likely to significantly impact on current market practice, inter alia with regard to mandatory IT-infrastructures, the provision of research, and market soundings. Infringements of MAR will be subject to draconic sanctions and a harmonized regime of criminal offences.

ESMA submitted its final report on draft technical standards to the MAR on 28 September 2015 ("Final Report") and its final report on technical advice on 3 February 2015. Some national governments/legislators already proposed transposition laws, such as, for example, in Germany. With only about 6 months remaining for implementation of the new rules by market participants, it is now about time