you're reading...
Economic and Social Policies, PUBLICATIONS

Tackling financial market abuse in the EU

In response to the economic crisis and recent scandals involving financial institutions, the European Commission has proposed to update and strengthen the EU’s legislative framework against market abuse.

Insider trading

© Andrew Martin / Fotolia

The Commission’s proposals include the replacement of the 2003 Market Abuse Directive with a Regulation on Insider Dealing and Market Manipulation. This Regulation would broaden the scope, review definitions of insider dealing and market manipulation, clarify procedures for handling of inside information, and widen the responsibilities of national authorities.

The Commission has also proposed a Directive on criminal sanctions for insider dealing and market manipulation, seeking to establish a criminal-law regime for market abuse. The Directive treats certain forms of insider dealing as criminal offences and Member States would be required to sanction them as such, with minimum sanctions determined at EU level.

Whilst there is widespread agreement that this criminalisation is justified, its efficiency is still under debate. Critics of the proposals say the burden of proof required is high, and market complexity poses a challenge for regulators. There have also been calls for a more drastic solution such as the separation of commercial and investment banks.

To read the complete briefing click here.


2 thoughts on “Tackling financial market abuse in the EU

  1. I personally wanted to present this blog, “Tackling financial market abuse in the EU
    Library of the European Parliament” with my good friends on twitter.
    Ibasically wanted to distribute ur great posting! Thx, Miguel


    Posted by | February 5, 2013, 11:04


  1. Pingback: The week on the EP Library’s blog: So long, Mr Strategy « Library of the European Parliament - February 1, 2013

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Download the EPRS App

EPRS App on Google Play
EPRS App on App Store
What Europe Does For You
EU Legislation in Progress
Topical Digests
EPRS Podcasts

Enter your email address to follow this blog and receive notifications of new posts by email.

Join 3,320 other followers

Disclaimer and Copyright statement

The content of all documents (and articles) contained in this blog is the sole responsibility of the author and any opinions expressed therein do not necessarily represent the official position of the European Parliament. It is addressed to the Members and staff of the EP for their parliamentary work. Reproduction and translation for non-commercial purposes are authorised, provided the source is acknowledged and the European Parliament is given prior notice and sent a copy.

For a comprehensive description of our cookie and data protection policies, please visit Terms and Conditions page.

Copyright © European Union, 2014-2019. All rights reserved.

%d bloggers like this: