The European Fund and Asset Management Association (EFAMA) has responded to the European Commissions Call for Evidence on the EU regulatory framework for financial services.

EFAMA welcomes the far-reaching debate launched by the European Commission with its Call For Evidence and wholly acknowledges its challenging nature; it will provide an excellent opportunity to address and resolve remaining regulatory inconsistencies and unintended consequences.

With over 40 examples, the European asset management industry argues why existing barriers, inconsistencies and duplications that still exist in the current EU regulatory and policy framework need to be addressed. The examples are wide-ranging and include the regulatory framework built by the European institutions (European Commission, European Parliament and Council), but also regulatory and policy trends stemming from the European Supervisory Authorities.

In its response, EFAMA expresses a desire to ensure a certain degree of regulatory stability for the period to come. Much has been done in recent years in the regulatory field, setting a state-of-the art benchmark for global regulators, many of whom look at EU legislation for inspiration. However, some work remains to be done in terms of implementing and applying these new regulations.

In this regard, EFAMA calls for a realistic implementation timeframe. Too short or unrealistic implementation deadlines lead to legal uncertainty and cause serious challenges for European asset managers in the implementing phase of EU financial legislation.

Alexander Schindler, President of EFAMA, commented: There are currently many examples of fundamental directives affecting our industry (MiFID II, UCITS V, PRIIPs) where it is extremely difficult to be prepared within the prescribed timetables.

EFAMA equally supports the so-called better regulation approach to European legislation.

Peter de Proft, Director General of EFAMA, commented: Better regulation relies on constructive and efficient dialogue with all stakeholders, to obtain the necessary industry and technical expertise of those impacted by regulation. It also relieson the European co-legislators and the Commission to properly assess the potential consequences of a given piece of legislation.

EFAMA also encourages further consistency and coordination within the European Commission services, between the European Commission and the European Supervisory Authorities (ESAs), but also among the latter (ESMA, EBA and EIOPA) as well as the European Systemic Risk Board (ESRB).

For media enquiries, please contact:

Peter De Proft,
Director General

Telephone: +32 (0) 2 513 39 69
E-mail: info@efama.org

Notes to editors:

About the European Fund and Asset Management Association (EFAMA):
EFAMA is the representative association for the European investment management industry. EFAMA represents through its 26 member associations and 61 corporate members almost EUR 19 trillion in assets under management of which EUR 12.1 trillion managed by 55,700 investment funds at end September 2015. Just over 29,500 of these funds were UCITS (Undertakings for Collective Investments in Transferable Securities) funds, with the remaining 26,100 funds composed of AIFs (Alternative Investment Funds). For more information about EFAMA, please visit www.efama.org