ESMA and NCAs to look at marketing of financial products

The European Securities and Markets Authority (ESMA) will launch „a common supervisory action (CSA) with national competent authorities (NCAs) on the application of MiFID II disclosure rules with regard to marketing communications across the European Union (EU) over the course of 2023“.
ESMA has started this review to assess how investment firms and credit institutions have implemented MiFID II’s marketing communication requirements, which play an important role in influencing consumer behaviour and investment decisions.
National regulators will consider how companies select the target audience for marketing communications and whether marketing communications (including advertising on apps, websites, social media and via influencers) are fair, clear and not misleading. This is particularly important for riskier and more complex investment products.
In addition, the CSA will collect information on possible „greenwashing practices“ in marketing and it will support a common supervisory culture between national supervisors and ensure consistent implementation and application of EU rules to protect investors.