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Author: Karen Cooper

MiFID II: ESMA finalises product governance guidance with minor changes

ESMA has published its final report on guidelines on product governance, which includes ESMA’s response to feedback on ESMA’s 2022 consultation paper. ESMA has retained the flexible approach from the CP, allowing firms to specify sustainability-related objectives by reference to any of the buckets relevant to “sustainability preferences” or to whether the product is focused on environmental, social and/or governance criteria. ESMA has only made minimal changes in response to feedback. Read on for a summary of key points from ESMA’s final report.

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