French financial market regulator discloses areas of focus and action plan for 2023
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The Financial Markets Authority for France (AMF) has revealed its areas of focus and the action plan for 2023. The regulator revealed the plan through a statement released on its website.
AMF reveals its action plan for 2023
According to the regulatory body, its priorities include supporting retail investors, working closely with the European Securities and Markets Authority (ESMA) to supervise the market, creating a regulatory framework that promotes sustainable finance, and formulating a robust and efficient supervisory framework.
The AMF plans to focus more on financial education to support retail investors. The regulator said that it would look for new channels that would be used to raise public awareness about scams. The regulator will also conduct visits and inspections to ensure firms are marketing products that meet an investor’s profile.
The AMF will also work on boosting its supervisory role. It will do this by looking at how investment funds manage liquidity. For this purpose, it tends to work with the Financial Stability Board and the International Organization of Securities Commissions.
The regulator will also support the changes in the regulatory landscape in the European Union. The new legislation currently under focus is the European regulation on Markets in Crypto Assets (MiCA). This legislation has attracted much attention globally because of its focus on regulating the growing cryptocurrency industry.
The MiCA legislation is yet to be implemented, but once it is, regulators believe it will bring regulatory clarity to the decentralized crypto sector. AMF’s implementation of MiCA will enable the regulator to oversee the crypto market.
The AMF plans to promote sustainable finance by supporting the listed companies and asset management firms that want to comply with critical sustainable financial legislation. The regulator is also planning to review the initial reports that the listed companies have submitted regarding economic activities deemed to be sustainable.
The financial market regulator is also planning to use tools and support its enforcement policy to remain up-to-date with the changes happening in the technology field and the evolving needs of investors.
AMF’s key areas of focus in 2023
The AMF is paying attention to several key areas that will influence the approach it takes to ensure compliance by all market participants. The regulator notes that for investment management firms, more attention will be paid to the cybersecurity arrangements, financial management roles and how the Sustainable Financial Disclosure Regulation (SFDR) is applied.
The regulator will also focus on the infrastructure and market intermediaries. The regulator plans to focus on the quality of the post-trade transparency data and cross-border activities. These measures will be taken to ensure compliance and investor protection measures are implemented.
The AMF will focus on how financial companies market their services. It will look into how distribution banking networks engage in marketing. It will also analyze the marketing materials used and how client complaints are handled.
