ESMA Publishes Q&As: Temporary Product Intervention Measures

The European Securities and Markets Authority (ESMA) has published its Q&As on the temporary product intervention measures adopted on the marketing, distribution, and sale of CFDs and binary options to retail clients.

This first version of Q&As provides answers to practical questions in relation to:

• Existing contracts;
• Payments;
• Margin close-out protection;
• Aggregate liability;
• Monetary benefits;
• Binary options;
• CFDs referencing futures; and
• Guaranteed stop loss orders.

It is reasonable to expect that ESMA will cover additional topics following the implementation of the intervention measures, so it is worth keeping a close eye on that space.

To ensure you reach a fully compliant position in time, please do not hesitate to contact one of our consultants.