ESMA releases UCITS and AIFMD sanction reports
21 July 2023 France
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ESMA has published its 2022 report on sanctions under the Undertakings for Collective Investments in Transferable Securities directive (UCITS) and the Alternative Investment Fund Managers Directive (AIFMD).
The association states that sanctions issued at national levels remained stable and generally low over the course of 2022. Only a limited number of National Competent Authorities (NCAs) had increased sanction rates, with 16 imposing no sanctions under either directive.
In total, 38 UCITS penalties were imposed by nine NCAs in 2022, with 98 per cent of these issued by the same NCA. This figure has fallen from 61 penalties issued by 12 NCAs in 2021.
In regard to AIFMD sanctions, 10 NCAs issued a total €2.5 million in penalties last year — a significant drop from the €42.9 million issued in 2021. In 2022, 60 per cent of penalties were imposed by the same NCA.
Commenting on its next steps, ESMA states that: “[It] continues its work to foster supervisory convergence in the application of the UCITS Directive and AIFMD and contribute to ESMA’s goal to develop a common EU outcome-focused supervisory and enforcement culture. ESMA will issue separate reports on an annual basis for future reporting periods.”
The association states that sanctions issued at national levels remained stable and generally low over the course of 2022. Only a limited number of National Competent Authorities (NCAs) had increased sanction rates, with 16 imposing no sanctions under either directive.
In total, 38 UCITS penalties were imposed by nine NCAs in 2022, with 98 per cent of these issued by the same NCA. This figure has fallen from 61 penalties issued by 12 NCAs in 2021.
In regard to AIFMD sanctions, 10 NCAs issued a total €2.5 million in penalties last year — a significant drop from the €42.9 million issued in 2021. In 2022, 60 per cent of penalties were imposed by the same NCA.
Commenting on its next steps, ESMA states that: “[It] continues its work to foster supervisory convergence in the application of the UCITS Directive and AIFMD and contribute to ESMA’s goal to develop a common EU outcome-focused supervisory and enforcement culture. ESMA will issue separate reports on an annual basis for future reporting periods.”
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