The European Securities and Markets Authority has launched a Call for Evidence on the retail investor journey under MiFID II to gather stakeholder input on how retail investors engage with investment services and whether regulatory or non-regulatory barriers are discouraging participation in capital markets. The exercise covers retail market trends such as the attractiveness of speculative products for younger investors and the role of social media in investment decisions. It also looks at how key MiFID II requirements operate in practice, including regulatory disclosures and the assessment of suitability and appropriateness, and considers the investor experience under the European crowdfunding framework as well as how to balance investor protection with enabling informed risk-taking. ESMA has also published a summary of the main points translated into all EU languages to support responses from consumers and their representatives. Responses are due by 21 July 2025. ESMA and National Competent Authorities will then assess whether regulatory adjustments or clarifications are needed to enhance investor protection and retail engagement in financial markets.
European Securities and Markets Authority 2025-05-21
European Securities and Markets Authority launches call for evidence on the MiFID II retail investor journey
The European Securities and Markets Authority (ESMA) has initiated a Call for Evidence on the retail investor journey under MiFID II to assess engagement with investment services and identify potential barriers. The exercise examines retail market trends, the impact of social media, and the effectiveness of MiFID II requirements, including disclosures and suitability assessments. ESMA aims to balance investor protection with informed risk-taking and will evaluate the need for regulatory adjustments based on stakeholder feedback.