Pending issues in the review of the European market abuse rules. ECMI Policy Brief No. 19, February 2012

The legislative package on market abuse proposed in 2011 comprises two documents: a draft regulation, which will largely replace the existing market abuse directive (MAD) and the level 2 measures; and a new directive dealing with criminal sanctions. Market abuse rules are needed to ensure market integrity and investor confidence, to allow companies to raise capital and contribute to economic growth, thereby increasing employment. In this ECMI Policy Brief Carmine di Noia argues that rules on market abuse should be technically well-designed, proportionate and crystal-clear, but also subject to more efficient supervision than before