The Council of Ministers has approved the Royal Legislative Decree which gives the green light to the Consolidated Text of the Securities Market Law with the aim of facilitating a more agile transposition of the new European regulation MIFID (Directive of Markets and Financial Instruments) and market abuse. The limit to adopt the European regulations is July 3, 2016. As it is a Consolidated Text, there are no regulatory changes.
The complexity of the regulatory framework for the securities market and the numerous modifications that Law 24/1988 of July 28 on the Securities Market (LMV) has undergone in recent years justify the preparation of a consolidated text. The aim is to facilitate the knowledge, application and interpretation of the regulatory regulations of the securities markets by the legal and economic operators, promote clarity and reduce the burdens derived from the regulatory dispersion and complexity of the legislative framework.
In the work of preparing the Royal Legislative Decree, the following normative texts have been integrated and systematized in a single text:
1. The more than 40 norms with the rank of law that have modified the LMV since 1988.
2. Those that, affecting their material scope, have been promulgated before the approval of the royal legislative decree.
3. A series of legal provisions related to the securities markets.
After concluding the public hearing process, in which numerous reports and observations have been received, the Royal Legislative Decree has a statement of reasons, an article, a single additional provision, a single derogatory provision and two final provisions. For its part, the consolidated text has 334 articles, 10 additional provisions, 9 transitory and 2 final. The mandatory opinion of the Council of State that was requested by way of urgency has been received and the three essential observations that have been made have been incorporated, without altering the meaning of the text.
Once this recast work has been carried out, throughout 2016 the new MIFID and market abuse regulations must be incorporated into national law, since the deadline for the transposition of this European regulation is 3 July 2016. The new legal text, in which the normative technical guidelines have been scrupulously complied with, will allow for a more orderly and systematic transposition work, with which a better and clearer adaptation of our securities regulations to European reality.