PRA has published its policy statement with relevant supervisory statements and rule changes in relation to MiFID 2 implementation. The changes:
- introduce new PRA rules to implement the MiFID 2 requirements on the management body and organisational requirements;
- delete several rules that are now superseded by the directly applicable Level 2 Regulation on organisational issues (the MODR);
- extend the application of the MODR to it covers also non-MiFID business of MiFID firms, and MiFID and non-MiFID business of CRR firms, so as to maintain the common platform;
- make necessary consequential changes to rules and supervisory statements; and
- allow for authorisations for OTF operation and bring in the new financial instruments of emission allowances and binary options to be added to existing activities;
- set up the process for receiving notifications and granting authorisations for dealing, advising, managing and arranging structured deposits; and
- make other necessary changes to the General provisions and the Glossary.
Like FCA, PRA asks firms to complete VoP applications to add the new activities and investment types by 3 July, and sets out the process for notifications for firms wishing to carry out regulated activities relating to structured deposits, so that they will be able to do so after 3 January 2018 provided PRA has received the appropriate notification before that date and acknowledged it.