Review Panel
Level 3

Carlos TAVARES, Chairman of the Portuguese CMVM and CESR’s Vice Chairman


The “Stockholm Resolution” adopted by the European Council on 23 March 2001 stated: ‘The Committee of European Securities Regulators should also contribute to the consistent and timely implementation of Community legislation in the Member States by securing more effective cooperation between national supervisory authorities, carrying out peer reviews and promoting best practice.’

To fulfil this important task, CESR established the Review Panel in March 2003. The Panel, chaired by Carlos Tavares, Vice Chairman of CESR, is a permanent group comprising the Internal Coordinators of each CESR Member and Observer.

The Review Panel is mandated to review the implementation by all CESR Members of EC legislation and CESR standards and guidelines into national rules. The Panel gives its opinion on the overall process of implementation, provides common understanding and expresses views on specific problems in the implementation process encountered by individual Members. In case of particular circumstances, the Panel may propose to establish a special group to address issues of technical nature (Ref CESR/03-061).


General Methodology for common implementation reviews
In order to be able to conduct the review process in an objective way, the Review Panel developed a general methodology for common reviews of the implementation of Level 3 measures (e.g. CESR Standards) and other measures (e.g. Commission Recommendations) (Ref. CESR/04-711b). The Methodology sets out the assessment criteria to be applied in a common implementation review, the procedural framework and the follow-up by CESR.

First Interim Report
In March 2004, CESR published the First Interim Report of the Review Panel on the review of the status of implementation of the CESR Standards on Investor Protection and the CESR Standards for Alternative Trading Systems (Ref. CESR/03-414b), as well as the so-called “correspondence tables”, in which the measures implementing these CESR Standards (all in all more than 200 standards and rules) in all Member States are set out in detail, and “synthesis tables” providing an overview of the status of implementation. Following the adoption of the Directive on Markets in Financial Instruments 2004/39/EC (MiFID) in April 2004, which incorporated a number of provisions of these two CESR Standards, and the publication of the European Commission’s mandates for technical advice for implementing measures of the MiFID to CESR, where CESR has been using the Standards as basis for its work under these Mandates, CESR agreed not to continue the review process of the Standards at this stage. However, the information gathered in that process will considerably facilitate any future review of the implementation of the MiFID and its implementing measures.

Mapping exercise of CESR Members’ powers in the securities sector
As stated in the CESR paper “The Role of CESR at (Level 3) under the Lamfalussy Process – Action Plan for 2005” (Ref. CESR/04-527b), divergences in the powers of CESR members would be detrimental to the goal of achieving convergence in the securities area, one of the main objectives of the Lamfalussy Process. As a first step, the Review Panel conducted a comprehensive mapping exercise of the powers of CESR members in the securities sector, which was also a contribution to the so-called “Himalaya Report” (Ref. CESR/04-333f), where the results of the mapping exercise can be found, (as part of the exercise, CESR members were also asked to provide information as to other issues, such as their political, administrative, financial and judicial accountability).

On-going work
• Survey on the implementation of the two European Commission Recommendations on UCITS, which deal with the use of derivatives by UCITS (2004/383/EC) and the contents of the simplified prospectus of UCITS (2004/384/EC).
• Review of the implementation of CESR’s Standard No 1 on Financial Information, which deals with the enforcement of financial information, by the end of 2005.
• Review of the implementation of CESR’s guidelines for supervisors regarding the transitional provisions of the amending UCITS Directives (Ref. CESR/04-434b).

16 Feb. 2009
Press release - MiFID: CESR reviews supervisory powers and practices, as well as administrative and criminal sanctioning regimes across Europe
16 Feb. 2009
CESR Report on the mapping of supervisory powers, supervisory practices, administrative and criminal sanctioning regimes of Member States in relation to the Markets in Financial Instruments Directive (MiFID).
05 May. 2008
Methodology for mapping exercises
01 Apr. 2008
Press release - CESR reviews its old Standards and the implementation of UCITS Guidelines
01 Apr. 2008
Summary of CESR’s self assessment of the implementation of the guidelines to simplify the notification procedure of UCITS