The new EC financial markets legislation and the emerging regime for capital markets

Introduction:

The European Union's regulatory framework governing financial markets is currently undergoing seismic changes. These changes are the result of the implementation of the Commission Action Plan for Financial Services (FSAP) and of the use of the so-called Lamfalussy process. Financial markets legislation, passed in the context of the FSAP, may be broadly distinguished between integrative legislation, namely, measures that promote the aim of integrated financial markets in the EU, and legislation that deals with effects of such legislation.