On Thursday 30 May, the Federation of European Securities Exchanges (FESE) published its ‘Manifesto 2030’, containing five recommendations for reform designed to speed up the development of the European Union’s capital markets during the European Commission’s next political term.
In this policy paper, the exchange industry suggests creating “deep and transparent liquidity pools” and reducing fragmentation and dark trading in order to make primary markets more attractive to issuers and investors.
It also recommends mobilising “unproductive” capital in the EU by establishing globally competitive pan-European products. The FESE cites as examples the ‘401(k)’ funded retirement savings system used in the United States and the Swedish investment savings account (‘ISK’).
Similar recommendations were made last April by the President of the Jacques Delors Institute, Enrico Letta (see EUROPE 13392/1) and the Honorary Governor of the Banque de France, Christian Noyer (see EUROPE 13411/13).
FESE is calling on the EU to foster a competitive data economy to ensure that investors are benefitting from state-of-the-art analysis, which, according to the sector, is the source of “sound investment decisions”.
Finally, FESE advocates tax incentives for investing to boost participation by citizens, as well as a reduction in the regulatory burden across the entire capital markets ecosystem.
See the FESE’s ‘Manifesto 2030’: https://aeur.eu/f/cgd (Original version in French by Bernard Denuit)