The EBA and ESMA assess the implementation of the revised Shareholder Rights Directive and identify areas for progress

  • Press Release
  • 27 July 2023

The European Banking Authority (EBA), jointly with the European Securities and Markets Authority (ESMA), today published a Report assessing the implementation of the Shareholder Rights Directive 2 (SRD2). This assessment, carried out in response to a European Commission’s request, identifies areas for further progress and provides detailed suggestions for policy action, in relation to the Directive’s effectiveness, difficulties in practical application and the appropriateness of the scope of application.

In the Report the EBA analyses the implementation of certain provisions in the SRD2 in relation to the charges applied by intermediaries and the practices of third country intermediaries.

In particular, the level of disclosure and comparability of costs charged by intermediaries remain limited across the EU, mainly due to a lack of harmonisation of the types of fees or services and of detailed disclosure requirements. The EBA notes that on these aspects there is room for improvement to increase competition among players and reduce the negative impact of costs on investors’ engagement.

Moreover, differences in the practices followed by third-country intermediaries are identified compared to European intermediaries, mainly for small local third-country intermediaries, which may also be due to the lack of standardised processes among European Member States. The EBA notes that a higher standardisation would benefit non-EU and EU entities alike.

The EBA has worked together with ESMA, who has analysed the implementation of the SRD2 and provided suggestions in the areas of proxy advisors and the investment chain.

Next steps

The Report will serve as basis for the upcoming work of the European Commission in assessing the implementation and the potential review process of the SRD2.


Report of the EBA and ESMA implementation of SRD2 provisions on proxy advisors and the investment chain

(3.21 MB - PDF) Last update 27 July 2023

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