ESMA finds shortcomings in national supervision of efficient portfolio management by UCITS

On 30^th July 2018, the European Securities and Markets Authority (ESMA) found that national regulators need to improve their supervision of Undertakings for Collective Investments in Transferable Securities (UCITS) engaging in efficient portfolio management techniques (EPM). A recent peer review by ESMA, which assessed the level of compliance of six national competent authorities (NCAs) with its Guidelines on EPM, found a number of shortcomings in certain NCAs’ approaches when supervising the use of EPM by UCITS.