Your request will be handled by the Press Office of the General Secretariat of the Council in accordance with the provisions of Regulation (EC) No 45/2001 on the protection of individuals with regard to the processing of personal data by the Community institutions and bodies and on the free movement of such data.

Your data will be stored in the database until you unsubscribe from the service.

Certain data (name, e-mail address, preferred language, media name, media type) may be disclosed to the press offices of the European institutions, the Permanent Representations of the Member States and to European Union agencies, under the conditions laid down in Articles 7 and 8 of Regulation 45/2001.

If there is data which you would not like to be stored, please let us know at: [email protected]um.europa.eu

Saturday 11 January 2020
Istanbul (local time)
14.30 Meeting with President of the Republic of Turkey Recep Tayyip Erdoğan

Sunday 12 January 2020
Cairo (local time)
09.00 Meeting with President of Egypt Abdel Fattah al-Sissi

Brussels
18.00 Meeting with Chancellor of Austria Sebastian Kurz
Joint press conference following the meeting (Access for press via Europa building from 17.00)

Monday 13 January 2020
G5 Sahel meeting – Pau, France
20.15 Working dinner with President of France Emmanuel Macron and African Leaders

Tuesday 14 January 2020
10.30 Meeting with King of Jordan Abdullah II

Wednesday 15 January 2020
14.30 Meeting with the President of the European Investment Bank Werner Hoyer
16.00 Presentation of letters of credentials

Friday 17 January 2020
11.00 Meeting with the President of the European Court of Auditors Klaus-Heiner Lehne

This publication comes in the context of the entry into force of the revised ESMA Regulation (OJ, 27.12.2019) including its new provisions applicable to Q&As (New Article 16b), which  require ESMA to set up a web-based tool to facilitate the submission of questions and the publication of questions received as well as answers to admissible questions.

ESMA welcomes the new requirements which will ensure additional interaction with stakeholders regarding Q&As and which will also further strengthen and increase supervisory convergence in the EU. ESMA is committed to implementing this web-based tool and is working on developing the necessary IT infrastructure. The roll-out of the IT infrastructure will be done on a phased basis and during the course of the year. Pending the full implementation of this web-based tool, stakeholders can continue submitting questions to ESMA through the Q&A webpage of the ESMA website (here).

In terms of next steps, ESMA has started publishing, in advance, on its website the following questions:

• questions for which a Q&A will be submitted for approval at the next ESMA Board of Supervisors meeting;
• rejected questions, i.e. questions that were tabled for discussions in an ESMA Standing Committee and to which ESMA does not intend to provide an answer; and
• questions forwarded to the Commission.

The questions are published within a spreadsheet available on the Q&A webpage of the ESMA website (here). ESMA will update the spreadsheet every Friday afternoon (when updates are necessary).

PK!�|�z��[Content_Types].xml �(��—�n�0E���…E+MӤ�œE�4@R�[FK��9N�/E;F(v(7–mj�=Š���z�d���kR•SR�n��ɯ�“KRxdš3i4�d�\�߿›�o,�”Dk_“�~��7(�KcA‡‘…qŠa��ZjY�d-г��‚6F#hœ`�A�o�`+‰��u�{K� 4)�n��j¬•�a@��/L&f� pӬT�.�u��P��:� †‰yB=�Xh_˜ �Cǁ�ҏ�e�‘q2���z…�y=��Ÿa ��P�2‡7L…|ѵ�O�-ŒY–‡EƦ3��TL�g���fO�:1H?�(<’�,��™pœg��)�‹L8>g�q™ �U&�4�\N�*—#��_g*†�h�L_”(s��q#�Ÿ��E�9w���PU�’�W�w�G��/�y� �mV��$����}�8�/ ‡J�†��—ΐ����K™‘��ˆA�jŒߍ��@=�oZ�ch‰’�?�=>�{›�d�̀9� ��/��PK!^�e�_rels/.rels �(��’MK1†�‚�!̽;�*”�l/E�Md�1™�`7™�����FAt��zœ�w�y™�f��x�{v–E ‚œfӻV�K�“rF��H”l���3�*���>Š��„.%��uGV�‚=�\i8X•rZ�J�%\•�†�P�4��H;s�>��67M�i�zoɥ#+��DΐY��B��5�V��$�~��ˆ��”c’Z�Ÿ��k�RRF%…š����8���Es�™F|�0�2�Xn/ɢ�1�=c�W�7�޲���PK!�:�Ÿ��xl/workbook.xml�V]o�8}_i�ƒUš� &�5%!h‘����t^*U8� جm�T���{M�H�]ug6jIŒ���{|���M‘�5•Š >��k!�‘2�X_”�g!� OI.8X�TY‡��r�”�j.� W+ӺG%-ˆ�%�0�� †r�RR’�ŒR]��� Œ[[„@�C,,��H�‚r�‘4’�Œ•j�V$�+ˆ\U��ˆ�ˆ9�™~�A-T$A��B’yiopm$�u��p��+���RK�Pb����’����’l.5x’�H�f�†V��ƒ�:���?�†�Z�W���n�5�Y�œ>n�‹HY~&…�Tn�œ(=M™�����P��� �JV�b9�z���-gx��L�j?�5•œh:\ƒ�v��V5�$`btG��˜��w�B�\I��š��J�k<}Q��“Z�”���<} �ZiQ>ͪy�’��Ÿn$—��~$‰‘� �4�����2�{n�%‚�q� t�’k��:�m�d�=�Ѵ;�ح��~<���ޤkO��8�[����!� A*��*k0–�1uK6��K��sw�|Ÿ]�s�M��‡=2�0C���x*^–��s_O‡/��W–�L�m��‘�?)[f�w{��`41=T�I4”����A�gx���–o�\N�: �u/��7��c����m–4ҷ��YB�)6 7��F!Khsš�”�$�’����x��K [ ݁��–p|0�P��w�h�c�#�xŠn ‘Kj�z37b��XboY‡��8���@1_�f�Nd0j8��q����h^�f��)`�<��s �5“�š�=M™�™HS��9NpƠ\fN$8��ƒ�p��;�!�>R�{š� 3��}���,|�› ��ƒ$�oB�<:ƽ�Œ�1�b]w�:]�:�}��~D�4�q„�’&�: �7/‡��@�J2�TM���k: *g:�~“�t�8M�)[�1�mœ�M�‹��ˆ™�M��! �� lv“�Q��”š—%k�� :~�]��*������?/:“Œ������Z�zC�0?_��fs��&3‰�Wͷ���G7�“���†�…A��;�}�v��������[�=�Co��N��m:�y����œ�ˆ�/�†eF�&+��]ŒAq��)�l’�{c��G���=w|�F�v‡“i;:’5�/~�����”hh„�œ��80�hw�ps������1�…&‘]�==����Vs������

Sector breakdown

Funds of Funds accounted for 14% of the industry, followed by Real Estate Funds (12%), Hedge Funds (6%) and Private Equity Funds (6%). The remaining category of Other AIFs accounts for close to two-thirds of the industry (61%), covering a range of strategies with fixed income and equity accounting for 67%. Most AIFs are sold to professional investors (84%) but retail participation is significant at 16%, with the highest share in the Funds of Funds and Real Estate categories.

Liquidity risk an issue in Real Estate and Funds of Funds sectors

The two sectors with the largest percentage of retail investors, Funds of Funds (FoF) with 31% and Real Estate with 21%, are also the sectors where the report finds potential issues linked to liquidity. Many of the funds in the Real Estate sector offer daily liquidity, which indicates a structural vulnerability risk as they invest in illiquid assets while allowing investors to redeem their shares over a short time-frame. For the Funds of Funds sector there is a mismatch in liquidity, as 35% of the NAV is redeemable within a day, while only 24% of assets can be liquidated within that timeframe.

Increased use of leverage in the Hedge Fund sector

The Hedge Funds sector amounted to €333bn in NAV, or 6% of all AIFs. However, when looking at gross exposure they total 67% of all AIFs due to their increasing reliance on the use of derivatives. These funds are exposed to financing risk, as one third of their financing is overnight. However, the fact that they maintain large cash buffers offers some security.

Steven Maijoor, Chair, said:

“In this second analysis of the data collected from AIFs, ESMA covers 99% of the market, making this a truly comprehensive overview of this important sector. The collection and analysis of data supports ESMA, and National Competent Authorities, in our work enhancing investor protection and promoting orderly and stable financial markets in the European Union.

A detailed analysis of the liquidity risks of AIFs has highlighted that especially the categories with the highest percentage of retail investors are vulnerable to these risks. This should be considered by investors when making their investment decisions.

These data will also support National Competent Authorities in their supervision of AIFs, and further strengthens supervisory convergence throughout the EU.”

The report includes three sections, covering:

• Market monitoring – including an analysis of structures and trends in European AIFs markets during each reporting period, building on the indicators developed for risk monitoring;
• Statistical methods – focusing on the classification of funds in the Other AIFs category as well as the exposure of AIFs to leveraged loans and collateralised loans obligations; and
• AIF statistics – setting out a full list of indicators and metrics currently monitored by ESMA.