Compliance, reporting obligations and date of application

These guidelines are issued pursuant to Article 16 of the ESA Regulations¹ . In accord-ance with Article 16(3), competent authorities and financial institutions must make every effort to comply with the guidelines.

These guidelines set out ESMA’s and the EBA’s view of appropriate supervisory practices within the European System of Financial Supervision and of how Union law should be ap-plied. ESMA and the EBA therefore expect all competent authorities and financial institu-tions to which these guidelines are addressed to comply with guidelines. Competent author-ities to which these guidelines apply should comply by incorporating them into their super-visory practices as appropriate (e.g. by amending their legal framework or their supervisory processes), including where guidelines are directed primarily at institutions.

Competent authorities must notify ESMA and/or the EBA whether they comply or intend to comply with the guidelines, stating their reasons for non-compliance within two months of the date of publication of the translated versions by ESMA and the EBA to JCguidelines.com-plaintshandling@esma.europa.eu and compliance@eba.europa.eu. In the absence of a re-sponse by this deadline, competent authorities will be considered non-compliant. A tem-plate for notifications is available on the ESMA and EBA websites.

These guidelines apply from the date of the reporting requirement referred to in paragraph 6.