ESMA consultation on updated CSDR guidelines on standardised procedures and messaging protocols

The European Securities and Markets Authority (ESMA) has published a consultation paper on amendments to its guidelines on standardised procedures and messaging protocols used between investment firms and their professional clients under Article 6(2) of the Central Securities Depositories Regulation (CSDR). This forms part of ESMA's work to support market participants in preparing for the transition to a T+1 settlement cycle. ESMA is proposing to amend the guidelines in light of the proposed amendments to Articles 2 and 3 of Commission Delegated Regulation (EU) 2018/1229 (RTS on Settlement Discipline), as set out in its final report on the RTS on Settlement Discipline published in October 2025. The updates aim to make post-trade communication faster, clearer and more consistent across the EU. In addition, ESMA is proposing to clarify the discretion available to investment firms and professional clients when documenting their contractual arrangements and is seeking stakeholders' views on potential amendments to the existing guidelines that could support its objective of simplification and reducing regulatory burden.

Key changes to the guidelines include:

• Reflecting the mandatory use of electronic, standardised communication channels and international messaging standards.
• Removing references to non-electronic and non-machine-readable communication methods, such as oral allocations and confirmations, except in cases of temporary technical disruptions.

The deadline for comments is 7 July. ESMA expects to publish the final updated guidelines by October. The revised guidelines are due to apply from 7 December, to align with the expected date of application of the proposed new requirements for allocations and confirmations under the RTS on Settlement Discipline. The upcoming regulatory transition to T+1 settlement will take effect on 11 October 2027.

Return to main website.