Investment Regulations and Taxonomy Compliance

A market where newly issued securities are sold for the first time, allowing companies to raise capital directly from investors.

The initial public offering of a company's shares, where it becomes publicly traded for the first time.

A market for trading previously issued securities between investors, without direct involvement from the issuing company.

Encompasses a company's environmental, social, and governance practices, influencing a company's sustainability and ethics.

Reports that disclose non-financial information about a company's sustainability practices, including environmental, social, and governance aspects.

A directive expanding sustainability reporting requirements for a broader range of companies, aiming to enhance transparency and accountability.

ESG factors are incorporated into a company's business strategy and decision-making, prioritizing sustainable practices.

A period of adjustment where sustainability reporting requirements are evolving and expanding for various companies.

Regulations that govern the creation, approval, revision, and publication of prospectuses when securities are offered to the public.

A legal document that provides detailed information to potential investors about a company or entity's offering of securities.

An offering of securities that is made available to a diverse range of investors, potentially including retail investors.

Specific circumstances that exempt securities offerings from the requirements of a prospectus due to factors like the security's value or the investors' sophistication.

The value or denomination of the security being offered, which might influence whether a prospectus is required.

The nature of the intended recipients of the securities offering, such as sophisticated institutions or retail investors, which can affect prospectus requirements.

A threshold for the total value of the offered securities, which might determine whether a full prospectus is required. Offers below the threshold may qualify for exemptions.

A 12-month period for the regulation of public offers, accommodating both single-time and multi-stage (tranche) offerings.

The EU Taxonomy Regulation is a framework that classifies economic activities as environmentally sustainable. It helps businesses and investors align their investments with EU sustainability goals.

Benchmarks in sustainability allow investors to compare the environmental impact of different investments. They provide a standardized way to measure how much a particular investment contributes to or mitigates carbon emissions and other environmental factors.

MiFID and MiFID II are regulations that aim to standardize rules for financial markets and services within the EU. They emphasize transparency and require financial intermediaries to provide comprehensive information to investors.

Financial intermediaries play a crucial role in providing information and guidance to investors, helping them make informed investment decisions. They are essential in bridging the gap between investors and financial markets.

The Taxonomy Regulation promotes the transition towards a more sustainable economy by providing tools and guidelines for businesses, financial institutions, and investors to make sustainable choices.

The Taxonomy Regulation helps ensure that financial resources are channeled towards activities that align with the EU's sustainability goals and objectives. This helps to drive the transition towards a greener economy.

The Taxonomy Regulation ensures that businesses and financial institutions accurately represent their environmental credentials. This allows investors and the public to make informed decisions about investments and businesses based on their sustainability performance.

Investors often rely on financial intermediaries for information and guidance when making investments. MiFID and MiFID II regulations require these intermediaries to provide transparent and comprehensive information to investors.

Regulatory authorities like CONSOB in Italy oversee financial markets, ensure transparency, and promote disclosure.

While there's a European framework (ESMA), individual member states like Italy have their own authorities responsible for prospectus requirements.

Amendments to regulations like the Prospectus Regulation can happen due to changes in the regulatory environment, updates, or stakeholder feedback.

Consolidated versions of regulations integrate amendments into the original text, ensuring a single, up-to-date document reflecting the current state of the regulation.

The process of a company being listed on a stock exchange doesn't necessarily require an initial public offering (IPO) but companies listed on stock exchanges should have undergone an IPO. These are separate regulations.

The Prospectus Regulation (EU) 2017/1129 was enacted by the EU and applies to companies within the European Union.

The principle of subsidiarity in European regulation means that responsibilities are allocated to the lowest effective level of government, so prospectus checks are done on a national basis.

A situation where credit institutions, typically banks, are exempt from publishing a prospectus when issuing certain types of bonds under specific conditions.

Bonds issued by banks that are not subject to conditions that make them more risky or complex, such as subordination, exchangeability, tradability, or convertibility.

A type of financing where businesses or projects raise capital from a large number of individuals through online platforms.

A regulatory framework in Italy that governs the financial market, including provisions for crowdfunding.

An exemption from prospectus requirements for banks issuing bonds, subject to strict conditions regarding the type of security, issuer, offering nature, and a size limit of €75 million.

The process of reevaluating existing regulations and making changes to reflect new circumstances, advancements, or risks.

The act of making specific requirements, criteria, or standards that must be met for an exemption or privilege to apply.

An approach to financial market regulation that emphasizes transparency, disclosure, and investor protection, particularly in the context of complex financial instruments.

A method of connecting investors with businesses or projects seeking funding through online platforms, typically regulated at the national level.

A financial instrument's ability to be traded, especially on capital markets.

A bond-like investment that pays fixed interest and is linked to the price of an underlying asset, often stocks. If the underlying asset price stays above a certain level by maturity, the investor gets their principal back. Otherwise, they may lose some or all of their investment.

The key characteristics of a security that determine its value, independent of its name. These include the structure, terms, and conditions.

The face value of a bond, which is the amount the investor will receive at maturity if the underlying asset performs as agreed.

The asset whose price movements determine the potential payout of a reverse convertible bond. Often, this is a specific stock or a group of stocks.

A predetermined threshold for the price of the underlying asset. If the price stays above this level by maturity, the investor gets their principal back.

Financial products that combine features of both bonds and derivatives, exhibiting characteristics of both.

A financial instrument that allows the holder to exchange it for another security, typically a stock. This exchange can occur at a predetermined price or according to specific terms.