LEARNING OUTCOMES

This course deals with the fundamentals of the European financial markets and insurance regulation, with a focus on the regulation of insurance and investment services. Reference are made to the main European directives and legal texts concerning the financial and insurance market. The purpose of the course is to provide an overall view of the contents and scope of EC regulation of financial and insurance markets regulation. The course also deals with institutional aspects of EC insurance financial markets law, focusing on the law making process and, particularly, on the Lamfalussy method and its implications for the supervisory and enforcement activities performed by the National Competent Authorities.

AIMS AND LEARNING OUTCOMES

This course aims at providing students with an in deep knowledge of the regulation and supervision of financial and insurance markets in the EU. While particular emphasis will be placed on the role of the EU in the setting up of the legal framework for the investor and insured protection, the course will also cover the role of the national legislation with particular focus on the interplay between EU and national supervision systems.

PREREQUISITES

European Union Law and Business Law.

TEACHING METHODS

A seminar will take place every week where the teacher and the students will discuss CJEU decisions and other relevant materials. According to the instructor's allocation, decisions and materials are first presented by a student or the teacher. Each student has the task of explaining one decision within the course, this being a requirement to pass. Therefore, presentations are mandatory. However, they are not receiving a grade. All students must also attend and actively participate in the discussion on all the decisions and materials. This will take place in a friendly environment where everyone should feel free to express views and doubts with no risk – the only mistake students can make is not to participate! To facilitate the discussion, all the students must read the decisions and the materials assigned to other students to present ahead of the seminar. Therefore, reading the materials assigned to the teacher is not mandatory but just recommended.

SYLLABUS/CONTENT

1 Why regulate finance? An introduction to market failures

2 Activities, actors and financial instruments: a glossary

3 Licensure and EU integration: entering the market for investment services

4 Conduct of business rules: transactional and fiduciary services

5 Conflicts of interest (organization and disclosure)

6 Inducements and best execution

7 Corporate governance and remuneration

8 Product governance and product intervention

9 Insurance investments products

10 Raising capitals in the EU: prospectuses and IPOs

11 Prospectus approval and liability

12 Takeover bids

13 The structure of the trading industry and liquidity fragmentation

14 Market microstructure: pre-and post-trade transparency

15 Market abuse: insider trading and issuer disclosure duties

16 Market abuse: market manipulation. Short selling

17 Algorithmic trading

18 Public and private enforcement.

RECOMMENDED READING/BIBLIOGRAPHY

Teaching materials will be available on the University of Genoa E-learning Platform: AulaWeb. Language: English. Students can log in to the AulaWeb page to schedule the lectures and related activities. Up-to-date information is available on the AulaWeb page.