The European Securities and Markets Authority (ESMA) has designated benchmarks administered by FTSE International Limited as significant under Article 24(2) of the Benchmark Regulation (BMR), in a statement published on 9 July 2026. The designation triggers enhanced regulatory requirements for the administrator, including stricter governance, oversight, and transparency obligations.
The statement, referenced as ESMA81-1841807023-1117, confirms that FTSE International Limited has notified ESMA of its benchmarks, and ESMA has assessed them as significant based on criteria such as the size and nature of the underlying market, the number and type of users, and the potential impact on financial stability. As a result, FTSE International Limited must comply with additional rules under the BMR, including the establishment of a permanent oversight function and more detailed reporting to ESMA.
This designation follows the framework established by the Benchmark Regulation, which entered into force in 2016 and aims to ensure the accuracy and integrity of benchmarks used in financial instruments and contracts within the EU. The regulation classifies benchmarks as critical, significant, or non-significant, with significant benchmarks subject to a lighter regime than critical ones but still requiring robust governance and accountability.
The decision impacts FTSE International Limited, which must now implement enhanced compliance measures, potentially increasing operational costs. Users of FTSE benchmarks, such as investment funds and pension schemes, may benefit from greater transparency and reliability. ESMA's action reinforces its supervisory role in overseeing benchmark administrators, while national competent authorities may coordinate with ESMA on enforcement. The move also signals continued regulatory scrutiny of benchmark providers operating in the EU market.