Regulation (EU) No 1095/2010 urges the European Securities and Markets Authority (ESMA) to consult interested parties on regulatory or implementing technical standards, guidelines and recommendations and provide them with sufficient opportunity to comment on proposed measures.

Before adopting draft regulatory or implementing technical standards, guidelines and recommendations, ESMA should conduct an impact study. For reasons of efficiency, a Securities and Markets Stakeholder Group (SMSG) should be used for that purpose, and should represent, in balanced proportions, financial market participants, small and medium-sized enterprises (SMEs) and academics as well as consumers and other retail users of financial services.

The SMSG should work as an interface with other user groups in the financial services area established by the European Commission or by European Union legislation. Members of the SMSG representing non-profit organisations or academics should receive adequate compensation in order to allow persons that are neither well-funded nor industry representatives to take part fully in the debate on financial regulation.