CySEC announces Supervisory Priorities for 2025
The Cyprus Securities and Exchange Commission (CySEC) has outlined its Supervisory Priorities for 2025, emphasizing investor protection, market integrity and regulatory compliance. These priorities reflect CySEC’s commitment to strengthening oversight, adapting to emerging risks and ensuring financial stability.
Key Focus Areas for 2025:
- Cyprus Investment Firms (CIF)
- Enhanced monitoring of high-risk CIFs – Continuous supervision of high and medium-high risk CIFs, with periodic reviews for lower-risk firms.
- Stronger cross-border oversight – Focus on marketing practices, client onboarding, and compliance with EU regulatory requirements.
- Thematic reviews on AI & Fin-fluencers – Assessment of AI usage and financial influencers’ role in client communication, investment advice, and risk management.
- Business model resilience – Evaluating CIFs’ capital adequacy, financial stability, and early risk detection.
- Improved regulatory data quality – Strengthened oversight on MiFIR, EMIR, CSDR, SFTR, and securitization reporting.
- Fund Managers
- Targeted supervision of high-risk fund managers to ensure compliance.
- Thematic reviews on internal audit & compliance functions within investment funds.
- Emphasis on ESG compliance – ensuring adherence to sustainability disclosure requirements.
- Review of leverage & commercial real estate risks to mitigate systemic vulnerabilities.
- Cross-Sector Priorities
- Implementation of DORA (Digital Operational Resilience Act) – Strengthening ICT risk management and cybersecurity in regulated entities.
- Integration of MiCA (Markets in Crypto-Assets Regulation) – Preparing firms for compliance with transparency, governance and investor protection measures.
What Regulated Entities need to do:
To align with CySEC’s priorities, regulated firms must:
- Review internal policies to ensure compliance with evolving regulations.
- Strengthen governance structures for risk management and internal audit.
- Prepare for thematic reviews on AI usage, Fin-fluensers, and ESG compliance.
- Invest in technology to enhance ICT risk management and operational resilience.
How SALVUS Can Help
Our Regulatory Compliance team at SALVUS is ready to assist regulated entities in aligning with CySEC’s 2025 Supervisory Priorities. From policy reviews to compliance assessments, we help firms navigate the regulatory landscape with confidence.
For tailored guidance, contact us at info@salvusfunds.com
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