The European Securities and Markets Authority (ESMA) is an independent EU authority whose purpose is to improve investor protection and promote stable, orderly financial markets. ESMA has 3 objectives:
-Investor protection - to make sure that financial consumers' needs are better served and to strengthen their rights as investors, while also acknowledging their responsibilities;
-Orderly markets - to promote the integrity, transparency, efficiency and proper functioning of financial markets and robust market infrastructure
-Financial stability - to strengthen the financial system so it can withstand shocks and the unravelling of financial imbalances, and to encourage economic growth.
ESMA is also responsible for coordinating measures taken by securities supervisors or adopting emergency measures when a crisis situation arises.