Fri, Jul 25, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

EU moves on MiFID II, banking union

Monday, April 21, 2014

Bailey McCann, Opalesque New York:

The European Union has approved moving into the second phase of its Markets in Financial Instruments Directive (MiFID) regulation which handles market structure issues, these new rules will have implications for high frequency trending and derivatives. In addition, European banks are likely to see still more regulation under the new banking union that was approved during the same session.

Under the current agreement, new rules will enter into force in 2016. The European Securities and Markets Authority (ESMA) will release technical guidance between now and then for implementation of the new rules. As with any financial regulation, each rulemaking effort will come with a comment period which typically allows for any of the broad guidelines laid out by the European Commission at the end of last week when the changes were approved to be watered down.

Deutsche Börse-owned Eurex and IntercontinentalExchange-owned Liffe will first look at new derivatives rules which could actually make markets more competitive. MiFID II also places continued scrutiny on high frequency trading which is under parallel investigation in the US. Standardized derivative trades will have to be executed on regulated trading platforms and the EMIR clearing obligation will be extended to capture exchange traded derivatives. In addition to standardized trading there will also be new position limits and reporting requirements.

"Changes to the exemption rule......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing
  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Events – AIMA Australian Hedge Fund Forum, Sept. 16, Sydney[more]

    AIMA Australia invite you to join us at our annual Hedge Fund Forum on Tuesday 16th September 2014 at the Sofitel Sydney Wentworth. The AIMA Australian Hedge Fund Forum is a non-profit hedge fund conference organised by the industry for the industry, featuring quality Australian and internation

  2. Opalesque Roundtable: Success in hedge fund marketing not linked to performance, but investor appetite[more]

    Komfie Manalo, Opalesque Asia: Success in marketing a fund is not linked to the performance, but to investor appetite, to the way you can market the fund, and to how much time you can spend to raise assets, said Antoine Rolland, the CEO of incubator and seeding firm

  3. Opalesque Exclusive: Loeb, Grantham cite growing economic concerns in letters[more]

    Bailey McCann, Opalesque New York: Hedge fund manager Daniel Loeb, head of Third Point, and Jeremy Grantham of Grantham, Mayo, Van Otterloo & Co. have both released their quarterly investor letters today. While news is positive on some fronts, and both men see pockets of opportunity, they also h

  4. Investing – Hedge funds expect Netflix earnings to catapult forward, Third Point's Loeb takes stakes in Fibra Uno, YPF, Royal DSM, Lake Capital in talks to back Engine Group[more]

    Hedge funds expect Netflix earnings to catapult forward From Investing.com: Netflix has made major strides forward in 2014 despite ongoing battles with the FCC and cable companies over the issue of net neutrality. The FCC has now received over 500,000 comments from the public on its pend

  5. Opalesque Roundtable: European family offices struggle to retain their investments in offshore hedge funds[more]

    Komfie Manalo, Opalesque Asia: The European Union’s Alternative Investment Fund Managers Directive (AIFMD) will constrain investment opportunities amidst concern a number of U.S. fund managers will stop marketing their products in the European Union under the new rule, said Valentin Bohländer fro