Wed, Oct 14, 2015
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. Manager Profile - Pimco alternative funds flourish as 30-year bond rally fades[more]

    From Inside Pacific Investment Management Co., the bond behemoth that lost two chief investment officers last year and saw almost $500 billion of client money leave, a hidden profit engine is easing some of the pain. For more than a decade, Newport Beach, California-based Pimco has qu

  2. Niche Investing - Art investment funds: Attracting institutional and other new investors[more]

    From The Deloitte/ArtTactic Art and Finance Report 2014 (the "Art and Finance Report") noted that the "global art investment fund market was estimated to be worth at least $1.26 billion in the first half of 2014." This seems almost inconsequential when juxtaposed with the $54 billion of

  3. Other Voices: Why fund boards must develop a response to cyber security and financial crime threats[more]

    This article was written by Carne, an international specialist in the provision of independent governance services and European management company solutions to the global asset management industry. A recent SEC action has highlighted how concerned regulators have become about data intru

  4. Hedge funds relatively resilient in Q3[more]

    Komfie Manalo, Opalesque Asia: Hedge funds fell in the third quarter as market conditions remain challenging, but still outperformed the S&P 500. The Lyxor Hedge Fund index was down 3.6% during Q3 while the S&P 500 fell 8.2%. According to Lyxor, "hedge funds were quite resilient in Q3. Falling en

  5. Hedge funds start Q4 on strong footing reversing the previous market downturn[more]

    Komfie Manalo, Opalesque Asia: Hedge funds started the fourth quarter on a strong footing, reversing the previous market downturn with the Lyxor Hedge Fund Index up 1.1% as of end Oct. 6 (-0.7% YTD). Event-driven outperformed, up 2.2% (-4.2% YTD), and CTAs underperformed (- 1.9%), extrapolatin