With just over 7 months to go until MiFID II starts, there is still a great deal to do, especially for investment firms, although also for other energy and commodity market participants who will be subject to some of the rules, such as those on position limits.
This article on the Bloomberg web site reports on the possibility for deferring the start of some of the rules, and refers to the comment made by the FIA (previously reported here) regarding the start of some rules on commodity derivatives. In particular, the issue of whether a market participant may benefit from the Ancillary Activity exemption may cause some issues with timing. This is because some National Competent Authorities(NCAs) are requiring that those who must set up a regulated entity in time for 3rd January 2018 must submit their initial application by 3rd July 2017. Given that the test requires that 2017 data should be used, it is argued that the requirement to be an Investment firm by 3rd January be deferred.
Those who do become regulated under MiFID will have to comply with the wider rule set including transaction and trade reporting. This article on The Trade News reports on comments made at a recent conference which highlights the fact that the financial buy side will need to ensure accurate compliance with all rules in order to avoid possible fines.