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MiFID II week 4

As another week starts, the industry is “getting used” to MiFID II, although there have been some updates from ESMA, for example the updated “venues” list which can be found here, as well as several interesting pieces of news since our last update.

As this article on the S&P Global web site reports, many are still  struggling to implement the rules. The article discusses the “Damascus” moment where market participants realise what it is the that regulator actually wishes. This has not yet occurred in some cases. It also discusses how the year long delay to the start of MiFID II caused some to “take their foot off the pedal”.

Regulators have in the past shown that they will show some leniency to firms who expended best efforts to comply, but are behind. This article on the Handelsblatt web site shows BaFIN taking a similar stance. Not all are happy about this: This podcast on Bloomberg features Gina Miller co founder of SCM Private continuing to state  that the FCA should take a tougher view in order to be fair to those who have already complied. This follows a similar statement last week (see here).

As the market settles down, some are taking the view that the “peak” of regulation for the last few years has passed, and are looking to focus on more revenue generating activities. This article on the Consultancy UK web site summarises an EY report which supports this shift. never the less, as rules bed down, they continue to change, and in the energy and commodities industry the focus on best practice and anti abuse activity continues, as highlighted in our opening post of the year (see here).

About avivhandler

Aviv is the Managing Director of ETR Advisory, a niche consultancy focused on the regulation of the commodity, energy and financial markets. He has more than 23 years of experience in the financial, energy and commodity markets, covering regulatory compliance, credit, risk and financial technology. Prior to founding ETR, he was Partner at SunGard Global Services, where he built a Centre of Excellence in European Energy and Commodity Regulation. Before that, he founded Coherence, a consulting firm specializing in credit risk in commodity and energy trading as well as software product management. The credit practice ultimately became part of Sirius Solutions, where he was the Managing Director of Europe. He has also held management roles at KWI and Iris Financial, among other organizations. Mr. Handler holds a degree in computer science from Imperial College, University of London.


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