Tag: MiFiD
ESMA Consults on Trading Obligation Under MiFIR
On 19 June 2017, ESMA published a consultation paper on the trading obligation for derivatives, as detailed in Articles 28 and 32 of MiFIR.[1] The closing date for responses is 31 July 2017. By way of reminder, derivatives that are subject to the trading obligation under MiFIR may only be traded on: A Regulated Market; […]
ESMA Consults Over Definition of Commodity Derivatives
On 29 September 2014, the European Securities and Markets Authority (ESMA) published a consultation paper regarding the definition of ‘commodity derivatives’ under paragraphs C6 and C7 of Annex 1 of MiFID I. The consultation paper is the next stage in a process which began on 14 February 2014, when ESMA wrote to the EU Commission […]
Execution of best execution
The FCA published on 31 July 2014 a Thematic Review on best execution and payment for order flow (PFOF). PFOF arrangements compromise compliance with best execution requirement, a key concept of MiFID. The FCA found that some of the firms maintained PFOF arrangements with market makers, in contravention with the Finalised Guidance published in 2012. […]
“Spot” the difference
The European Commission has published the responses to its public consultation on FX financial instruments. The April 2013 consultation sought to gauge stakeholder opinion concerning the distinction between an FX financial instrument and a spot FX contract. This delineation has significant implications; a contract which is considered a financial instrument is subject to MiFID requirements. Furthermore, […]
The Day of the MiFIDs
MiFID II and MiFIR become law today following their publication in the Official Journal of the EU (OJ). This sets the seal on the legislative phase, while technical consultation with ESMA and the EBA is ongoing, as outlined in an earlier post. Importantly, publication in the OJ cements the date for the final application of […]
Spotting a Spot FX Contract
On 11 April 2014, the EU Commission published a consultation document requesting views on what constitutes an FX “financial instrument” for the purposes of MiFID[1] and what does not, particularly in the context of spot FX. The consultation follows on from the letter
HFT- Here For Tomorrow?
Financial blogs and more mainstream media have been burning with comment over the last few days, though little light has been shed. Whether defending the liquidity-enhancing virtues of HFT or damning it as the rise of the machine, the fire’s accelerant is the click-bait publication of Michael Lewis’ formulaic “Flash Boys”, the actual fuel is […]