About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

MiFID II: One Year On and None the Wiser

Subscribe to our newsletter

By Christian Voigt, Senior Regulatory Advisor, Fidessa

MiFID has achieved the rare feat of becoming a genericized trademark. In the same way that Xerox stands for copy machines in general, MiFID has turned into a synonym for all financial markets regulation. With the scorecard for its first birthday due, whether MiFID II really is ground-breaking, or deserving, remains debatable. However, there is no doubt about its voluminous size. And it is because of this unusual size that even one year on, we are none the wiser.

Firstly, while you could argue that MiFID II successfully changed global market structure due to research unbundling, you could also point out that MiFID II just added another level of mind-numbing box ticking with the introduction of best execution reports. So where does it leave us overall?

And secondly, it’s hard to understand what has happened at a micro-level. For example, we all agree that periodic auctions grew as a result of MiFID II, but what precisely caused this innovation? Was it because of the ban of the Broker Crossing Network, changes to the Systematic Internaliser regime, changes to the tick size or the introduction of the double volume cap?

Since all of those things occurred at the same time, it is virtually impossible to determine causality. It’s a bit like me randomly pushing buttons on my central heating boiler, until the house is warm.

If MiFID II teaches us anything it is that we shouldn’t have such large regulations in the first place. Instead of consulting and negotiating for ten years on texts exceeding 1.7 million paragraphs, how about lawmakers work on a steady stream of smaller changes. Faster time to market, better impact assessment, lower implementation costs, reduced risks, the benefits for everyone could be tremendous.

Subscribe to our newsletter

Related content

WEBINAR

Recorded Webinar: Sponsored by FundGuard: NAV Resilience Under DORA, A Year of Lessons Learned

The EU’s Digital Operational Resilience Act (DORA) came into force a year ago, and is reshaping how asset managers, asset owners and fund service providers think about operational risk. While DORA’s focus is squarely on ICT resilience and third-party dependencies, its implications extend deep into core operational processes that are critical to market integrity, investor...

BLOG

SEC’s 2026 Examination Priorities – 10 Notable Changes

The U.S. Securities and Exchange Commission (SEC) has released its Examination Priorities for 2026, and while many supervisory themes continue from 2025, the tone and structure of the new document reflect a decisive pivot. After years of rapid organisational expansion and broadening remit, the Division of Examinations is now emphasising consistency, prioritisation and the effective...

EVENT

RegTech Summit New York

Now in its 9th year, the RegTech Summit in New York will bring together the RegTech ecosystem to explore how the North American capital markets financial industry can leverage technology to drive innovation, cut costs and support regulatory change.

GUIDE

Data Lineage Handbook

Data lineage has become a critical concern for data managers in capital markets as it is key to both regulatory compliance and business opportunity. The regulatory requirement for data lineage kicked in with BCBS 239 in 2016 and has since been extended to many other regulations that oblige firms to provide transparency and a data...