William Maye reports from CoreData UK about the likely effects of the upcoming Mifid II legislation.
UK based financial advisers have been through four years of regulatory change and there is slim prospect of this change abating.
In fact, advisers are now bracing for a tidal wave of European regulation in the form of MiFID II, which promises to unleash further disruption on business models.
The goal is a single rule book for financial institutions; the European Union’s revised Markets in Financial Instruments Directive (MiFID II) will come into effect in January 2018 and aims to improve investor protection, transparency, and product standardisation while ushering in a new period of market stability.
The UK regulator the FCA has said that the Brexit vote will not matter – it will ensure that MiFID II will still apply to the UK in the wake of the country’s vote to leave the European Union.
With its rules taking up over 1,000 pages, MiFID II is broad in scope and ambition.