MiFID II & Electronic Trading Starting To Provide Investors Benefits

Now almost three months in, is the Markets in Financial Instruments Directive II (MiFID II), sweeping regulations that changed the nature of the relationship between asset managers and their brokers, providing market participants any meaningful benefit? While a PwC study shows a large swath of senior asset management investors remain concerned about over-regulation, a Greenwich Associates study points to liquidity and tighter bid-ask spreads through electronic trading.

A recent survey of CEOs at major asset and wealth management firms points to continued concern. Some 83% of these executives are “somewhat or extremely concerned” about overregulation in 2018, with MiFID II...