In the wake of the regulatory tsunami caused by MiFID II, sell-sides are struggling to manage cost pressure alongside extensive new requirements. MiFID II will introduce a far more comprehensive and detailed framework than its predecessor, impacting transparency, market structure, and organizational requirements. It will also significantly strengthen investor protection. Operational efficiency and traceability will be key to remain in business post MiFID II, as the new regulatory requirements will touch virtually every area of trading. It will be practically impossible to comply with MiFID II without implementing technology designed for this purpose.
With MiFID II on the horizon, banks and brokers across Europe have initiated system review processes to ascertain the effectiveness of their current technology. Many firms are also taking this opportunity to consolidate systems to get the full picture of their trading, position and risk management across asset classes. It is also a golden opportunity from a practical perspective to clean up the platform and reduce the number of vendor relationships. While consolidation makes perfect sense from a business perspective, it does complicate the system selection process, as the new platform must support varying needs across asset classes and business functions.
Itiviti has prepared an overview of today’s multi-faceted sell-side technology stack to facilitate a discussion, layer-by-layer, around the expected impact of MiFID II.
Execution Participants of the GlobalTrading roundtable “Future-proofing trade execution systems” discuss their key takeaways from the event, including the challenges posed by current and future regulation, the buy vs. build dichotomy, the need to maximize the impact of technology, the challenges and opportunities posed by technology and current trends around system consolidation. Interviewees include: – James […] March 20, 2018
Execution Regulation, technological advances and behavioral changes mean that trade automation will increase, which will in turn force systems and their providers to become more agile, agree speakers at a GlobalTrading roundtable. The degree to which firms should standardize and the merits of outsourcing, however, remain controversial topics. This video and article sum up the key […] March 15, 2018
Execution Lars Wiberg, VP Strategic Research Trading and Trade Execution, discusses pre- and post-MiFID II trends in the OMS-EMS arena, covering a number of issues including consolidation, optimization, cost savings, workflow, globalization and outsourcing. March 7, 2018
Execution This is the second part in a series that explores the past, present and future of Order Management Systems (OMS) and the closely related Execution Management Systems (EMS). We cover these trading tools mainly from a sell-side perspective. As financial markets change, new demands on trading technology appear. This includes the functional requirements of the […] February 27, 2018