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.
FIX Infrastructure It goes without saying that it’s imperative for trading technologists to thoroughly test their systems before the put them in a production environment. Clearly, building a market-beating trading platform requires a high level of uptime and a propensity for failure that’s as close to zero as possible. And for years technologists have used a range […] November 5, 2018
FIX Infrastructure Getting it right. In earlier blog posts, we’ve discussed the challenges of implementing efficient trading infrastructure testing systems, and the intricate complexities of their adoption. But once all this hard work is completed, what are the potential rewards to be reaped? The operational benefits from instituting an enterprise-wide approach to trading system testing go far […] October 23, 2018
Risk & Compliance Nine months into the MiFID II era, it’s time to look beyond the compliance issues and start considering the business opportunities presented to firms operating under the Systematic Internaliser regime. With the support from a value-adding regulatory solution, SI status can be used for competitive advantage, suggests Jonas Lindqvist, Principal, Trading and Trade Execution, Itiviti. […] October 9, 2018
FIX Infrastructure In previous blog posts, we have discussed the importance of trading infrastructure testing and the regulatory and operational impetus driving its necessity. But when push comes to shove, how easy is it to implement these complex systems? What types of testing solutions are available, and what are the biggest challenges to their adoption? Today’s trading […] October 2, 2018
By submitting this form, you acknowledge that data collected by us will be handled in accordance with our Privacy Notice.