Research European Commodity Market Regulations - Part 2 | Page 11
European Energy Market Regulations – Survey Results
Impacts on Ability to Trade
The impacts of the regulations are seen by the respondents to the survey to be largely in increased costs
related to technology and support, with 70% of the respondents citing this as a concern. Reduction in
OTC transactions and increased costs due to margin requirements were both cited by a third of the
respondents. Around 15% of the respondents felt there would be no impact (these were predominantly
European no-EU entities) and one respondent believes that they will need to divest part of their business
to keep compliance costs down.
Figure 8: Impacts on Ability to Trade
Will force us to divest a portion of our business
to reduce the regulatory burden
No impact
Increase cost of trading due to higher margin
requirements
Reduce the number of OTC transactions that we
do
Increase our costs related to technology and
support
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© Commodity Technology Advisory LLC and ETR Advisory Ltd, 2013, All Rights Reserved.
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December, 2013
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