The TRADE 60 | Page 34

[ T I M E L I N E | T H E F I R S T 5 0 0 D AY S O F M I F I D I I ] TIMELINE: THE FIRST 500 DAYS OF MIFID II The TRADE presents a comprehensive timeline of the major incidents, developments, statistics and talking points that have occurred during the first 500 days of the MiFID II regulatory regime, a milestone that occurred on 18 May 2019, including data delays, the rise of periodic auctions and systematic internalisers, and inevitable demands 3 January 2018 MiFID II comes into force across Europe after a one- year delay. While markets are largely unaffected on the day itself, several major European exchanges – ICE Futures Europe, London Metal Exchange and Eurex – are granted last-minute reprieves from complying with the open access regime until later in the year to ensure “orderly functioning of the trading venues.” 9 January 2018 The first problems of the MiFID II regime appear as ESMA delays the implementation of the double volume caps (DVCs) on dark pool trading due to “insufficient data” from trading venues. 18 January 2018 – US broker Evercore ISI shutters its European trading operations in London just two weeks after MiFID II comes into force. 10 January 2018 $300 million was wiped off the market for European equity research after the MiFID II’s rules on unbundling payments for investment research and execution fees, according to a study from Greenwich Associates, which finds that research and advisory budgets had fallen on average by 20% compared to 2017. 34 // TheTrade // Summer 2019 7 February 2018 – Major exchange groups call on ESMA to include systematic internalisers (SIs) under the regulation’s tick size regime, claiming it would create a competitive disadvantage for trading venues if only on-venue orders and quotes have to comply with the minimum tick size regime, resulting in volumes currently traded on-exchange migrating towards OTC execution.