The TRADE 60 | Page 39

[ T I M E L I N E 31 January 2019 The SI regime for derivatives under MIFID II is delayed for the second time by ESMA due to “incomplete and inaccurate data”, with the regulatory pushing back implementation to 2020 at the latest. 5 February 2019 ESMA prepares for the possibility of a 'no-deal' Brexit scenario by announcing plans to temporarily suspend calculations for vital MiFID II rules including the SI regime, DVCs and bond liquidity for a period of two months, should the UK leave the EU without a deal. | T H E F I R S T 5 0 0 18 February 2019 – A report from the CFA Institute finds that larger buy-side firms have slashed research budgets as a result of MiFID II, some by as much as 11% since the regime came into force, while overall levels of research sourced from investment banks also saw a significant decline over the period. 27 February 2019 The world’s largest asset manager, BlackRock, warns EU policymakers over the potential threat to midpoint trading in the wake of regulatory changes to MiFID II and an extension of the tick size regime to systematic internalisers (SI), periodic auctions and block trading venues, strongly disagreeing with assumptions that the focus on moving trading to lit venues improves transparency and price formation. D AY S O F M I F I D I I ] 12 March 2019 – Research from WBR Insights finds that the buy-side have prioritised the use of periodic auctions and conditional order types to navigate liquidity post-MiFID II more than any other technique or strategy, despite continued regulatory concerns over the increased use of such venues. 30 April 2019 ESMA delays the publication of further data for the systematic internaliser (SI) regime, this time for equity, and equity- like, instruments and bonds due to a “technical issue”. The data is eventually published on 10 May. 20 March 2019 – ESMA announces proposed changes to the share trading obligation under a ‘no-deal’ Brexit scenario, confirming that 14 of the UK’s biggest stocks would have to trade on venues inside the EU, meaning European banks and buy-side firms will not be able to trade the listed UK shares. The FCA raises concern over the move and warns that the changes could see widespread disruption to trading across Europe. Issue 60 // TheTradeNews.com // 39