Asset managers are under growing pressure to prove that they make investment decisions in their clients’ best interest. Parliaments are legislating to make this process legally binding – spearheaded by Europe’s overhaul of investment practices known as Mifid II. Yet in Asia, efforts to introduce similar laws have met a stubborn obstacle: a lack of data.
In demonstrating ‘best execution’, firms must be able to access a host of similar trades for comparison purposes. In markets where trading occu