UK’s plans to ditch share trading rules threaten liquidity
Asset managers say London’s decision to relax EU equity regime will fragment liquidity – with unpredictable consequences
Plans by the UK government to tear up European Union rules on where firms can trade shares will disrupt liquidity in the region’s €10 trillion equity markets, experts predict.
London’s move to drop the EU’s share trading obligation – which forces investors to trade on approved venues and exchanges in a bid to improve transparency and fairness in equity markets – is likely to fragment activity in the continent.
Dumping the share trading obligation “will disperse liquidity, meaning a risk to
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