Platforms win small on Mifid day one
Some dealers stopped quoting bilaterally on smaller bond trades
One of the first concrete effects of Europe’s new trading and transparency rules has been to limit the choices available to buy-side firms when executing smaller trades.
On day one of the second Markets in Financial Instruments Directive, some banks refused to offer bond prices bilaterally as a way of avoiding the accompanying disclosure burden, directing clients to trading platforms instead.
Risk.net spoke to three sources at banks classed as systematic internalisers (SIs) by Mifid II –
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