Own goal: Mifid II reduces transparency in some EU markets

New rules replace voluntary arrangements in ETFs and Nordic bonds, fragmenting post-trade data

So far, those hoping for more transparency in European financial markets have little reason to celebrate the arrival of new trading rules, which promised to deliver just that. Investors and dealers in some markets may even be wishing Mifid II had never come into existence.

In a classic case of unintended consequences, the second Markets in Financial Instruments Directive has reduced – rather than increased – the availability of ready-to-use information on some Nordic bonds and exchange-traded