|New formula of the trading criterion for financial instruments' definition under MiFID II - equivalent contracts|
|Monday, 09 February 2015 06:19|
In order to establish whether given physical forward is a financial instrument under MiFID II counterparties will have to implement the process for ongoing comparison of their trading conditions with on-venue contracts (and, moreover, not only with contracts traded on regulated markets, MTFs and OTFs, but also with those traded on third-country trading venues).
Is it really the intention? Consequences may be severe... Take for example the term for reporting the OTC derivative contract to the trade repository under EMIR - one working day only. Is this enough time for such complex analyses?