News

Law

Asset Management

Investment Banking

Wealth

Hedge Funds

People

Newsletters

Events

Lists

Trading

The Mifid II elephant lurking in the derivatives trading room

Trading less liquid asset classes on exchanges could cause major problems when Mifid II goes live in early January

Elephant in the room.
Elephant in the room. Photo: Getty Images

On the face of it, it is hard to see the downside to moving more OTC derivative contracts onto trading venues. From increased competition, to greater pricing transparency and investor protection, who wouldn’t want to attend this particular Mifid II New Year’s party?

The problem is, like at all good parties around this time of year, there are always a few incidents people just can’t bring themselves to talk about the morning after the night before.

WSJ Logo