In the continuous rally against MIFID II, there was another opinion voiced yesterday in an article in Pensions & Investments Online,
Tom Conigliario, the MD of Markit, a large US based financial services data provider states that ESMA is taking things too far and that the measurements are more draconian ans troublesome than they realize.
According to Conigliario, trading costs will rise, fund performance may be hindered and further consolidation between funds might take place as the smaller funds will be incorporated with the larger funds. He can also imagine that some asset owners like pension funds may choose to do more internal management.
An associate of Conigliario goes as far as predicting the death of OTC markets. Other experts consulted in the article disagree but do share the opinion that there is a lot of trouble ahead.
Read the ful article here