MiFID2: Pain for AMs, gain for exchanges
GLOBAL ASSET MANAGERS & EXCHANGES: The implementation of MiFID2 is just three months away, and winning will be a relative, not absolute, game for asset managers, with a cost burden attached. For the exchanges, we see some modest incremental earnings opportunities for select players. For the AMs, we do a deep-dive into the MiFID2 rules to understand why so many players have opted to absorb research spend and what the cost/revenue implications might be for AMs and EU investment banks. For the exchanges, we look at equity flow, data, trading requirements, straight-throughprocessing of derivatives, and open access – to pick potential winners.