Final rules for MiFID II are due to be released tomorrow (24 September), according to a source familiar with the situation.
The final revisions of the European Securities and Markets Authority’s (ESMA) regulatory technical standards for MiFID II and MiFIR have been widely expected to be released this month, though no exact date has been officially announced by the regulator.
Publication of the regulatory technical standards will finally give firms clarity on what they need to do to comply, but they will have little over a year to get ready as the new rules are set to be implemented in January 2017.
There have been recent calls to introduce an extended implementation period due to the large scope of the regulation but it is considered unlikely this will happen.
Key areas expected to be clarified in the new regulations will be the mechanisms for how the 4% and 8% dark pool trading caps will be calculated and enforced, as well as whether firms will need to fully unbundle their research and execution payments or if ESMA will adopt a laxer approach than in its initial proposals.