The FCA has outlined its approach to the share trading obligation and will maintain access to EU venues for UK market participants.
Europe’s share trading obligation has proved controversial as the UK Brexit transition period is due to end on 31 December.
European regulatory watchdog revises approach to STO for 14 UK stocks after FCA raises alarm over liquidity and market fragmentation under a no-deal scenario.
Analysis from big xyt shows that some stocks will be caught in the crossfire of a UK share trading obligation, as industry’s concern on EU no-deal Brexit share trading plans heightens.
As UK and European regulators clash over post-Brexit share trading rules, it could spell further divergence for post-trade arrangements.
Major UK stocks including Vodafone and Coca-Cola would have to be traded within the EU in ‘no-deal’ Brexit scenario under the share trading obligation.