Life after MiFID II: What could be the unintended consequences of research rules?

MiFID II, the legislation that governs transparency around the charges for investment research, went live on 1 January. We consider life after MiFID II, what this means for investors, brokers and corporates and highlight the unintended consequences.

Research coverage - drying up It appears too early to tell the true impact on the buy-side of MiFID II. Who triumphed at the Investment ResearchAwards 2017? "Introductory" arrangements have been in place offering waterfront research coverage at a discounted rate for Q1 2018 and most fund managers are yet to see themselves cut off from the distribution lists, but are noting the quality and quantum of research is visibly deteriorating. However, for the small- and mid-cap markets, evidence indicates that research is now starting to be restricted. Companies with a market capitalis...