17 SEPTEMBER 2019

Comment From Trad-X On Divergence Of SEF Rules Amongst Global Regulatory Authorities

Daniel Marcus, CEO, Trad-X, comments: "The final piece of an increasingly complex puzzle is the global coordination of regulatory reform. This divergence in global regulation previously resulted in unintended consequences such as fragmentation of liquidity. The interim substituted compliance relief period – in line with the Path Forward – has allowed for some of these issues to be mitigated, but there are still several questions about how the 24 March deadline, should it remain unchanged, will impact on liquidity and spreads. "Certainty and confidence is the lifeblood of our industry, and better industry engagement in advance of release and swift enforcement of rules would be welcomed. Instead the industry has had to cope with footnotes that create material issues, confused guidance and last minute no action letters. None of this has been ideal for stable deep liquidity, when it’s needed most."