A prominent politician who helped craft Europe's new trading laws has raised concerns that rules to make bond markets more transparent are falling short — just months after coming into force. European Parliament member Markus Ferber has warned of the "worryingly low" number of bonds currently subject to real-time reporting requirements under the EU's revised Markets in Financial Instruments Directive. Mifid...
European Parliament member Markus Ferber has said "something is seriously wrong" with the low number of traders publishing live data on liquid bonds following the implementation of MiFID II. The European Securities and Markets Authority (ESMA) revealed just 220 of 71,000 bonds were deemed liquid enough to require live reporting during Q1 2018, and blamed the low quality of data received from bond markets. "The fact that only a small proportion of these reports are available for public consumption makes it impossible to assess whether they reflect market conditions or not," he said.