ISDA's response to the MiFID Review consultation stresses:

  • any changes should reflect the flexibility and choice the current regime offers;
  • the Commission must appreciate that cash, futures and OTC derivatives markets are complementary, and any changes must allow for the diversity of execution models;
  • prescriptive pre-trade transparency could undermine the functioning of OTC markets;
  • any decision to amend the existing exemptions from MiFID must take full account of the consequences of bringing additional firms within MiFID; and
  • there is no need to change client categorisation rules in relation to product types and the current presumption of knowledge and experience of professional clients should stay.

 (Source: ISDA's response to the European Commission's Public Consultation on the Review of the Markets in Financial Instruments Directive (MiFID))