The European Commission formally proposed delaying for one year until January 3, 2018, the roll-out date for the Markets in Financial Instruments Directive II. The EC said the delay was necessary because “neither competent authorities, nor market participants, would have the necessary systems ready by 3 January 2017.” MiFID II and its companion regulation, the Markets in Financial Instruments Regulation, are comprehensive measures that once finally implemented, will greatly increase regulation of European financial markets by (1) requiring the trading of certain financial and commodity instruments on regulated venues “whenever appropriate;” (2) increasing obligations on certain algorithmic traders; and (3) obligating speculative traders to limit the size of their net position in commodity derivatives. The European Parliament and the European Council must approve the EC's proposal for a one-year delay for it to become effectuated. Click here for background regarding MiFID II in the article, "ESMA Publishes Final Technical Standards for MiFID II" in the October 4, 2015 edition of Bridging the Week.)