JPMorgan Says Too Much MiFID II Transparency Might Hurt Market Liquidity

As MiFID II approaches – and the majority of bulge bracket research providers have decided to eat the cost of research rather than charge for it – the looming concern is market liquidity amid MiFID II transparency. [dalio] MiFID II transparency: “Transparency is not unequivocally good for market liquidity” A primary goal of MiFID II is to bring standardization, transparency and best execution to the marketplace. Banks operating in Europe are required to re-register as “systematic internalizes,” requiring them to publish firm quotes as broker crossing networks are banned and dark pools will be limited. Transparency has always been a key…