New EU rules threaten to lock out US prop traders
Revisions to Mifid equivalence make opaque demands requiring “psychic abilities”, warn lawyers
Europe’s new Investment Firms Regulation (IFR) risks locking out US proprietary traders with no legal presence in the region, market participants and lawyers warn. This could drain liquidity from European futures exchanges, and there could also be costly implications for UK-based firms if Brexit sees the UK leave the single market.
“There was an opportunity with the IFR to create a more tailored regime, but instead it seems to be raising the cost of entry. If it becomes too difficult, US firms
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