The Investment Association has called for European authorities to abandon proposals that will force bond investors to alert markets when they want to buy or sell bonds, saying the rule could place further strain on the levels of liquidity in the market.
The proposals are set to be announced imminently in the details of the Markets in Financial Instruments Regulation (MiFIR), which will be implemented across Europe from January 2017, and aims to improve transparency. However, the IA has asked for a public consultation of at least 30 days on the trading rules - known as Regulatory Technical Standards (RTS) - that requires bond investors to inform the rest of the market of any future transactions. Aberdeen: Big groups are moving to combat bond liquidity risks This, the IA said, would cause difficulties for investors trying to buy and ...
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