The implementation of Mifid2 regulations that takes place after the end of the year the disadvantage of the asset managers but the benefit of certain exchanges.
It writes Credit Suisse in an analysis.
”More than half of the 20 largest global tillgångsförvaltarna has decided to absorb the analyskostnaderna and previously assessed the negative scenario, if more than 50% reduction in analysbudgetar can come to be a reality,” writes Credit Suisse.
The investment bank estimates that the impact on the profit before tax will be up to 3% for many european-listed asset managers in the wake of the not for over analyskostnader to their customers.
Among the managers who mentioned that they will not pass on the costs to their customers include Schroders, JP Morgan Asset Management, Aviva, Blackrock, Barings, Allianz, Deutsche Asset Management, T Rowe Price, Franklin Templeton, Vanguard and Pimco.
The changes Mifid2, constitutes the structure of the european capital markets can be expected to provide a ”somewhat positive” impact on the stock performance.
”We believe that a certain positive vinstpåverkan will of over-the-counter flows are moved over to the stock-exchange scenes,” writes Credit Suisse, which additionally indicates that services to assist clients with new reporting requirements, also contribute positively.
The stock exchange which is expected to draw the most benefit from Mifid2-regulations is the London Stock Exchange, believes the investment bank and pointing at the Turquoise Plato Block Discovery-offer. This multilateral trading facility is seen as ”one of the most successful” for operators who want to execute large trades secret (”in the dark”) but meet the Mifid2 requirements.
”However, we feel that intäktsmöjligheterna is relatively small,” writes Credit Suisse, who points out that the LSE, 51% owner of Turquoise in addition to the 12 investment banks.
In addition, mentioned that LSE has an approved reporting mechanism (”ARM”) in the form of Unavista. Within the LSE’s handelsrapporteringserbjudande also mentions the apa (the”APA”) – Tradecho – which is a collaboration with the Swedish Cinnobers subsidiary Boat. But then also the Euronext, the Spanish finansmarknadsbolaget BME and Deutsche Börse all be found within this segment with similar rapporteringserbjudanden assesses Credit Suisse that this is a ”competitive field”.
Then Mifid2 will create ”large quantities of new data” that can be packaged and sold to investment firms in order to improve the execution, and the risk assessment, it is at the same time something that will create great opportunities for the players who sit on such information, estimates Credit Suisse.
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