MiFID II: Regulatory, Risk and Compliance
29th-30th September 2016
Keynote Speaker: Stephen Hanks, Manager, Market Policy Division at the Financial Conduct Authority (FCA)
This two day extended intermediate to advanced level programme will provide delegates with comprehensive training in the latest MiFID II regulatory, risk, compliance and implementation issues. Delegates will be guided through the latest MiFID II operational framework in detail, and will be provided with a critical and explanatory review of the latest draft Level 2 texts published by the European Securities and Markets Authority (ESMA). The conference will also provide extensive guidance on the new MiFID II provisions affecting over-the-counter (OTC) and commodity derivatives, algorithmic trading, dark trades and dark pools. Stephan Hanks, Manager, Markets Policy Division at the Financial Conduct Authority (FCA) will be providing MiFID II implementation insights. Sopra Steria will be discussing their new digital regulatory market data processing platform that they are building for the FCA. The MiFIR Reporting Workshop may likely cover areas relating to FCA and market participant data feeds, MiFID II transaction reporting validation and storage, validation times, distribution sequence, the external interface specification, message types, testing, beta-testing phase, and the reporting warehouse facility.
Day 1: Sessions
Stephan Hanks, MiFID II: The Final Chapter
SESSION 1: Market Structure, Trade Reporting and Transaction Reporting
- Aligning EU regulation; Level Playing Field; Organised Trading Facilities (OTFs); Multilateral Trading Facilities (MTFs); Systemic Internalisers (SIs); SME markets.
- Best-execution and execution only reporting; extended scope of reported transactions; flags; Approved Reporting Mechanisms (ARMs); third party inducements; data publication; consolidated tape and consolidated tape providers.
SESSION 2: Transparency, Position Limits and Position Reporting
- Increased competition; enhanced supervisor powers; liquid market for equity and equity-like instruments; equity waiver caps; non-equity pre-trade and post-trade transparency.
- Position limits, position reporting and ESMA's new position management powers.
SESSION 3: Organisational Requirements, Conduct of Business Rules and Investor Protection
- Client classification and eligible counterparties; investment suitability and appropriateness.
- Product governance; product approval processes; managing bodies; membership selection and suitability requirements; registration and authorisation; market operators; sales targets and remuneration policies.
- Independent advice; conflicts of interest; third party inducements; commissions; third party research.
- Exemptions; compliance function; record keeping; best execution; and execution only.
SESSION 4: The Third Country Firm Framework
- Third country financial institutions; EU Commission equivalent assessment; third country trading venues; third country entity trading obligations; Passporting and comparable levels of investor protection.
- Third Country provisions and the ESMA Deemed Equivalence application process.
- Third Country Firm legal and taxation considerations for choice of branch or subsidiary.
Day 2: Workshops
WORKSHOP 1: Over-the-counter (OTC) and Commodity Derivatives
- Analysing the Level II implementing measures and curtailment of available exemptions.
- Revised financial instruments (emission allowances, OTF physically settled contracts).
- Position limits and position reporting to ESMA.
- Regulation on Energy Market Integrity and Transparency (REMIT) and Markets in Financial Instruments Regulation (MiFIR) equivalence transaction reporting.
WORKSHOP 2: Liquidity, Algorithmic Trading, and Dark Pools
- The latest MiFID obligations for automated trading in the EU (authorisation, market making, venue pricing, order-to-trade ratios).
- Execution algorithms and proprietary trading strategies adopted by high-frequency traders.
- Liquidity, high-frequency traders, and dark trades.
- MiFID II dark trading caps (reference price waiver, negotiated trade waiver) and exemptions (large in scale waiver) and the impact of MiFID II liquidity requirements on risk management policies.
WORKSHOP 3: Use of Technology and Software in MiFID II Compliance Programs
- The impact of MiFID II on financial institution internal processes.
- MiFID II gap analysis, risk analysis, and process and procedure mapping.
- Consolidating global financial regulatory compliance obligations into one technology-based solution.
- Assessing the use of third party services for MiFID II reporting and compliance.
WORKSHOP 4: MiFIR Reporting Framework and the FCA’s Regulatory Market Data Processing Platform
- MiFIR reporting obligations, classification of investment firms, new reportable instruments, extended transaction report fields, Legal Entity Identifiers (LEIs) and standards.
- An Overview of the new FCA digital Regulatory Market Data Processing Platform (RMDPP) delivered by Sopra Steria (operational build, capabilities, timelines, cost reductions).
- The Interaction of the RMDPP and MiFID II and MiFIR frameworks (validation and storage of transaction reports, big data capabilities, industry beta testing phase, adjacent MiFID II opportunities).
- National MiFID II implementation insights by Stephan Hanks, FCA.
- Advanced knowledge and understanding of the latest MiFID II regulation, compliance, and risk management issues
- Key analysis and insight into the latest draft Level 2 texts published by ESMA
- Extensive pre-conference questionnaire to identify delegate's key course objectives
- Lenovo 8" Yoga Tablet pre-loaded with conference presentations and documentation to take-away
- Comprehensive conference documentation
- Post-conference expert trainer follow-up to guarantee all key course objectives have been met
Course Suitable For
- Back Office
- Buy-Side Firms
- Chief Executives
- Chief Financial Officers
- Chief Risk Officers
- Compliance Officers/Directors
- Data Firms
- Front Office
- General Legal Counsel
- General Managers
- Investment Managers
- Middle Office
- Sell-Side Firms