MiFID II - A detailed look

Most of the obligations contained in the Markets in Financial Instruments Directive (MiFID II) and Markets in Financial Instruments Regulation (MiFIR) were effective as of 3 January 2018.

The Directive and the Regulation, commonly referred to as the “Level 1” texts, are supported by the Regulatory and Implementing Technical Standards, “Level 2”, and Rules, Guidance and Q&A from the European Securities & Markets Authority (ESMA) and National Competent Authorities, including the UK’s Financial Conduct Authority (FCA), “Level 3”. Published versions of these can be found in the table below.

Visit the MiFID II section of the FCA's website


Directive & Regulation: Finalised and published 17 January 2014

View MiFID II Level 1

View MiFIR Level 1

Delegated Acts, Regulatory and Implementing Technical Standards

Delegated acts:

  • Safeguarding of financial instruments and funds belonging to clients, product governance obligations and the rules applicable to the provision or reception of fees, commissions or any monetary or non-monetary benefits  
  • Organisational requirements and operating conditions for investment firms and defined terms for the purposes of that Directive
  • Definitions, transparency, portfolio compression and supervisory measures on product intervention and positions  

Regulatory Technical Standards:

  • RTS 1: Transparency requirements for trading venues and investment firms in respect of shares, depositary receipts, exchange-traded funds, certificates and other similar financial instruments and on transaction execution obligations in respect of certain shares on a trading venue or by a systematic internaliser 
  • RTS 2: Transparency requirements for trading venues and investment firms in respect of bonds, structured finance products, emission allowances and derivatives 
  • RTS 3: The volume cap mechanism and the provision of information for the purposes of transparency and other calculations 
  • RTS 4: Criteria for determining whether derivatives subject to the clearing obligation should be subject to the trading obligation
  • RTS 5: The direct, substantial and foreseeable effect of derivative contracts within the Union and the prevention of the evasion of rules and obligations
  • RTS 6: The organisational requirements of investment firms engaged in algorithmic trading
  • RTS 7: Organisational requirements of trading venues
  • RTS 8: The requirements on market making agreements and schemes
  • RTS 9: The ratio of unexecuted orders to transactions in order to prevent disorderly trading conditions
  • RTS 10: Requirements to ensure fair and non-discriminatory colocation services and fee structures
  • RTS 11: The tick size regime for shares, depositary receipts and exchange traded funds
  • RTS 12: The determination of a material market in terms of liquidity in relation to notifications of a temporary halt in trading
  • RTS 13: Authorisation, organisational requirements and the publication of transactions for data reporting services providers
  • RTS 14: The specification of the offering of pre-and post-trade data and the level of disaggregation of data 
  • RTS 15: Clearing access in respect of trading venues and central counterparties 
  • RTS 16: Access in respect of benchmarks
  • RTS 17: The admission of financial instruments to trading on regulated markets
  • RTS 18: The suspension and removal of financial instruments from trading
  • RTS 20: Criteria for establishing when an activity is to be considered to be ancillary to the main business
  • RTS 21: Methodology for the calculation and application of position limits for commodity derivatives traded on trading venues and economically equivalent OTC contracts
  • RTS 22: The reporting of transactions to competent authorities
  • RTS 23: The data standards and formats for financial instrument reference data and technical measures in relation to arrangements to be made ESMA and competent authorities
  • RTS 24: The maintenance of relevant data relating to orders in financial instruments
  • RTS 25: The level of accuracy of business clocks
  • RTS 26: The obligation to clear derivatives traded on regulated markets and timing of acceptance for clearing
  • RTS 27: The data to be published by execution venues on the quality of execution of transactions
  • RTS 28: The annual publication by investment firms of information on the identity of execution venues and on the quality of execution

Implementing Technical Standards:

  • ITS 1: Standard forms, templates and procedures for cooperation arrangements in respect of a trading venue whose operations are of substantial importance in a host Member State
  • ITS 2: Format and timing of the communications and the publication regarding the suspension and removal of financial instruments from trading on a Regulated Market, an MTF or an OTF
  • ITS 3: Standard forms, templates and procedures for the authorisation of data reporting services providers and related notifications
  • ITS 4: Position reporting
  • ITS 5: Format and timing of weekly position reports
  • ITS 6: Standard forms, templates and procedures for cooperation in supervisory activities, for on-site verifications, and investigations and exchange of information between competent authorities in accordance with MiFID II
  • ITS 7: Standard forms, templates and procedures for the consultation of other competent authorities prior to granting an authorisation in accordance with MiFID II
  • ITS 8: Procedures and forms for submitting information on sanctions and measures
  • ITS 19: The content and format of the description of the functioning of multilateral trading facilities and organised trading facilities and the notification to the ESMA according to MiFID II

Contact us

For further information about MiFID II implementation, please email our MiFID II team.

For all other regulatory change related questions, please email the Head of Regulation, Risk and Compliance.