Reporting and risk management requirements imposed by Mifid II on those active in futures markets have led ABN Amro Clearing Bank to announce a deal with technology solutions provider Fidessa.
This will affect services involving some 110 futures, options, equities and FX markets that ABN Amro Clearing provides access to for its clients. The Netherlands headquartered business claims to be in the top three clearers globally across all time zones and markets, based on turnover of some 16 million trades.
Mifid II means that futures markets will need to address regulations in similar ways to equities over the past decade. Technology requirements are being driven by the necessary response to the new regulatory demands that come into force in January 2018 as a result of the Directive. The volume of trades handled daily by ABN Amro Clearing means that “having a robust, scalable and highly flexible platform is hugely important to us and, more importantly, our clients,” according to James Fairweather, global head of Execution Services.
Justin Llewellyn-Jones, global head of Derivatives at Fidessa, noted that his organisation has “invested over 10,000 man days of R&D this year alone in ensuring our solutions meet the regulation’s requirements.”
As noted recently both online and in the pages of the InvestmentEurope magazine, Mifid II weighs heavily on the fund industry as both manufacturers and distributors continue to direct significant assets towards meeting the regulatory deadline in January: