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260 SECURITIES EXECUTION VENUES EXPOSE OPERATIONAL RISK


260 SECURITIES EXECUTION VENUES EXPOSE OPERATIONAL RISK

 

In today's post-MiFID trading environment, the FORUM helps define winning strategies.  Next host city: Frankfurt

 

London, UK - 28 May 2008. JWG-IT, the neutral think-tank for EU-driven change in financial services, today highlighted an industry-wide gap between new regulatory requirements and current capabilities of trading infrastructures. EU regulators are calling on financial institutions to define industry best-practices and avoid di minimis solutions which do not provide transparency to protect the European customer.

 

PJ Di Giammarino, CEO, JWG-IT, says: "Europe's regulators are looking to financial institutions to lead the debate on the implementation agenda for EU principles-based regulation (PBR) in the post-MIFID environment. They are calling for firms to collaborate to build the ‘sturdy breakwaters' which will define industry best-practice. However, the reality so far is that 75% of firms are developing proprietary policies, despite widespread recognition that there is little competitive advantage in working alone."

 

The debate between sell-side, buy-side and market infrastructure practitioners, which began in London last month, will continue at the Frankfurt FORUM on 16 June. The authors of the MiFID Kompendium, the first book on MiFID in the German marketplace, who include specialists from Commerzbank, Deutsche Börse, Lachner Westphalen Spamer, Lindenpartners, MiFID Joint Working Group, Germany and WestLB AG, will wrangle with thought leaders from BaFin, EU Commission, Chi-X, The 451 Group, BWF, BVI and Ernst & Young. New research will form the basis of the discussion, allowing delegates to benchmark their views via anonymous voting.

 

Di Giammarino continues: "Without clear-cut rules on what is required, institutions need to understand their relative position against what the industry considers to be ‘good practice.' The cost and quality issues inherent in their infrastructures require focus on the target strategies and operational capabilities demanded at board-level. The challenge is straightforward. Deploy the right operating model and you maintain your edge: get it wrong and your costs and operational risk profile explode. Increasing market fragmentation, as evidenced by the 35 venues now trading the 1000 most liquid securities, will put significant pressure on back-offices. Bringing results from the London FORUM to the German market will help local institutions discover how to prepare for the increasingly competitive environment. The UK has had its say - now it's Germany's turn."

 

The Frankfurt FORUM is the second in a series which continues in Milan and Paris later this year. Developed by JWG-IT and Cre8 Results, specialist financial services marketing communications agency, The FORUM is free to employees of financial institutions and will bring together industry spokespeople, practitioners and exhibiting vendors.

 

For more details, including THE FORUM agenda, please click here

 

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For more information, please contact:

Cre8 Results:

Tania Vie Riba

+44 (0)20 7734 9199 / FORUM@cre8results.com          

or

JWG-IT:

Denise Frier

+44 20 7870 8004/ FORUM@jwg-it.eu               

 

 

NOTES TO EDITORS:

About JWG-IT Group Limited.

JWG-IT is the only financial services industry think-tank to facilitate collaborative work to resolve industry issues created by regulatory change.  Based on a working model started in 2005, JWG-IT has established strong relationships with EU administrators, leading firms and companies.  It is neither lobbyist nor consultancy and revenues are restricted to membership and event fees and content sales.  The JWG-IT think-tank is designed to help members and participants manage regulatory-driven change better, quicker, cheaper and with less risk.  For more information see www.jwg-it.eu

 

 

About Cre8 Results Limited

Cre8 Results is a specialist provider of integrated marketing and communications services for the financial services and financial technology arena. Cre8 Results delivers intelligent, focused and results-driven services and solutions that promote its clients as leaders in their fields. Ranging from financial trading software providers, to IT consultancies, to outsourced service bureaus, Cre8 Results' clients are all thought leaders in their own right. Cre8 Results services a range of Pan-European and North American clients that are changing the way the industry works. For more information see www.cre8results.com



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