EU takes hard line on soft research spend

Mifid II will force a long-awaited split between research and execution fees and is set to radically overhaul the research industry

Thursday 15 January 2015 at 13:12

EU takes hard line on soft research spend

The clock has finally started ticking on changes to one of the most controversial topics in European equity trading: the use of share-dealing commissions to pay for research.

It is a big question. The Financial Conduct Authority estimated last year that UK fund managers alone spend £3 billion annually on dealing commissions, around half of which funded the army of analysts who slap buy, sell or hold on company stock.