Background
The Markets in Financial Instruments Directive MIFID2, scheduled to go into effect in January 2018, is aimed at improving transparency in financial markets, in line with the G20 commitments made after the 2008 financial crisis. MIFID2 will have a direct impact on relations between investment service providers and their clients in areas such as marketing and payment models, services and product offers, information relative to ex ante and ex post fees. This strategic directive deals with a major issue not only at the conformity level but for the bank as a whole. The challenge here is to capitalize on the regulation to enhance the customer-relations framework in an increasingly competitive and innovative environment.
Challenges
Alongside its client, Wavestone has several challenges to face:
- Ensuring the scope of MIFID2 within the bank, by making top management aware of its strategic impact and mobilizing corporate officials throughout the project;
- Involving all business lines and in particular the Front Office, which will be directly impacted by the reform from the outset of the project;
- Map out and implement a solid plan, which will ensure compliance within the time-frame.
Key success factors
Wavestone has supported its client throughout the project by providing specific expertise in different areas:
- Preliminary impact analysis, underpinned by the Group’s excellent knowledge of regulations
- Ability to manage the impacts of the MIF2, IDD and Priips projects simultaneously, doing so with an ambition to mutualize;
- Ability to guide the client at all stages of the project, from impact analysis and project management through to implementation;
- Strategic program monitoring and change management.
