Capital markets union: Council and Parliament’ provisional agreement to strengthen market data transparency


The 29 June 2023, the Council has reached a provisional agreement with the European Parliament on changes to the EU’s trading rules.

The revision of the Markets in Financial Instruments Regulation (MiFIR) and the Second Markets in Financial Instruments Directive (MiFID II) aims to empower investors, in particular by making consolidated market data easily available at EU level.

The revision will establish EU-level ‘consolidated tapes’ or centralised data feeds for different kinds of assets, bringing together market data provided by platforms on which financial instruments are traded in the EU. As a result, investors should have access to up-to-date transaction information for the whole of the EU.

The provisional agreement prohibits ‘payment for order flow’ (PFOF), a practice whereby brokers are paid to transmit their clients’ orders to certain trading platforms.

The co-legislators also agreed on amendments proposed by the Parliament on commodity derivatives.