Action stations! How to be MiFID-ready

MiFID is designed to facilitate the cross-border trade in financial services. Thereafter, your life will be much easier. To get to that point, however, you will have to jump through a succession of ever-narrowing hoops. Darren Fox, a partner in Simmons and Simmons' financial services group, explains MiFID and provides an action plan

The Markets in Financial Instruments Directive (MiFID) is a major piece of European legislation which will have a significant impact on the day-to-day operations of the majority of financial services businesses.

When implemented at the end of October 2007, MiFID will replace the current Investment Services Directive (ISD). Like the ISD, MiFID will:

ndefine who is and who is not an 'investment firm' (by reference to the types of services the relevant person provides);

nimpose an obligation on each