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The European Commission has welcomed definitive adoption by the EU's Council of Ministers of the Directive on Financial Instruments Markets, also known as the Investment Services Directive. The Directive will give investment firms an effective 'single passport', allowing them to operate throughout the EU on the basis of authorisation in their home Member State.
The Directive will allow investment firms, banks and exchanges to provide their services across borders on the basis of their home country authorisation.
The final text maintains the principle of a pre-trade transparency obligation whereby 'internalisers' would be obliged to disclose the prices at which they will be willing to buy from and/or to sell to their clients. However, it limits this disclosure obligation to transactions up to 'standard market size', defined as the 'average size' for the orders executed in the market.
MiFID Directive
Commission press release