MiFID II (Markets in Financial Instruments Directive II)

MiFID II, or the Markets in Financial Instruments Directive II, is a European Union regulation that aims to improve transparency and investor protection in financial markets. Implemented in January 2018, it enhances the rules governing trading in financial instruments, such as stocks and bonds. MiFID II requires firms to provide clearer information to investors, report trades more thoroughly, and ensure best execution practices. It also expands the scope of regulated activities to include more financial products and trading venues. Overall, MiFID II seeks to create a fairer, safer financial environment for investors and boost market efficiency.