Financial firms and their senior management teams currently face an uphill battle to be ready for the vast overhaul of European market rules that come into force on January 3rd with MiFID II.
Research from leading communication technology business, TeleWare, reveals that seven in ten (71%) financial firms impacted by the directive are upgrading current IT infrastructure to improve business efficiency. Nearly two thirds, (66%) have invested in people training and almost half (47%) are recruiting new members of staff.
No deadline extensions
The European Commission’s top financial services official, Valdis Dombrovski, recently ruled out any further extension of the January 3rd deadline for markets to comply with a sweeping overhaul of trading rules. Despite this, senior decision makers at financial institutions have said they can already predict the benefits of the directive for their firms. The TeleWare research reveals two thirds (65%) of financial firms believe MiFID II will ensure better employee working practices.
Legislation anticipated by most to improve trust and customer understanding
TeleWare surveyed 100 senior decision makers in UK financial services firms, of which almost six in ten (58%) believe the directive will improve business efficiency, whilst fifty-seven per cent (57%) feel the legislation will improve customer experience and trust. Furthermore, 45 per cent believe MiFID II would offer greater customer insight.
Steve Haworth, CEO at TeleWare, comments “The financial services market is flooded with information on MiFID II. Whilst the narrative tends to focus largely on the negative impact on firms, it is great to see that many believe MiFID II will have a positive impact on their business.
Businesses who take a broader view towards their MiFID II requirements can gain competitive advantage. By recording communications across all touch points along the customer journey, firms will have far greater insight which can lead to improved customer experience and increased productivity whilst meeting all their regulatory requirements.
“The FCA has warned it will be capturing ever more data with the introduction of MiFID II. It isn’t up to the compliance team to prepare for MiFID II. The entire firm needs to be aware of the directive implications and its benefits. We are here to help with any compliance recording requirement for voice, fixed line, mobile and Skype for Business; in plenty of time for the January 3rd deadline.”
Survey of 100 senior decision makers in financial services undertaken by Censuswide, on behalf of TeleWare, between 5th – 10th June 2017