MiFID II Project Bible

What is MIFID II?

The Markets in Financial Instruments Directive (MiFID) is a European regulation that aims to increase transparency across the European Union’s (EU) financial markets and standardizes the regulatory disclosures required for firms operating in the EU.

MiFID II is the revision of that Directive, originally published in 2004. It is the foundation of financial legislation for the EU, designed to assist traders, investors, and other participants in the financial sector. The primary goal of MiFID II is to keep financial markets strong, fair, effective, and transparent.

MiFID II was introduced in 2018. Stocks were the primary focus of MiFID but the product scope was expanded under MiFID II to include debt securities, derivatives, and structured instruments. MiFID II affects: funds and fund managers; all trading exchanges; banks and bank managers; any venues for trading; pension funds; traders; brokers and investors.


MiFID II was intended to make the rules and regulations surrounding financial markets in the EU clearer and more effective. Greater transparency was also a significant concern. One of the most important reasons for the creation of MiFID II were the revisions made to fall in line with ever-growing and changing technology.

Now the UK has left the European Union (EU) there is an opportunity to reshape European legislation, or regulations, particularly in areas such as Financial Services, to better suit the UK market. In the case of MiFID however, PIMFA is concerned that there is a danger the Government’s Edinburgh Reforms risk throwing the baby out with the bath water. PIMFA would recommend the Government use a scalpel rather than a sledgehammer to reform MiFID given many of the reforms benefit the UK sector and have already been implemented by firms.

PIMFA produced a MiFID II Project Bible to assist firms with implementation.

We have retained it here as a useful source of reference.