Sticker Shock: Small Hedge Funds Seen Ditching I-Banking Research Under MiFID
For the past several months we've discussed many theories about how the new MiFID II rules in Europe might drastically change the investment banking research business model. For those who haven't followed this narrative, MiFID II is a new set of regulations in Europe that requires investment banks to charge separately for research as opposed to just lumping it into an asset manager's trading fees.
Here are a couple of our thoughts/predictions: