Liquidity Landscape H1 2021

Brexit has been in force now for six months and the summer ahead is set to provide further detail as to the future direction for financial services in the UK and EU. Rather than the assumed bonfire of regulation, the UK and Europe seem aligned on overall objectives, just with a difference in approach as to how to achieve those objectives.

With equivalence firmly off the table, the UK is launching a broad review of laws regulating financial services, with the first set published July 1st. The question for the industry is just how will Europe respond and what impact will this have on future liquidity formation and the buy-side’s ability to source liquidity efficiently?

The report has been compiled by Gareth Exton and Joe Fields from Liquidnet's Execution + Quantitative Services team, in partnership with Rebecca Healey and Charlotte Decuyper, Redlap Consulting.