Liquidity Landscape 2023: What next for European markets?

The end of 2022 marked the end of a rocky year for markets, economics, and politics, where we witnessed the wider effects of inflation, events such as the collapse of FTX, to Britain seeing three Prime Ministers in a single year.

While a wholesale roll back of regulation in the UK appears off the cards, the ground is still shifting with the UK’s intention to shore up its financial sector in the face of growing competition from cities such as Paris and Amsterdam. Added to which EU Member States have differing approaches to what amendments need to be made, if any to MiFID and MiFIR.

It is in this light that 2023 looks anything but straightforward for regulatory policy given the wider headwinds the industry is facing in market liquidity and the impact of the increased use of technology in trading.

This report has been compiled by Gareth Exton Head of Liquidnet's Execution + Quantitative Services EMEA , in partnership with Rebecca Healey, Redlap Consulting.