Mifid amendments threaten HFT platform access

Banned stamp

A set of draft amendments to the European Commission’s review of the Markets in Financial Instruments Directive (Mifid) threatens to ban sponsored access to electronic trading venues; a model that has gained increasing popularity with high-frequency traders (HFT) as a means of cutting speed and costs.

The amendments were made earlier this month by the European Parliament’s Economic and Monetary Affairs Committee (Econ), which defined sponsored access as an arrangement where “a member or particip