Odey Sees 'Terrifying' Mix in MiFID, Tapering, Asset Values
How MiFID II Is Going to Change Banking
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Crispin Odey, the London-based hedge fund manager known for his bearish outlook, says new European rules on research will result in less trading, less price discovery and less efficient markets.
MiFID II should cause the cost of capital to rise because it will give different levels of information to people in the market, resulting in those with less access to analysis trading less, Odey wrote in a letter to investors. The revised Markets in Financial Instruments Directive starts on Jan. 3. and forces firms to separate the cost of research from trading-related expenses incurred with investment banks.