Half of UK businesses admit they don't know MiFID II deadline

3 January 2018

With MiFID II coming into effect today, research has found that over half (53%) of ITDMs and senior compliance managers don't know the exact date of the implementation. 

Furthermore, 73% are not ready for the MiFID II regulations with 1 in 5 (21%) admitting they are still not fully aware of the rules coming into effect.

Commissioned by voice recording specialists Red Box Recorders, the report takes a temperature check of attitudes, preparedness and Brexit concerns around the regulation. The results show as much confusion on the deadline as ever: 

·      Only 15% said they would describe their knowledge as complete

·      A quarter (25%) admitted to not being fully aware of the increased financial penalties

·      43% were not fully aware of the requirements around recording client communications or how long they should be retained

With companies scrambling to become compliant one of the key challenges for financial service providers is to capture, retain and reconstruct all communications between buyers, sellers and investment intermediaries.

Brexit has only added more uncertainty to the situation with nearly all (91%) of the respondents saying that the current negotiations have made MiFID II plans more ambiguous.

Although many may still not be ready, over half of the ITDMs and senior compliance managers surveyed said they had extensive plans to invest in technology and infrastructure for compliance in 2018 and 95% are investing in compliance systems for inter-regional financial trading. 

In support of compliance obligations, Red Box Recorders capture all conversations - back office, front office and mobile communications, from multiple systems (including turrets), and offers seamless integration with leading compliance archiving and analytics solutions. Red Box Recorders can also provide speech to text transcriptions of audio that can be used to audit and analyse 100% of calls for insight and fraud detection.

This research from Red Box Recorders shows that many organisations in the UK are still unsure on what MiFID II means for them, and whilst the deadline is now up many companies will not meet compliance regulations for another few months.

Red Box Recorders offer assured communications capture with over 28 years’ experience in the voice recording sector working with top banks and 85% of global interdealer brokers around the globe.

To help those still looking for advice on how to follow MiFID II regulations, Red Box Recorders have launched an extensive white paper detailing the requirements around call recording and how to meet them. Read the full details at https://www.redboxrecorders.com/mifid-ii/ 

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