MiFID II
Markets in Financial Instruments Directive II
Definition
The EU legislative framework governing investment services and activities across the European Economic Area. MiFID II strengthened investor protection, increased transparency in financial markets, and introduced comprehensive rules on product governance, inducements, best execution, and transaction reporting.
Regulatory Context
MiFID II replaced MiFID I from January 2018 and works alongside MiFIR (the directly applicable regulation). It applies to investment firms, trading venues, and data reporting services providers. The UK retained an onshored version post-Brexit.