The best is yet to come

Author: | Published: 27 Apr 2018

Panellists at IFLR’s Europe Capital Markets on April 18 gave the sector a healthcheck

Debt capital markets and the CMU The landscape now is different from when the latest Prospectus Directive proposal came out: the wholesale regime has been retained which is a big win for issuers; Product governance would win from having a specific wholesale market but there are difficulties in organising this segment (can a stock exchange be held liable for banning retail investors?); One problem in differentiating retail and wholesale investors is that trades are conducted by member firms, not individuals; There's a tendency for some issuers to go to other jurisdictions with lower disclosure requirements (HK, Channel Islands or Singapore) but the market doesn't need a race to the bottom, especially in the HY space. There has been a gradual decline in debt listings, with issuers now going to MTFs; There is a lot of uncertainty with Libor: what happens...