Rosie Carr, editor of Investors Chronicle, is to be congratulated on her article in FT Money (Opinion, September 23) drawing attention to the need for retail investors to have access to professional stock research.
This is particularly pertinent to those of us in the autumn of our years who manage our own pension pots and have to balance risk and reward. Prior to Mifid II, as the EU’s second “markets in financial instruments directive” has become known, my go-to source was a broker report from one or more of the main investment banks.
I now find myself relying increasingly on poor research via various media outlets. EU citizens such as myself are probably worse affected than those in the UK due to continued overzealous regulation by the EU.
A particular gripe is that I can no longer purchase a US or Canadian listed exchange traded fund because Brussels has deemed it necessary that as an EU retail investor I need “protecting”. I may add that it is virtually impossible in Ireland to be deemed a professional investor (in order to circumvent the problem). Given that the US ETF market is the deepest, most liquid and most highly regulated market in the world, what exactly is Mifid ll protecting us from? That many companies are exiting both London and EU exchanges for New York just exacerbates the problem.
I have no doubt there will be an Irish basket ETF on the New York Stock Exchange before too long. It is almost certain that retail investors have encountered losses as a result of the current regime compared to potential profits and decent dividends if allowed access to research produced by top-class professionals. It’s time for regulators and politicians in Brussels and London to wake up.
John Turner
Dublin, Ireland
