For example, studies6 indicate that the differences between the costs of entering the market in the USA and in the EU, while relatively small, could still account for 10% to 20% of the EU’s productivity shortfall. The costs of removing red tape are comparatively low and could help strengthen growth.
Our experience has been that only some of the Authorised Dealers are able to offer even marginally sophisticated structured products to their clients which results both in lower liquidity in products and incomplete markets, and in depriving segments of end-users of benefitting from the flexibility provided in the regulations.